Cost and Works Accountants Act, 1959

COST AND WORKS ACCOUNTANTS ACT,

1959

[Act No. 23 of Year 1959]

An Act to make provision for the regulation of the profession of

cost and works accountants.

Be it enacted by Parliament in the Tenth Year of the Republic of

India as follows: -

CHAPTER I: PRELIMINARY1959

1. Short title, extent and commencement

(1) This Act may be called the Cost and Works Accountants Act, .

(2) It extends to the whole of India.

(3) It shall come into force on such date as the Central

Government may, by notification in the Official Gazette, appoint.

2. Definitions and interpretation

(1) In this Act, unless the context otherwise requires-

(a) "associate" means an associate member of the Institute;

(b) "cost accountant" means a person who is a member of the

Institute.

(c) "Council" means the Council of the Institute;

(d) "dissolved company" means the Institute of Cost and Works

Accountants registered under the Companies Act, 1956 (8 of

1956);

(e) "fellow" means a fellow of the Institute;

(f) "Institute" means the Institute of Cost and Works Accountants

of India constituted under this Act;

(g) "prescribed" means prescribed by regulations made under this

Act;

(h) "President" means the President of the Council;

(i) "Register" means the Register of members maintained under

this Act;

(j) "Vice-President" means the Vice-President of the Council;

(k) "year" means the period commencing on the lst day of April of

any year and ending on the 31st day of March of the succeeding

year.

(2) Save as otherwise provided in this Act, a member of the

Institute shall be deemed "to be in practice" when, individually or

in partnership with one or more members of the Institute in

practice, he, in consideration of remuneration received or to be

received-

(i) engages himself in the practice of cost and works accountancy;

or

(ii) offers to perform or performs services involving the costing or

pricing of goods or services or the preparation, verification or

certification of cost accounting and related statements or holds

himself. out to the public as a cost accountant in practice; or

(iii) renders professional services or assistance in or about

matters of principle or detail relating to cost accounting

procedure or the recording, presentation or certification of costing

facts or data; or

(iv) renders such other services as, in the opinion of the Council,

are or may be rendered by a cost accountant in practice;

and the words "to be in practice", with their grammatical

variations and cognate expressions, shall be construed

accordingly.

Explanation : A member of the Institute who is a whole-time

salaried employee of any person shall not be deemed to be in

practice within the meaning of this sub-section.

CHAPTER II: THE INSTITUTE OF COST AND WORKS

ACCOUNTANTS

3. Incorporation of the Institute

(1) All persons whose names are entered in the Register at the

commencement of this Act and all persons who may hereafter

have their names entered in the Register under the provisions of

this Act, so long as they continue to have their names borne on

the said Register, are hereby constituted a body corporate by the

name of the Institute of Cost and Works Accountants of India, and

all such persons shall be known as members of the Institute.

(2) The Institute shall have perpetual succession and a common

seal, and shall have power to acquire, hold and dispose of

property, both movable and immovable, and shall by its name sue

or be sued.

4. Entry of names in the Register

(1) Any of the following persons shall be entitled to have his name

entered in the Register, namely,-

(i) any person who was an associate or a fellow of the dissolved

company (other than an honorary associate or honorary fellow

thereof) immediately before the commencement of this Act,

except any such person who is not a permanent resident of India

and is not at such commencement practising as a cost accountant

in India;

(ii) any person who has passed such examination and completed

such training as may be prescribed for members of the Institute;

(iii) any person who, at the commencement of this Act, is

engaged in the practice of cost accountancy in India and who

fulfils such conditions as the Central Government or the Council

may specify in this behalf;

(iv) any person who has passed such other examination and

completed such other training without India as is recognised by

the Central Government or the Council as being equivalent to the

examination and training prescribed for members of the Institute :

PROVIDED that in the case of any person who is not permanently

residing in India, the Central Government or the Council may

impose such further conditions as it may deem fit.

(v) any person domiciled in India, who at the commencement of

this Act is studying for any foreign examination and is at the same

time undergoing training, whether within or without India, or,

who, having passed such examination, is at such commencement

undergoing training whether within or without India:

PROVIDED that such foreign examination and training are

recognised by the Central Government or the Council in this

behalf.

PROVIDED FURTHER that the person passes the examination and

completes his training within five years from the commencement

of this Act.

(2) Every person belonging to the class mentioned in clause (i) of

sub-section (1) shall have his name entered in the Register

without the payment of any entrance fee.

(3) Every person belonging to any of the classes mentioned in

clauses (ii), (iii),(iv) and (v) of sub-section (1) shall have his name

entered in the Register or application being made and granted in

the prescribed manner and on payment of the prescribed

entrance fee, which shall not exceed rupees three hundred in any

case.

(4) The Central Government shall take such steps as may be

necessary for the purpose of having the names of all persons

belonging to the class mentioned in clause (i) of sub-section (1)

entered in the Register at the commencement of this Act.

5. Fellows and associates

(1) The members of the Institute shall be divided into two classes

designated respectively as associates and fellows.

(2) Any person other than a person to whom the provisions of

sub-section (3) apply shall, on his name being entered in the

Register, be deemed to have become an associate member of the

Institute and so long as his name remains so entered, shall be

entitled to use the letters AICWA after his name to indicate that

he is an associate member of the Institute of Cost and Works

Accountants.

(3) Any person who was a fellow of the dissolved company and

who is entitled to have his name entered in the Register under

clause (i) of sub-section (1) of section 4, shall be entered in the

Register as a fellow of the Institute.

(4) A member, being an associate who has been in continuous

practice in India for at least five years, whether before or after the

commencement of this Act, or whether partly before and partly

after the commencement of this Act, and a member who has

been an associate for a continuous period of not less than five

years and who possesses such qualifications as the Council may

prescribe with a view to ensuring that he has experience

equivalent to the experience normally acquired as a result of

continuous practice for a period of five years as a cost accountant

shall, on payment of the prescribed entrance fee, which shall not

exceed rupees two hundred in any case, and on application made

and granted in the prescribed manner, be entered in the Register

as a fellow of the Institute.

Explanation I: For the purposes of this sub-section, a person shall

be deemed to have practised in India for any period for which he

has held a certificate of practice under section 6, notwithstanding

that he did not actually practice during that period.

Explanation II: In computing the continuous period during which a

person has been an associate of the Institute, there shall be

included any continuous period during which the person has been

an associate of the dissolved company immediately before he

became an associate of the Institute.

(5) Any person whose name is entered in the Register as a fellow

of the Institute and so long as his name remains so entered, shall

be entitled to use the letter FICWA after his name to indicate that

he is a fellow of the Institute of Cost and Works Accountants..

6. Certificate of practice

(1) No member of the Institute shall be entitled to practise,

whether in India or elsewhere, unless he has obtained from the

Council a certificate of practice.

(2) Every such member shall make application in such form and

pay such annual fee, for his certificate as may be prescribed, and

such fee shall be payable on or before the lst day of April in each

year:

PROVIDED that if a member of the Institute who was in practice

immediately before the commencement of this Act has made

within one month of such commencement an application for the

grant of certificate of practice, he shall not be deemed to have

contravened the provisions of sub-section (1) by reason of his

having practised during the period between such commencement

and the disposal of the application.

7. Members to be known as cost accountants

Every member of the Institute in practice shall, and any other

member may, use the designation of a cost accountant and no

member using such designation shall use any other description,

whether in addition thereto or in substitution therefor:

PROVIDED that nothing in this section shall be deemed to prohibit

any such member from adding any other description or letters to

his name, if entitled thereto, to indicate membership of such

other Institute of accountancy, whether in India or elsewhere, as

may be recognised in this behalf by the Council, or any other

qualification that he may possess, or to prohibit a firm, all the

partners of which are members of the Institute and in practice,

from being known by its firm name as cost accountants.

8. Disabilities

Notwithstanding anything contained in section 4, a person shall

not be entitled to have his name entered in, or borne on, the

Register if he-

(i) has not attained the age of twenty-one years at the time of his

application for the entry of his name in the Register; or

(ii) is of unsound mind and stands so adjudged by a competent

court; or

(iii) is an undischarged insolvent; or

(iv) being a discharged insolvent, has not obtained from the court

a certificate stating that this insolvency was caused by misfortune

without any misconduct on his part; or

(v) has been convicted by a competent court whether within or

without India, of an offence involving moral turpitude and

punishable with imprisonment or of an offence, not of a technical

nature, committed by him in his professional capacity unless in

respect of the offence committed he has either been granted a

pardon or, on an application made by him in this behalf, the

Central Government has, by an order in writing removed the

disability; or

(vi) has been removed from membership of the Institute on being

found on inquiry to have been guilty of professional or other

misconduct:

PROVIDED that a person who has been removed from

membership for a specified period, shall not be entitled to have

his name entered in the Register until the expiry of such period.

CHAPTER III: COUNCIL OF THE INSTITUTE

9. Constitution of the Council of Institute

(1) There shall be a Council of the Institute for the management of

the affairs of the Institute and for discharging the functions

assigned to it by or under this Act.

