ICAI Establishes Special Group to Accelerate High-Profile Financial Reviews
The Institute of Chartered Accountants of India (ICAI) has announced the formation of a dedicated special group within its Financial Reporting Review Board. This initiative is specifically designed to expedite the handling of high-profile cases that carry significant public interest implications. ICAI President Prasanna Kumar D confirmed this strategic move, emphasizing the urgency and priority assigned to these matters.
Priority Cases and Revised Timelines
President Prasanna Kumar D revealed that there are currently more than 10 to 15 cases identified as having substantial public interest. These cases will now be taken up on a priority basis, with a targeted completion timeline of approximately two months. Among the prominent matters under immediate review are cases related to Gensol Engineering and IndusInd Bank. Both entities faced regulatory scrutiny last year following concerns over potential financial irregularities.
Kumar acknowledged that the previously indicated six-month timeline for these reviews could not be met due to technical reasons. However, with the new special group in place, the review process is expected to be finalized within the next two months. Upon completion, the findings will determine the next course of action. Serious lapses discovered during the review may lead to disciplinary proceedings, whereas routine or procedural shortcomings could result in advisories rather than escalation.
Expanding Role of Chartered Accountants in Global Capability Centres
In addition to addressing regulatory reviews, President Kumar highlighted the increasingly vital role of chartered accountants within Global Capability Centres (GCCs). He noted that chartered accountants play a particularly crucial role because a majority of services exported through GCCs are finance-related. This underscores the profession's growing importance in the global economic landscape.
ICAI, which maintains a presence in 47 countries, is actively encouraging its members to build international linkages and promote the export of services from India. To facilitate this, the institute is implementing various training programmes and offering local language training in key markets such as Japan and Germany. These efforts aim to enhance the global competitiveness and reach of Indian chartered accountants.
Introduction of New Information Systems Audit Standards
Further strengthening its regulatory framework, ICAI has introduced 11 new Information Systems Audit Standards. These standards are designed to bolster the effectiveness and reliability of digital audits, addressing the evolving challenges in the technology-driven financial environment. The new standards will become effective in February 2026, with a six-month recommendatory period preceding their full implementation.
This comprehensive approach by ICAI reflects its commitment to maintaining high standards in financial reporting, supporting the professional growth of chartered accountants, and adapting to the digital transformation in auditing practices.