(2) The Council shall be composed of-

(a) not more than twelve persons elected by members of the

Institute from amongst the fellows of the Institute chosen in such

manner and from such regional constituencies as may be

specified in this behalf by the Central Government by notification

in the Official Gazette; and

(b) not more than four persons nominated by the Central

Government.

10. Mode of election to Council

(1) Elections under clause (a) of sub-section (2) of section 9 shall

be conducted in the prescribed manner:

PROVIDED that the first election under the said clause shall be

held in such manner as the Central Government may specify in

this behalf.

(2) Where any dispute arises regarding any such election, the

matter shall be referred by the Council to a Tribunal appointed by

the Central Government in this behalf and the decision of such

Tribunal shall be final:

PROVIDED that no such reference shall be made except on an

application made to the Council by an aggrieved party within

thirty days from the date of the declaration of the result of the

election.

(3) The expenses of the Tribunal shall be borne by the Council.

11. Nomination in default of election

If the members of the Institute fail to elect any member under

clause (a) of sub-section (2) of section 9 from any of the regional

constituencies that may be specified under that clause, the

Central Government may nominate any duly qualified person

from such constituency to fill the vacancy, and any person so

nominated shall be deemed to be a duly elected member of the

Council.

12. President and Vice-President

(1) The Council at its first meeting shall elect two of its members

to be respectively the President and the Vice-President thereof,

and so often as the office of the President or the Vice-President

becomes vacant, the Council shall choose a person to be the

President or the Vice-President, as the case may be:

PROVIDED that on the first constitution of the Council a member

of the Council nominated in this behalf by the Central

Government shall discharge the functions of the President, until

such time as a President is elected under the provisions of this

sub-section.

(2) The President shall be the Chief Executive Authority of the

Council.

(3) The President or the Vice-President shall hold office for a

period of one year from the date on which he is chosen but so as

not to extend beyond his term of office as a member of the

Council, and subject to his being a member of the Council at the

relevant time, he shall be eligible for re-election:

PROVIDED that the President of the Council at the time of the

expiration of its duration shall continue to hold office until a new

Council is constituted in accordance with the provisions of this

Act.

13. Resignation of membership and casual vacancies

(1) Any member of the Council may at any time resign his

membership by writing under his hand addressed to the

President, and the seat of such member shall become vacant

when such resignation is notified in the Official Gazette.

(2) A member of the Council shall be deemed to have vacated his

seat if he is declared by the Council to have been absent without

sufficient cause from three consecutive meetings of the Council,

or if his name is, for any cause, removed from the Register under

the provisions of section 20.

(3) A casual vacancy in the Council shall be filled by fresh election

from the constituency concerned or by nomination by the Central

Government, as the case may be, and the person elected or

nominated to fill the vacancy shall hold office until the dissolution

of the Council:

PROVIDED that no election shall be held to fill a casual vacancy

occurring within six months prior to the date of the expiration of

the duration of the Council, but such a vacancy may be filled by

nomination by the Central Government after consultation with the

President of the Council.

(4) No act done by the Council shall be called in question on the

ground merely of the existence of any vacancy in, or defect in the

constitution of, the Council.

14. Duration and dissolution of Council

(1) The duration of any Council constituted under this Act shall be

three years from the date of its first meeting.

(2) Notwithstanding the expiration of the duration of a Council

(hereinafter referred to as the former Council), the former Council

shall continue to exercise its functions under this Act until a new

Council is constituted in accordance with the provisions of this

Act, and on such constitution, the former Council shall stand

dissolved.

15. Functions of the Council

(1) The duty of carrying out of the provisions of this Act shall be

vested in the Council.

(2) In particular, and without prejudice to the generality of the

foregoing power, the duties of the Council shall include-

(a) the examination of candidates for enrolment and the

prescribing of fees therefor;

(b) the registration and training of students;

(c) the prescribing of qualifications for entry in the Register;

(d) the recognition of foreign qualifications and training for

purposes of enrolment;

(e) the granting or refusal of certificates of practice under this

Act;

(f) the maintenance and publication of a Register of persons

qualified to practise as cost accountants;

(g) the levy and collection of fees from members, examinees and

other persons;

(h) the removal of names from the Register and restoration to the

Register of names which have been removed;

(i) the regulation and maintenance of the status and standard of

professional qualifications of members of the Institute;

(j) the carrying out, by financial assistance to persons other than

members of the Council or in any other manner, of research in

accountancy;

(k) the maintenance of libraries and publication of books and

periodicals relating to cost accountancy and allied subjects; and

(1) the exercise of disciplinary powers conferred by this Act.

16. Staff remuneration and allowances

(1) For the efficient performance of its duties, the Council, may-

(a) appoint a Secretary who may also, if so decided by the

Council, act as Treasurer;

(b) appoint such other persons on its staff as it deems necessary;

(c) require and take from the Secretary or from any other

employee of the Council such security for the due performance of

his duties as the Council considers necessary;

(d) fix the salaries, fees, allowances and other conditions of

service of the Secretary and other employees of the Council;

(e) with the previous sanction of the Central Government fix the

allowances of the President, Vice-President and other members of

the Council and its Committees.

(2) The Secretary of the Council shall be entitled to participate in

the meetings of the Council and the Committees thereof but shall

not be entitled to vote thereat.

17. Committees of the Council

(1) The Council shall constitute from amongst its members the

following Standing Committees, namely,-

(i) an Executive Committee;

(ii) a Disciplinary Committee; and

(iii) an Examination Committee;

(2) The Council may also form a Training and Educational

Facilities Committee and such other committees from amongst its

members as it deems necessary for the purpose of carrying out

the provisions of this Act.

(3) The Executive Committee shall consist of the President, and

the Vice-President, ex officio, and three other members of the

Council elected by the Council.

(4) The Disciplinary Committee shall consist of the President, ex

officio, one member to be nominated by the Central Government

from amongst the members nominated to the Council by that

Government and one member to be elected by the Council.

(5) The Examination Committee shall consist of the President or

the Vice-President, ex officio, as the Council may decide, and two

other members of the Council elected by the Council.

(6) Notwithstanding anything contained in this section, any

Committee formed under sub-section (2), may, with the sanction

of the Council, co-opt such other members of the Institute not

exceeding two-thirds of the total membership of the Committee

as the Committee thinks fit, and any member so co-opted shall be

entitled to exercise all the rights of a member of the Committee.

(7) The President shall be the Chairman of every committee of

which he is a member, and in his absence, the Vice-President, if

he is a member of the committee, shall be the Chairman.

(8) The Standing Committees and other committees formed under

this section shall exercise such functions and be subject to such

conditions in the exercise thereof as may be prescribed.

18. Finances of the Council

(1) There shall be established a fund under the management and

control of the Council into which shall be paid all moneys received

by the Council and out of which shall be met all expenses and

liabilities properly incurred by the Council.

(2) The Council may invest any money for the time being standing

to the credit of the fund in any government security or in any

other security approved by the Central Government.

(3) The Council shall keep proper accounts of the funds

distinguishing capital from revenue.

(4) The annual accounts of the Council shall be subject to audit by

a chartered accountant in practice within the meaning of the

Chartered Accountants Act, 1949 (38 of 1949), to be appointed

annually by the Council:

PROVIDED that no member of the Council who is a chartered

accountant or a person who is in partnership with such member

shall be eligible for appointment as an auditor under this sub-

section.

(5) As soon as may be practicable at the end of each year, but not

later than the 30th day of September of the year next following,

the Council shall cause to be published in the Gazette of India a

copy of the audited accounts and the Report of the Council for

that year and copies of the said accounts and Report shall be

forwarded to the Central Government and to all the members of

the Institute.

(6) The Council may borrow from a scheduled bank as defined in

the Reserve Bank of India Act, 1934 (2 of 1934), or from the

Central Government-

(a) any money required for meeting its liabilities on capital

account on the security of the fund or on the security of any other

assets for the time being belonging to it; or

(b) for the purpose of meeting current liabilities pending the

receipt of income by way of temporary loan or over-draft.

CHAPTER IV: REGISTER OF MEMBERS

19. Register

(1) The Council shall maintain in the prescribed manner a Register

of the members of the Institute.

(2) The Register shall include the following particulars about

every member of the Institute, namely,-

(a) his full name, date of birth, domicile, residential and

professional addresses;

(b) the date on which his name is entered in the Register;

(c) his qualifications;

(d) whether he holds a certificate of practice; and

(e) any other particulars which may be prescribed.

(3) The Council shall cause to be published in such manner as

may be prescribed a list of members of the Institute as on the lst

day of April of each year, and shall, if requested to do so by any

such member, send him a copy of such list.

(4) Every member of the Institute shall, on his name being

entered in the Register, pay such annual membership fee

differing in amount according as he is an associate or a fellow as

may be prescribed.

20. Removal from the Register

(1) The Council may remove from the Register the name of any

member of the Institute,-

(a) who is dead; or

(b) from whom a request has been received to that effect; or

(c) who has not paid any prescribed fee required to be paid by

him; or

(d) who is found to have been subject at the time when his name

was entered in the Register, or who at any time thereafter has

become subject, to any of the disabilities mentioned in section 8,

or who for any other reason has ceased to be entitled to have his

name borne on the Register.

(2) The Council shall remove from the Register the name of any

member in respect of whom an order has been passed under this

Act removing him from membership of the Institute.

CHAPTER V: MISCONDUCT

21. Procedure in inquiries relating to misconduct of members of

Institute

(1) Where on receipt of information by, or a complaint made to it,

the Council is prima facie of opinion that any member of the

Institute has been guilty of any professional or other misconduct,

the Council shall refer the case to the Disciplinary Committee

constituted under section 17, and the Disciplinary Committee

shall thereupon hold such inquiry and in such manner as may be

prescribed and shall report the result of its inquiry to the Council.

(2) If on receipt of such report the Council finds that the member

of the Institute is not guilty of any professional or other

misconduct, it shall record its finding accordingly and direct that

the proceedings shall be filed, or the complaint shall be

dismissed, as the case may be.

(3) If on receipt of such report the Council finds that the member

of the Institute is guilty of any professional or other misconduct, it

shall record a finding accordingly, and shall proceed in the

manner laid down in the succeeding sub-sections.

(4) Where the finding is that a member of the Institute has been

guilty of a professional misconduct specified in the First Schedule,

the Council shall afford to the member an opportunity of being

heard before orders are passed against him on the case, and may

thereafter make any of the following orders, namely,-

(a) reprimand the member;

(b) remove the name of the member from the Register for such

period, not exceeding five years, as the Council thinks fit:

PROVIDED that where the Council is of opinion that the case is

one in which the name of the member ought to be removed from

the Register for a period exceeding five years or permanently, it

shall not make any order referred to in clause (a) or clause (b),

but shall forward the case to the High Court with its

recommendations thereon.

(5) Where the misconduct in respect of which the Council has

found any member of the Institute guilty is a misconduct other

than any such misconduct as is referred to in sub-section (4), it

shall forward the case to the High Court with its recommendations

thereon.

(6) On receipt of any case under sub-section (4) or sub-section

(5), the High Court shall fix a date for the hearing of the case and

shall cause notice of the date so fixed to be given to the member

of the Institute concerned, the Council and to the Central

Government, and shall afford such member, the Council and the

Central Government an opportunity of being heard and may

thereafter make any of the following orders, namely,-

(a) direct that the proceedings be filed, or dismiss the complaint,

as the case may be;

(b) reprimand the member;

(c) remove him from membership of the Institute either

permanently or for such period as the High Court thinks fit;

(d) refer the case to the Council for further inquiry and report.

(7) Where it appears to the court that the transfer of any case

pending before it to another High Court, will promote the ends of

justice or tend to the general convenience of the parties, it may

so transfer the case, subject to such conditions, if any, as it thinks

fit to impose, and the High Court to which such case is transferred

shall deal with it as if the case had been forwarded to it by the

Council.

Explanation I: In this section "High Court" means the highest civil

court of appeal, not including the Supreme Court, exercising

jurisdiction in the area in which the person whose conduct is

being inquired into carries on business, or has his principal place

of business at the commencement of the inquiry:

PROVIDED that where the cases relating to two or more members

of the Institute have to be forwarded by the Council to different

High Courts, the Central Government shall, having regard to the

ends of justice and the general convenience of the parties,

determine which of the High Courts to the exclusion of others

shall hear the cases against all the members.

Explanation II: For the purposes of this section "member of the

Institute" includes a person who was a member of the Institute on

the date of alleged misconduct although he has ceased to be a

member of the Institute at the time of the inquiry.

(8) For the purposes of any inquiry under this section the Council

and the Disciplinary Committee shall have the same powers as

are vested in a civil court under the Code of Civil Procedure, 1908

(5 of 1908), in respect of the following matters,-

(a) summoning and enforcing the attendance of any person and

examining him on oath;

(b) the discovery and production of any document; and

(c) receiving evidence on affidavits.

22. Misconduct defined

For the purposes of this Act, the expression "professional

misconduct" shall be deemed to include any act or omission

specified in any of the Schedules, but nothing in this section shall

be construed to limit or abridge in any way the power conferred

or duty cast on the Council under sub-section (1) of section 21 to

inquire into the conduct of any member of the Institute under any

other circumstances.

CHAPTER VI: REGIONAL COUNCILS

23. Constitution and functions of Regional Councils

(1) For the purpose of advising and assisting on matters

concerning its functions, the Council may constitute such

Regional Councils as and when it deems fit for one or more of the

regional constituencies that may be specified by the Central

Government under clause (a) of sub-section (2) of section 9.

(2) The Regional Councils shall be constituted in such manner and

exercise such functions as may be prescribed.

CHAPTER VII: PENALTIES

24. Penalty for falsely claiming to be a member, etc.

Any person who-

(i) not being a member of the Institute-

(a) represents that he is a member of the Institute; or

(b) uses the designation, cost accountant; or

(ii) being a member of the Institute, but not having a certificate of

practice, represents that he is in practice or practices as a cost

accountant;

shall be punishable on first conviction with fine which may extend

to one thousand rupees, and on any subsequent conviction with

imprisonment which may extend to six months, or with fine which

may extend to five thousand rupees, or with both.

25. Penalty for using name of the Council, awarding degrees of

cost accountancy, etc.

(1) Save as otherwise provided in this Act, no person shall-

(i) use a name or a common seal which is identical with the name

or the common seal of the Institute or so nearly resembles it as to

deceive or as is likely to deceive the public;

(ii) award any degree, diploma or certificate or bestow any

designation which indicates or purports to indicate the position or

attainment of any qualification or competence in cost

accountancy similar to that of a member of the Institute; or

(iii) seek to regulate in any manner whatsoever the profession of

cost and works accountants.

(2) Any person contravening the provisions of sub-section (1)

shall, without prejudice to any other proceedings which may be

taken against him, be punishable on first conviction with fine

which may extend to one thousand rupees, and on any

subsequent conviction with imprisonment which may extend to

six months, or with fine which may extend to five thousand

rupees, or with both.

(3) Nothing contained in this section shall apply to any university

established by law or to any body affiliated to the Institute.

(4) If the Central Government is satisfied that any diploma or

certificate or any designation granted or conferred by any person

other than the Institute, which purports to be a qualification in

cost accountancy but which, in the opinion of the Central

Government, falls short of the standard of qualifications

prescribed for cost accountants and does not in fact indicate or

purport to indicate the position or attainment of any qualification

or competence in cost accountancy similar to that of a member of

the Institute, it may, by notification in the Official Gazette and

subject to such conditions as it may think fit to impose, declare

that this section shall not apply to such diploma or certificate or

designation.

26. Companies not to engage in cost accountancy

(1) No company, whether incorporated in India or elsewhere, shall

practice as cost accountants.

(2) Any contravention of the provisions of sub-section (1) shall be

punishable on first conviction with fine which may extend to one

thousand rupees, and on any subsequent conviction to five

thousand rupees.

27. Unqualified persons, not to sign documents

(1) No person other than a member of the Institute shall sign any

document on behalf of a cost accountant in practice or a firm of

such cost accountants in his or its professional capacity.

(2) Any person contravening the provision of sub-section (1) shall,

without prejudice to any other proceedings which may be taken

against him, be punishable with fine which may extend on first

conviction to one thousand rupees, and on any subsequent

conviction with imprisonment which may extend to six months, or

with fine which may extend to five thousand rupees, or with both.

28. Offences by companies

(1) If the person committing an offence under this Act is a

company, the company as well as every person in charge of, and

responsible to, the company for the conduct of its business at the

time of the commission of the offence shall be deemed to be

guilty of the offence and shall be liable to be proceeded against

and punished accordingly:

PROVIDED that nothing contained in this sub-section shall render

any such person liable to any punishment if he proves that the

offence was committed without his knowledge or that he

exercised all due diligence to prevent the commission of such

offence.

(2) Notwithstanding anything contained in this sub-section (1),

where an offence under this Act has been committed by a

company and it is proved that the offence has been committed

with the consent or connivance of, or that the commission of the

offence is attributable to any neglect on the part of, any director,

manager, secretary or other officer of the company, such director,

manager, secretary or other officer shall also be deemed to be

guilty of that offence and shall be liable to be proceeded against

and punished accordingly.

Explanation: For the purposes of this section-

(a) "company", with respect to an offence under section24,

section 25 or section 27, means any body corporate and includes

a firm or other association of individuals; and with respect to an

offence under section 26 means a body corporate; and

(b) "director" in relation to a firm, means a partner in the firm.

29. Sanction to prosecute

No person shall be prosecuted under this Act except on a

complaint made by or under the order of the Council or of the

Central Government.

CHAPTER VIII: DISSOLUTION OF THE INSTITUTE OF COST

AND WORKS ACCOUNTANTS REGISTERED UNDER THE

COMPANIES ACT, 1956 (1 OF 1956)

30. Dissolution of the Institute of Cost and Works Accountants

registered under the Companies Act, 1956

On the commencement of this Act-

(a) the company known as the Institute of Cost and Work

Accountants registered under the Companies Act, 1956 (1 of

1956), shall be dissolved and thereafter no person shall make,

assert or take any claims, demand or proceedings against the

dissolved company or against any officer thereof in his capacity

as such officer except insofar as may be necessary, for enforcing

the provisions of this Act;

(b) the right of every member to or in respect of the dissolved

company shall be extinguished, and thereafter no member of that

company shall make, assert or take any claims or demands or

proceedings in respect of that company except as provided in this

Act.

31. Transfer of assets and liabilities of the dissolved company to

the Institute

(1) On the commencement of this Act, there shall be transferred

to and vested in the Institute all the assets and liabilities of the

dissolved company.

(2) The assets of the dissolved company shall be deemed to

include all rights and powers, and all property, whether movable

or immovable of the company, including, in particular, cash

balances, reserve funds, investments, deposits and all other

interests and rights in or arising out of such property as may be in

the possession of the dissolved company and all books of

accounts or documents of the dissolved company and the

liabilities shall be deemed to include all debts, liabilities and

obligations of whatever kind then existing of that company.

(3) All contracts, debts, bonds, agreements and other instruments

of whatever nature to which the dissolved company is a party,

subsisting or having effect immediately before the

commencement of this Act, shall be of as full force and effect

against or in favour of the Institute, as the case may be, and may

be enforced as fully and effectively as if instead of the dissolved

company, the Institute had been a party thereto.

(4) If, on the commencement of this Act, any suit, appeal or other

legal proceeding of whatever nature by or against the dissolved

company is pending, the same shall not abate, be discontinued or

be in any way prejudicially affected by reason of the transfer to

the Institute of the assets and liabilities of the dissolved company

or of any thing contained in this Act, but the suit, appeal or other

proceeding may be continued, prosecuted and enforced by or

against the Institute, in the same manner and to the same extent

as it would or may be continued, prosecuted and enforced by or

against the dissolved company if this Act had not been passed.

32. Provisions respecting employees of the dissolved company

(1) Every person employed in the dissolved company prior to the

lst day of September, 1958, and still in its employment

immediately before the commencement of this Act shall, as from

such commencement, become an employee of the Institute, shall

hold his office or service therein by the same tenure and upon the

same terms and conditions and with the same rights and

privileges as to pension and gratuity as he would have held the

same under the dissolved company if this act had not been

passed, and shall continue to do so unless and until his

employment in the Institute is terminated or until his

remuneration, terms and conditions of employment are duly

altered by the Institute.

(2) Notwithstanding anything contained in the Industrial Disputes

Act, 1947 (14 of 1947), or in any other law for the time being in

force, the transfer of the services of any employee of the

dissolved company to the Institute shall not entitle any such

employee to any compensation under that Act or other law, and

no such claim shall be entertained by any court, Tribunal or other

authority.

CHAPTER IX: MISCELLANEOUS

33. Appeals

(1) Any member of the Institute aggrieved by any order of the

Council imposing on him any of the penalties referred to in clause

(a) or clause (b) of sub-section (4) of section 21, may, within thirty

days of the date on which the order is communicated to him,

prefer an appeal to the High Court:

PROVIDED that the High Court may entertain any such appeal

after the expiry of the said period of thirty days, if it is satisfied

that the member was prevented by sufficient cause from filing the

appeal in time.

(2) The High Court may, on its own motion or otherwise, after

calling for the records of any case, revise any order made by the

Council under sub-section (2) or sub-section (4) of section 21 and

may-

(a) confirm, modify or set aside the order;

(b) impose any penalty or set aside, reduce, confirm or enhance

the penalty imposed by the order;

(c) remit the case of the Council for such further enquiry as the

High Court considers proper in the circumstances of the case;

(d) pass such other order as the High Court thinks fit:

PROVIDED that no order of the Council shall be modified or set

aside unless the council has been given an opportunity of being

heard and no order imposing or enhancing a penalty shall be

passed unless the person concerned has been given an

opportunity of being heard.

Explanation : In this section "High Court" and "member of the

Institute" have the same meanings as in section 21.

34. Alteration in Register and cancellation of certificate

(1) Where an order is made under this Act reprimanding a

member a record of the punishment shall be entered against his

name in the Register.

(2) Where the name of any member is removed, the certificate of

practice granted to him under this Act shall be recalled and

cancelled.

35. Directions of the Central Government

(1) The Central Government may from time to time issue such

directions to the Council as in the opinion of the Central

Government are conducive to the fulfilment of the objects of this

Act and in the discharge of its functions, the Council shall be

bound to carry out any such directions.

(2) Directions issued under sub-section (1) may include directions

to the Council to make any regulations or to amend or revoke any

regulations already made.

(3) If, in the opinion of the Central Government the Council has

persistently made default in giving effect to the directions issued

under this section, the Central Government may, after giving an

opportunity to the Council to state its case, by order, dissolve the

Council, whereafter a new Council shall be constituted in

accordance with the provisions of this Act with effect from such

date as may be specified by the Central Government.

(4) Where the Central Government passes an order under sub-

section (3), dissolving the Council, it may, pending the

constitution of new Council in accordance with the provisions of

this Act, authorise any person or body of persons to take over the

management of the affairs of the Institute and to exercise such

functions as may be specified in this behalf by the Central

Government.

36. Protection of action taken in good faith

No suit, prosecution or other legal proceeding shall lie against the

Central Government or the Council in respect of anything which is

in good faith done or intended to be done in pursuance of this Act

or of any regulations or orders made thereunder.

37. Maintenance of branch offices

(1) Where a cost accountant in practice or a firm of such cost

accountants has more than one office in India, each one of such

offices shall be in the separate charge of a member of the

Institute:

PROVIDED that the Council may in suitable cases exempt any cost

accountant in practice or firm of such cost accountants from the

operation of this sub-section.

(2) Every cost accountant in practice or firm of such cost

accountants maintaining more than one office shall send to the

Council a list of offices and the persons in charge thereof and

shall keep the Council informed of any changes in relation

thereto.

38. Reciprocity

(1) Where any country, specified by the Central Government in

this behalf by notification in the Official Gazette, prevents persons

of Indian domicile from becoming member of any institution

similar to the Institute established under this Act or from

practising the profession of cost accountancy or subjects them to

unfair discrimination in that country, no subject of any such

country shall be entitled to become a member of the Institute or

practise the profession of cost accountancy, in India.

(2) Subject to the provisions of sub-section (1), the Council may

prescribe the conditions, if any, subject to which foreign

qualifications relating to cost accountancy shall be recognised for

the purposes of entry in the Register.

39. Power to make regulations

(1) The Council may, by notification in the Gazette of India, make

regulations for the purpose of carrying out the objects of this Act,

and a copy of such regulations shall be sent to each member of

the Institute.

(2) In particular, and without prejudice to the generality of the

foregoing power, such regulations may provide for all or any of

the following matters, namely:-

(a) the standard and conduct of examinations under this Act;

(b) the qualification for the entry of the name of any person in the

Register as a member of the Institute;

(c) the qualification required for the purposes of sub-section (4) of

section 5;

(d) the conditions under which any examination or training may

be treated as equivalent to the examination or training prescribed

for members of the Institute;

(e) the conditions under which any foreign qualification may be

recognised;

(f) the manner in which and the conditions subject to which

applications for entry in the Register may be made;

(g) the fees payable for membership of the Institute and the

annual fees payable by associates and fellows of the Institute in

respect of their certificates;

(h) the manner in which elections to the Council and the Regional

Councils may be held;

(i) the particulars to be entered in the Register;

(j) the functions of Regional Councils;

(k) the regulation and maintenance of the status and standard of

professional qualifications of members of the Institute;

(l) the carrying out of research in accountancy;

(m) the maintenance of libraries and publication of books and

periodicals relating to cost accountancy and allied subjects;

(n) the management of the property of the Council and the

maintenance and audit of its accounts;

(o) the summoning and holding the meetings of the Council and

committees thereof, the time and places of such meetings, the

procedure to be followed thereat and the number of members

necessary to form a quorum;

(p) the manner in which the annual list of members of the

Institute shall be published;

(q) the powers, duties and functions of the President and the Vice-

President of the Council;

(r) the functions of the standing and other committees and the

conditions subject to which such functions shall be discharged.

(s) the terms of office, and the powers, duties and functions of the

Secretary and other employees of the Council;

(t) the exercise of disciplinary powers conferred by this Act;

(u) the terms and conditions of service of persons who have

become employees of the institute under section 32 of this Act;

(v) the registration and training of students and the fees to be

charge therefor and

(w) any other matter which is required to be, or may be,

prescribed under this Act.

(3) All regulations made by the Council under this Act shall be

subject to the condition of previous publication and to the

approval of the Central Government.

(4) Notwithstanding anything contained in sub-sections (1) and

(2), the Central Government may frame the first regulations for

the purposes mentioned in this section, and such regulations shall

be deemed to have been made by the Council, and shall remain

in force until they are amended, altered or revoked by the

Council.

(5) Every regulation made under this Act shall be laid, as soon as

may be after it is made, before each House of Parliament, while it

is in session, for a total period of thirty days which may be

comprised in one session or in two or more successive sessions,

and, if ,before the expiry date of the session immediately

following the session or the successive sessions aforesaid, both

Houses agree in making any modification in the regulation, or

both houses agree that the regulation should not be made, the

regulation shall thereafter have effect only in such modified form

or be of no effect, as the case may be; so, however, that any such

modification or annulment shall be without prejudice to the

validity of anything previously done under that regulation.

SCHEDULE I

[Secs. 21(4) and 22]

PART I

PROFESSIONAL MISCONDUCT IN RELATION TO COST

ACCOUNTANTS IN PRACTICE

A cost accountant in practice shall be deemed to be guilty of

professional misconduct, if he-

(1) allows any person to practise in his name as a cost accountant

unless such person is also a cost accountant in practice and is in

partnership with or employed by himself;

(2) pays or allows or agrees to pay or allow, directly or indirectly,

any share, commission or brokerage in the fees or profits of his

professional work, to any person other than a member of the

Institute or a partner or a retired partner or the legal

representative of deceased partner.

Explanation: In this item, "partner" includes a person residing

outside India with whom a cost accountant in practice has

entered into partnership which is not in contravention of item (4)

of this part.

(3) accepts or agrees to accept any part of the profits of the

professional work of a lawyer, auctioneer, broker or other agent

who is not a member of the Institute;

(4) enters into partnership with any person other than a cost

accountant in practice or a person resident without India who but

for his residence abroad would be entitled to be registered as a

member of the Institute under clause (iv) of sub-section (1) of

section 4 or whose qualifications are recognised by the Central

Government or the Council for the purpose of permitting such

partnerships, provided that the cost accountant shares in the fees

or profits of the professional work of the partnership both within

and without India;

(5) secures, either through the services of a person not qualified

to be his partner or by means which are not open to a cost

accountant, any professional work;

(6) solicits clients or professional work either directly or indirectly,

by circular, advertisement, personal communication or interview

or by any other means;

(7) advertises his professional attainments or services, or uses

any designation or expression other than cost accountant on

professional documents, visiting cards, letter heads, or sign

boards, unless it be a degree of a university established by law in

India or recognised by the Central Government or a title

indicating membership of the Institute of Cost and Works

Accountants of India or any other institution that has been

recognised by the Central Government or may be recognised by

the Council;

(8) accepts a position as cost accountant previously held by

another cost accountant in practice without first communicating

with him in writing;

(9) charges or offers to charge, accepts or offers to accept in

respect of any professional employment fees which are based on

a Percentage of profits or which are contingent upon the findings

or results of such employment, except in cases which are

permitted under any regulations made under this Act;

(10) engages in any business or occupation other than the

profession of Cost accountant unless permitted by the Council so

to engage:

PROVIDED that nothing contained herein shall disentitle a cost

accountant from being a director of a company unless he or any

of his partners is interested in such company as accountant;

(11) accepts a position as cost accountant previously held by

some other cost accountant in practice in such conditions as to

constitute under-cutting;

(12) allows a person not being a member of the Institute in

practice or a member not being his partner to sign on his behalf

or on behalf of his firm, any cost or pricing statements or any

other statements related thereto.

PART II

PROFESSIONAL MISCONDUCT IN RELATION TO MEMBERS

OF THE INSTITUTE IN SERVICE

A member of the Institute (other than a member in practice) shall

be deemed to be guilty of professional misconduct, if he being an

employee of any company, firm or person-

(1) pays or allows or agrees to pay directly or indirectly, to any

person any share in the emoluments of the employment

undertaken by the member;

(2) accepts or agrees to accept any part of fees, profits or gains

from a lawyer, a cost accountant or broker engaged by such

company, firm or person or agent or customer of such company,

firm or person by way of commission or gratification;

(3) discloses confidential information acquired in the course of his

employment otherwise than as required by any law for the time

being in force or as permitted by his employer.

PART III

PROFESSIONAL MISCONDUCT IN RELATION TO MEMBERS

OF THE INSTITUTE GENERALLY

A member of the Institute whether in practice or not shall be

deemed to be guilty of professional misconduct, if he-

(1) includes in any statement, return or form to be submitted to

the Council any particulars knowing them to be false;

(2) not being a fellow styles himself as a fellow;

(3) does not supply the information called for or does not comply

with the requirements asked for by the Council or any of its

Committees.

SCHEDULE II

[Secs. 21(5) and 22]

PART I

PROFESSIONAL MISCONDUCT IN RELATION TO COST

ACCOUNTANTS IN PRACTICE REQUIRING ACTION BY A HIGH

COURT

A cost accountant in practice shall be deemed to be guilty of

professional misconduct, if he-

(1) discloses information acquired in the course of his professional

engagement to any person other than the client so engaging him,

without the consent of such client, or otherwise than as required

by any law for the time being in force;

(2) certifies or submits in his name or in the name of his firm a

report of an examination of cost accounting and related

statements, unless the examination of such statements has been

made by him or by a partner or an employee in his firm or by

another cost accountant in practice;

(3) permits his name or the name of his firm to be used in

connection with an estimate of cost or earnings contingent upon

future transactions in a manner which may lead to the belief that

he vouches for the accuracy of the forecast;

(4) expresses his opinion on cost or pricing statements of any

business or any enterprise in which he, his firm or a partner in his

firm has a substantial interest, unless he discloses the interest

also in his report;

(5) fails to disclose in a cost or pricing statement a material fact

known to him, which is not disclosed in a cost or pricing

statement, but disclosure of which is necessary to make such

statement not misleading;

(6) fails to report a material mis-statement known to him to

appear in a cost or pricing statement with which he is concerned

in a professional capacity;

(7) is grossly negligent in the conduct of his professional duties;

(8) fails to obtain sufficient information to warrant the expression

of an opinion or make exceptions which are sufficiently material

to negate the expression of an opinion;

(9) fails to invite attention to any material departure from the

generally accepted procedure of costing and pricing applicable to

the circumstances;

(10) fails to keep moneys of his client in a separate banking

account or to use such moneys for purposes for which they are

intended.

PART II

PROFESSIONAL MISCONDUCT IN RELATION TO MEMBERS

OF THE INSTITUTE GENERALLY REQUIRING ACTION BY A

HIGH COURT

A member of the Institute, whether in practice or not, shall be

deemed to be guilty of professional misconduct, if he-

(1) contravenes any of the provisions of this Act or the regulations

made thereunder;

(2) is guilty of such other act or omission as may be specified by

the Council in this behalf, by notification in the Gazette of India.

COST AND WORKS ACCOUNTANTS REGULATIONS, 1959

[GSR 611, dated 25th. May, 1959]

CHAPTER I : PRELIMINARY

1. Short title

The Regulations may be called by the Cost and Works

Accountants Regulations, 1959.

2. Definitions

In these Regulations, unless the context otherwise requires,-

(a) 'Act' means the Cost and Works Accountants Act, 1959;

(b) 'Annual Meeting' means the first meeting of the council held

after lst June in each year;

(c) 'Certificate of practice' means a certificate granted under

these Regulations entitling the holder to practise as a Cost

Accountant;

(d) 'Form' means a form set out in the Schedule to these

Regulations;

(e) 'Registered Student' means a person registered as a student

under these Regulations and includes a student registered as

such with the dissolved company, immediately prior to the

commencement of the Act;

(f) 'Secretary' means the secretary of the council and includes a

Deputy or Assistant Secretary or any person acting as Secretary

by the direction of the Council;

(g) 'Section' and 'sub-section' mean respectively a section and a

sub-section of the Cost and Works Accountants Act, 1959;

(h) 'University' means a University constituted by law in India or

any other University recognised by the Central Government.

CHAPTER II : MEMBERS OF THE INSTITUTE

3. Register

The Register of Members of the institute shall be in Form 'A'.

4. Qualification for Members

Subject to the provisions of sections 4 and 8, no person shall be

entitled to have his

name entered in the register unless he-

(a) has passed the examinations and completed practical training

prescribed in Chapter V; or

(b) possesses qualifications recognised by the Central

Government or the Council as equivalent to the tests and

practical training referred to in (a) above; or

(c) is eligible under clause (i) or clause (iii) of sub-section (1) of

section 4.

5. Qualifications for fellowship

For purposes of sub-section (4) of section 5 an Associate who, for

a continuous period of not less than five years immediately before

the date of his application has held a position as Chief Cost

Accountant or an equivalent appointment, by whatever name

designated, in an organisation approved for the purpose by the

council shall be deemed to have experience equivalent to the

experience acquired as a result of continuous practice for a period

of five years as a Cost Accountant.

6. Application for membership

(1) Every person who desires to have his name entered in the

register, and any associate who desires to be admitted as a

fellow, shall submit an application, together with documentary

evidence about his eligibility for membership and the fees

prescribed in these Regulations to the Secretary in Form 'B'.

(2) The applicant shall furnish such further information bearing on

his application as the council may at any time require from him.

7. Fees

(1) Every person applying for membership of the institute shall

pay an entrance fee of Rs. 300:

PROVIDED that an applicant may pay Rs. 100 along with his

application and the balance of Rs. 200 in two instalments of Rs.

100 each within the first 12 months and 24 months respectively

from the date of his being enrolled as a member.

(2) Every associate applying for admission as a Fellow shall pay

an entrance fee of Rs. 200.

(3) An associate shall pay an annual membership fee of Rs. 150

which shall be due and payable on the lst April in each year:

PROVIDED that only half the amount of the annual membership

fee shall be payable for the first year by a person admitted on or

after the lst October in any year.

(4) A fellow shall pay an annual membership fee of Rs. 300 which

shall be due and payable on the lst April in each year:

PROVIDED that an associate who is admitted as a fellow during a

year may pay Rs. 150 or Rs. 75 only as membership fee for that

year accordingly as he is admitted as a fellow prior to the lst

October, or after the lst October, of that year.

(5) Every member in practice shall pay an annual certificate fee of

Rs. 100 which shall be due and payable on the lst April in each

year.

(6) Effective from lst April l971, a member of not less than sixty

years of age who has been a member of the institute for at least

fifteen years, and who has retired permanently from professional

work or business or from salaried employment, and who produces

evidence to the. satisfaction of the council of his age and

retirement, shall pay a reduced annual fee of Rs. 10 or Rs. 15,

accordingly as at the time of his retirement he is an Associate or a

fellow member.

(7) The non-payment of annual membership fee within six months

from the date on which it becomes due will render the name of

the defaulter liable to be removed from the Register of Members.

8. Refund of fees

Every person whose application for admission to the membership

of the Institute or whose application for a Certificate of Practice is

not accepted by the Council shall be entitled to a refund of the

fees paid by him.

9. Certificate of Membership

(1) If the application is accepted by the Council, the applicant's

name shall be entered in the Register and a Certificate of

Membership in Form 'C' shall be issued to him.

(2) In the event of the name of a member being removed from

the Register under section 20, the Certificate of Membership then

held by him shall be forthwith returned to the Secretary.

10. Certificate of Practice

(1) A member of the Institute may apply to the Council for a

Certificate entitling him to practise as a Cost Accountant

throughout India. Every application for the grant or renewal of a

Certificate shall be accompanied by the requisite annual

Certificate fee and shall be in Form 'D'. The Certificate shall be

issued in Form 'E' and shall be valid until the 30th June of the next

year following. On a proper application in Form 'D' for the renewal

of the Certificate of practice for the succeeding twelve months,

the validity of the Certificate shall be extended from time to time

by a Certificate in writing by the Secretary in Form 'F'.

(2) A member who ceases to be in practice shall, not later than

one month from the date he ceases to practice, intimate the fact

to the council in writing.

(3) A member who ceases to be in practice or whose Certificate of

Practice has been cancelled under Regulation 11 shall surrender

the Certificates then held by him to the Secretary.

11. Cancellation of Certificate of Practice

(1) A certificate of practice shall be cancelled-

(a) when the name of the holder of the certificate is removed

from the Register of Members, or

(b) when the Council is satisfied that such certificate was issued

on the strength of incorrect, misleading or false information, or by

mistake or inadvertence; or

(c) when a member has ceased to practice:

PROVIDED that reasonable notice shall be given to the member

before cancelling his Certificate under clause (b).

(2) The cancellation of a Certificate shall be effective-

(a) in a case falling under clause (a) of sub-regulation (l) from the

date on which and during the period for which the name of the

holder of the Certificate was removed from the Register of

Members; and

(b) In any other case from such date and for such period as the

Council may determine.

(3) When a Certificate is cancelled, the date from which and the

period for which the Certificate shall stand cancelled, shall be

communicated to the member concerned and shall also be

notified in the Gazette of India.

CHAPTER III : COMPLAINTS AND ENQUIRIES

12. Complaints and enquiries relating to misconduct of members

(1) Subject to the provisions of this Regulation, all complaints

against members of the Institute under Section 21 shall be

investigated, and all enquiries relating to misconduct of members

shall be held, by the Disciplinary Committee.

(2) A complaint under section 21 shall be made to the Council in

Form 'G'.

(3) Every such complaint shall contain the following particulars,

namely:-

(a) the acts and omissions which if proven would render the

member complained against guilty of any professional or other

misconduct;

(b) the oral or documentary evidence relied upon in support of the

allegations made in the complaint.

(3A) Every complaint other than a complaint made by or on behalf

of the Central or any State Government, shall be accompanied by

a deposit of a sum of Rs. 50 which will be forfeited if the council

after considering the complaint comes to the conclusion that no

prima facie case is made out and that the complaint is either a

frivolous one or is made with mala fide intention.

(4) The Secretary shall return a complaint which is not in the

proper form or which does not contain the aforesaid particulars to

the complainant for representation after compliance with such

objections and within such time as the Secretary may specify.

(5) Within sixty days ordinarily of the receipt of complaint under

section 21 the Secretary shall,

(a) if the complaint is against an individual member, send a copy

thereof to such member at his address as entered in the Register

of Members.

(b) if the complaint is against a firm, send a copy of the complaint

to the firm concerned at the address of the head office of the firm

as entered in the register of Offices and Firms with a notice calling

upon the firm to disclose the name of the member concerned and

to send a copy of the complaint to such member.

(6) A member against whom a complaint is made may, within

fourteen days of the service of a copy of the complaint under sub-

regulation (5), or within such further time as the

Secretary may allot, forward to him a written statement in his

defence verified in the same manner as a pleading in a Civil

Court.

(7) If, on a perusal of the complaint and the written statement, if

any of the member concerned and other relevant documents and

papers, the Council is of the opinion that there is a prima facie

case against such member, the Council shall cause an enquiry to

be made in the matter by the Disciplinary Committee. If the

Council is of the opinion that there is no prima facie case against

the member concerned or if the subject matter of the complaint is

substantially the same as or caused by a complaint already

received against such member, the complaint shall be dismissed

and the complainant and the member concerned shall be

informed accordingly:

PROVIDED that the Council may before dismissing the complaint,

call for any additional particulars or documents connected with

the case, either from the complainant or from the respondent or

from both, if in its opinion it is necessary to do so.

(8) Every notice issued by the Secretary or by the Disciplinary

Committee under this Regulation shall be sent to the member or

the firm concerned by registered post with acknowledgement

due. If the notice is returned with endorsement indicating that the

addressee cannot be found at the address given, the Secretary

shall ask the complainant to supply to him the correct address of

the member or firm concerned and send a fresh notice to the

member or firm at the address so supplied.

13. Information relating to misconduct of members

The procedure prescribed by Regulation 12 shall, so far as may

be, apply to any information received under section 21.

14. Procedure in any enquiry before the Disciplinary Committee

(1) It shall be the duty of the Secretary to place before the

Disciplinary Committee all facts brought to his knowledge which

are relevant for the purpose of an enquiry by the Disciplinary

Committee.

(2) A member against whom a complaint is made shall have a

right to defend himself before the Disciplinary Committee either

in person or through a legal practitioner or any other member of

the Institute.

(3) The Disciplinary Committee shall have the power to regulate

its procedure in such manner as it considers necessary and during

the course of enquiry may examine witnesses on oath, receive

affidavits and any other oral or documentary evidence.

(4) Where, during the progress of an enquiry, the Disciplinary

Committee undergoes a change of personnel for any reason

whatsoever, the respondent shall have the option to have his

case heard de novo and the enquiry conducted accordingly.

15. Report of the Disciplinary Committee

(1) The Disciplinary Committee shall submit its report to the

Council.

(2) The Council shall consider the report of the Disciplinary

Committee and if in its opinion a further enquiry is necessary,

may cause such further enquiry to be made and a further report

submitted by the Disciplinary Committee and after considering

such further report of the Disciplinary Committee, the Council

shall proceed in the manner laid down in section 21.

15A. Procedure in hearing before the Council

(1) If the Council, on recording a finding, as required under sub-

section (3) of section 21, is of the opinion that there is a case for

passing one of the orders specified in clause (a) or clause (b) of

sub-section (4) of the said section, it shall-

(a) furnish to the member against whom the complaint relating to

the finding has been made, a copy of the report of the

Disciplinary Committee and a copy of its finding; and

(b) give him such notice as may be decided by the Council,

indicating the order proposed to be passed against him and

calling upon him to appear before it on a specified date or dates,

or if he does not wish to be heard in person, to send within a

specified time such representation in writing as he may wish to

make against the proposed order.

(2) The scope of the hearing or of the representation in writing, as

the case may be, shall be restricted to the matters concerning the

enquiry.

(3) The Council shall after hearing the member concerned ,if he

appears in person, or after considering the representation, if any,

made by him, pass such orders as it may think fit.

(4) The orders passed by the Council shall be communicated to

the complainant and to the member concerned.

16. Notification of removal

The removal of the name of any person from the membership of

the Institute shall

be notified in the Gazette of India and shall also be communicated

in writing to the person concerned.

17. Restoration of Membership

The Council may on application made to it in Form 'H' by a person

whose name has been removed from the Register of Members of

the Institute or of the dissolved company, restore his name if he is

otherwise eligible to such membership, on payment before such

restoration of the balance of entrance fee, if any, and the annual

fee for the year during which his name is restored, and, if his

name has been removed under clause (c) of sub-section (1) of

section 20 or under Article 20(c) of the Articles of Association of

the dissolved company all arrears on account of the annual fee

subject to a maximum of Rs. 300 and restoration fee of Rs. 25:

PROVIDED that the restoration of the name of a person which was

removed under sub-section (2) of section 20 shall be effected in

accordance with the orders of the High Court or the Council, as

the case may be.

18. Notification of restoration

The restoration of a name to the membership shall be notified in

the Gazette of India and shall also be communicated in writing to

the person concerned.

CHAPTER IV : REGISTERED STUDENTS

19. Eligibility to take Examinations

Admission to the Intermediate and Final Examinations of the

Institute shall be restricted to Registered Students, who shall be

required to undergo such theoretical and practical training as the

Council may arrange, approve or prescribe and pay such fees for

the same as may be prescribed.

20. 1[Conditions of Registration

Every person applying for registration as a Registered Student

shall be required to apply in Form I and produce evidence to the

satisfaction of the Council that he possesses one of the following

qualifications:-

(a) He has passed a Foundation Course Examination prescribed

under these regulations.

(b) He has been conferred a degree from any University or

equivalent.

20A. Admission to the Foundation Course Examination

Every person applying for admission to the Foundation Course

Examination shall be required to apply in the form prescribed by

the Council for the purpose and produce evidence to the

satisfaction of the Council that he has-

(a) Completed seventeen years of age on the date of his

application; and

(b) Passed the Senior Secondary School Examination under the 10

+ 2 scheme of a recognised Board or an Examination recognised

by Central Government as equivalent thereto or has passed the

National Diploma in Commerce Examination held by the All India

Council of Technical Education or any State Board of Technical

Education under the authority of the said All India Council, or the

Diploma in Rural Service Examination conducted by the National

Council of Rural Higher Education.

20B. Fee, papers and syllabus for Foundation Course Examination

No candidate shall be admitted to Foundation Course Examination

unless he applies in the prescribed form along with a fee of

Rupees One Hundred and Twenty-five only or such fees as may

be fixed by the Council from time to time and is otherwise eligible

for the examination and then he shall be examined in the

following subjects.

FOUNDATION COURSE

PAPER 1: BUSINESS FUNDAMENTALS AND ECONOMICS

(One paper: 3 hours: 100 marks)

Section 1 : Business Fundamentals (50 marks)

Aim: To introduce the candidate to the world of the business and

to acquaint him with the basic principles of Economic and

Commercial practices.

Level of knowledge: Basic knowledge: basic knowledge

1.Type of business units: Sole proprietorship, partnership

companies, Co-operatives, Hindu undivided family, joint Stock

Companies, Public Utility Services and State Enterprises.

Company Organisation and Management

2.Type of companies : their formation, incorporation and

commencement of business, Memorandum of Association and

Articles of Association, Prospectus, shares and debentures, Board

of Directors and statutory and general meetings.

3.Business objectives, concept and rationale of social

responsibility, Business and its environments, interface with legal,

political, economic, social and cultural aspects.

Working systems of Stock Exchange

4.Dealers and brokers, transactions, economic significance,

conditions of membership, stock exchange.

Business Communication and Report writing

(5) Preparation of telegraphic message, public notices and

invitations, circulars, drafting of advertisements, filing of

complaints, letter writing.

Section 2: Economics (50 marks)

1.Definition, scope and subject matter of Economics-a few

fundamental concepts like utility, wealth, factors of production,

demand and supply, equilibrium, land and the laws of diminishing

returns.

2.Labour and population theories, definition of capital and growth

of capital, steps in capital formation.

3.Market Forms-Value under perfect competition, value under

imperfect competition.

4.National income-Gross National Product, Net National Product,

measurement of National Income, difficulties and significance of

National Income analysis, economic growth and fluctuations,

consumption savings and investments.

Distribution-Income determination and equilibrium relating to

rent, wages, interest and profit.

5.Money-Definition and functions of money. Quantity theory of

money, inflation, effects of inflation of production and distribution

of wealth, control of inflation, money supply, liquidity preference

and managerial efficiency, rate of interest and investment.

Banking-definition, functions and utility of banking, the principles

of commercial banking, multiple credit creation, essentials of a

sound banking system, Central Bank-Functions weapons of credit

control and the money market.

6.International Trade: Basic features of import export.

7.National and International Financial Institutions like Industrial

Finance Corporation of India (IFCI), Industrial Credit and

Investment Corporation of India (ICICI), Industrial Development

Bank of India (IDBI), Export Import Bank (EXIM), Asian

Development Bank, International Monetary Fund (IMF),

International Bank for Reconstruction and Development (World

Bank):

8.The theory of employment-Types of unemployment, concepts of

full employment and how it can be achieved.

9.Public Finance-Direct and Indirect Taxes, Canons of Taxation,

effects of Taxation on production and distribution. Taxable

capacity, deficit financing, Economic systems.

PAPER 2-MANAGEMENT AND ORGANISATION

(One Paper: 3 hours: 100 marks)

Aim : To provide working knowledge on various concepts and

functions of management and organisation to the extent

necessary to the work of a Cost and Management Accountant.

Level of Knowledge: Basic Knowledge.

Section 1: Management (50 marks)

1. Definition of management : Different schools of management

process and functions of management, principles of management.

Evolution of management thoughts, recent trends, management

as a profession.

2. The process of management covering planning, organising,

staffing, directing, motivating, communicating and controlling.

3. Pattern of management :Broad policies and functions,

structural pattern of the Board of Directors, delegation of power.

4. Public sector management, concept of public sector, social

objectives.

Section 2: Organisation (50 marks)

1. Nature of internal organisation of business enterprise, formal

and informal organisation, principles of organisation, (i) grouping

of activities (a) typical pattern of grouping by-product, services,

location, customers, processes, functions and time, (b) criteria for

grouping activities-specialisation, control, co-ordination, attention,

economy, creating a network of relationship to determining the

authority, delegation, chain of command, authority and

responsibility, decentralisation, span of control, (ii) level of

authority-staff, kind of staff, nature of staff work, advisory

services and control, line and staff relations, (iii) internal relations

committees and their roles.

2. Concepts and features: Schools of organisation theory –

classical behavioural and systems. Recent trends and approaches,

behaviour in organisation, nature, features, foundations and the

role of behavioural science. Behaviour process in organisation.

Paper 3: Basic Mathematics and Statistics (100 marks)

Aim: To ensure a basic understanding of quantitative tools and

their elementary application to business problems.

Level of knowledge: Basic knowledge

Arithmetic : Averages, mixtures, computation of interest,

discounting of bills, percentages, ratios and proportions.

Algebra:

(a) Number systems-real, imaginary, rational and irrational.

(b) Elementary knowledge of sets and the operations on them.

Simple applications and solution by the use of Venn diagram.

Truth table and its applications to statements.

(c) Indices and surds, variation, Logarithms, permutations and

combinations, compound interest.

(d) Solution of system of linear simultaneous equations (3

variables only). Quadratic equations, solution of linear inequalities

(by graphical method only).

Mensuration : Area and perimeter of triangles, circles,

parallelogram, regular polygon, volume and surface of cube,

prism, cylinder, pyramid, core, fustrums and spheres (including

zone and segments).

Plain Co-ordinate Geometry (Rectangular Cartesian co-ordinates

only). Length of a line segment, section ratio, gradiant of a line,

equations of straight line, circles, parabolism. Ellipse and

hyperbola (standard forms only).

Elementary statistics: Graphical presentation of statistical data,

frequency distribution, measures of central tendency (mean,

median, mode), measures of dispersion (range, mean, deviation,

standard variance), measures of skewness and kurtosis.

Paper 4: Commercial laws (100 marks)

Aim: To ensure a grasp of fundamental business laws required for

the functioning of a cost and management accountant.

Level of knowledge: Basic knowledge

1.The Contract Act, 1872 (9 of 1872)-nature of contract,

contractual terms, remedies for breach and elements of

contracts.

2.The Partnership Act, 1932 (9 of 1932)-General concepts.

3.The Sale of Goods Act, 1930 (3 of 1930)-General concepts.

4.The Negotiable Instruments Act, 1881 (26 of 1881)- General

concepts.

20C. Foundation Course Examination

(1) A candidate shall be declared to have passed in the

Foundation Course Examination if he obtains at one sitting a

minimum of 40 per cent of the total marks in each paper and an

aggregate of 50 per cent of the total marks of all papers in that

examination. The Council may however, vary the minimum pass

marks at is discretion for any or all the examinations.

(2) A list of successful candidates in an examination shall be

published in the Journal of the Institute in such manner as the

Council may direct. Each candidate shall be individually informed

of his result and also of the marks obtained by him in the paper or

papers of the examination in which he appeared. No certificate of

pass except mark sheet will be issued to a candidate passing the

Foundation Course Examination.

(3) Except as otherwise specifically provided in the foregoing

regulations, the provisions regarding conduct of examinations in

regulations 36 to 43 shall, so far as may be, apply to the

Foundation Course Examination.

(4) The first Foundation Course Examination shall be held in June

1994.

21. Registration Fee

Every person applying for registration shall pay the student

registration fee of Rs. 170.

22. Refund of fees

Every candidate whose application for registration is not accepted

by the Council shall be entitled to a refund of Student Registration

fee.

[Regulations 23 and 23A omitted by Notification No. CWR (1) / 88,

dated 31-1-1989]

24. Position of Registered Students

Student registration shall not confer any membership rights nor

entitle a person so registered to claim any form of membership of

the institute or of a Regional Council. He may, however, borrow

books from the library subject to such conditions as the Council

may from time to time specify and participate in the activities of

the Regional Council in accordance with the rules of the Regional

Council.

25. Time limit for Examinations and Cancellation of Registration

(1) A Registered Student will normally be required to complete

the Intermediate and Final Examinations of the Institute within a

period of seven years from the date of registration failing which

his registration shall be liable to cancellation.

(2) The registration of a student shall also be liable to cancellation

if he fails to appear at the Intermediate Examination within a

period of three years from the date of his registration:

PROVIDED that the sub-regulation (2) shall not apply to those who

became Registered students prior to April 1976.

25A 2[Registration de novo

A person whose registration has been cancelled under regulation

25 may apply in Form I along with the required fee to become a

Registered Student de novo and on his application being granted,

he shall be deemed for all purposes to have been admitted and

he shall be entitled to the exemption from individual

subjects/stages of the Intermediate or Final Examination, as the

case may be, previously secured by him under his former

registration.

26. Examination rules

Registered Students shall be required to comply with the rules

relating to the examinations which are in force at the time of

applying for admission to or appearing in the examinations.

27. Suspension and cancellation of Registration

In the event of any misconduct or breach of any Regulation by

any Registered Student, the Council may, if it is satisfied, after

such investigation as it may deem necessary and after giving him

an opportunity to make his objections, that the complaint is

proved, suspend or cancel the registration of the student.

28. Termination of Registration

The registration of a student shall terminate after he has passed

the qualifying examinations of the Institute.

28A. Coaching Administration and Training

(1) The Council may arrange for imparting training to Registered

Students and for this purpose established and operate a Coaching

Administration, makes rules, in connection therewith and charge

such fees as may be specified.

(2) The Coaching Administration shall at all times function subject

to the control, supervision and direction of the Training and

Educational Facilities Committee.

(3) All Registered Students shall be required to undergo such

training as may be prescribed before they are admitted to any of

the examinations referred to in Chapter V:

PROVIDED, however, that person registered as students prior to

lst January, 1965 shall be exempted from this requirement.

CHAPTER IVA : GRADUATES

28B. Grad. CWA

(1) A person who has passed the qualifying examinations of the

Institute may, before he is admitted as an Associate Member,

apply to the Council for being enrolled as a Graduate of the

Institute, and on such enrolment, he shall be entitled to use the

descriptive letters "Grad. CWA", subject to his payment of annual

subscription of Rs. 75, to indicate that he has qualified in the Final

Examination of the Institute.

(2) If a Grad. CWA has paid his annual subscription for a year, and

is admitted as an Associate during that year, he shall,

notwithstanding anything contained in sub-regulation (3) of

Regulation 7, pay Rs. 25 only as annual membership fee for that

year, irrespective of his date of admission as an Associate.

(3) Non-payment of annual subscription before 30th September of

every year will disentitle a person the use of the descriptive

letters "Grad, CWA".

CHAPTER V : QUALIFYING EXAMINATIONS

29. Who can become a member of the Institute

Except as otherwise provided for in the Act or these Regulations,

every person wishing to qualify himself for membership of the

Institute shall be required to pass the Intermediate and Final

Examinations of the Institute, and to complete the practical

training, as prescribed in this Chapter:

PROVIDED that those who have passed the Final Examination of

the dissolved company shall not be required to pass the

corresponding examination of the Institute.

INTERMEDIATE EXAMINATION

30. 3[Admission to and fees for Intermediate Examination

(1) No candidate shall be admitted to the Intermediate

Examination unless he is a Registered Student of the Institute and

has paid all his dues at least sixty days prior of the

commencement of the Examination:

PROVIDED that a candidate registered as a student shall not be

admitted to any stage or stages (Group or Groups under old

syllabus) of the Intermediate Examination as provided in

regulation 31, unless he has produced a certificate from the

Director of Studies or the Head of the Coaching Administration, by

whatever name designated, or from the head of the Institution

recognised by the Council in this behalf and duly approved by the

Director of Studies or the Head of the Coaching Administration, as

the case may be, to the effect that he has undergone

satisfactorily a course of postal or oral tuition for the said Stage or

Stages (Group or Groups under old syllabus) of the Intermediate

Examination as provided in regulation 31 :

PROVIDED FURTHER that the Examination Committee may on

receipt or being in possession, of any information against any

candidate regarding guilty of misconduct in using unfair means

during the examination or misbehaving in any manner in

examination hall decline to admit him to any examination after

giving him an opportunity to explain his conduct and after holding

such enquiry for the purpose as it may consider necessary.

(2) In the Intermediate Examination, a candidate can appear in

Stage I (Group I under old syllabus) or Stage II (Group II under old

syllabus) or both if he has completed coaching as mentioned in

sub-regulation (1).

(3) Every candidate for admission to the Intermediate

Examination shall pay an Examination fee at the rate of Rupees

One Hundred and Sixty only per stage or Group (old syllabus) and

Rupees Three Hundred and Twenty only for both the stages or

Groups (old syllabus) or such fees as may be fixed by the Council

from time to time.

4[31. Stages, Papers and Syllabus for the Intermediate

Examination under the revised syllabus

(1) The first Intermediate Examination under the revised syllabus

after the commencement of Cost and Works Accountants

(Amendment) Regulations, 1993 shall be held in December, 1994.

Students registered on or after lst July, 1994, shall, and students

registered prior to lst July, 1994, who may so opt, shall be

examined under the revised syllabus and all other students

registered prior to lst July, 1994 who are candidates for the

Intermediate Examination to be held from December, 1996, shall

also be examined under the revised syllabus. The Groups, papers

and syllabus for the Intermediate Examination under old syllabus

shall be the same as mentioned in this regulation before the date

of commencement of the Cost and Works Accountants

(Amendment) Regulations, 1993. The last Intermediate

Examination under the old syllabus shall be held in June, 1996.

(2) The stages, papers and syllabus for the Intermediate

Examination under the Revised syllabus shall be as follows:

INTERMEDIATE EXAMINATION-STAGES I & II

Stage I : Paper I : Financial Accounting

(One paper: 3 hours : 100 marks)

Aim : To examine candidate's ability for application of accounting

principles in different situations.

Level of knowledge: Adequate.

1. Basic concepts of book-keeping and accountancy. Definition of

accounting and its usefulness, book-keeping and accounting, its

principles and practices, classification of accounts.

2. (a)System of book-keeping : Double Entry System, books of

prime entry, subsidiary books, recording of cash and bank

transactions, preparation of ledger accounts, preparation of trial

balance, interpretation and usefulness;

(b) Book Reconciliation Statements-Need for reconciliation:

Procedure for reconciliation between cash book and bank pass

book and problems relating to the preparation of bank

reconciliation statements.

3. Bill of Exchange-Definition, promissory note and bill of

exchange, bills receivable, bills payable, drawing, accepting,

renewal and retirement of bills, accommodation bills.

4. Concept of Capital-Revenue and deferred revenue expenditure,

opening entries, closing entries, adjustment entries and

rectification entries. Trading, Manufacturing and Profit and Loss

Account and Balance Sheet. Bad Debts and reserve for bad debts-

its accounting treatment. Depreciation-its significance and

accounting treatment.

5. Concept of single entry of accounting vis-avis double entry

system of accounting, their inter-relationship and conversion from

single entry system to double entry system. Preparation of

receipts and payments accounts and income and expenditure

account. Significance of reserve and provisions. Preparation of

profit and loss account and balance sheet.

6. Joint Venture and consignment Accounts : Partnership

Accounts, admission, retirement and death of partner, dissolution

of partnership, piecemeal distribution of assets.

7. joint Stock Company Accounts-Issue, forfeiture and redemption

of shares and debentures, profits prior to incorporation and

company Profit and Loss Account and Balance Sheet as per

provisions of the Companies Act, 1956 (1 of 1956).

Stage I: Paper 2 : Cost Accounting

(One paper: 3 hours: 100 marks)

Aim: To provide in-depth knowledge of the various components of

cost and their ascertainment and treatment.

Level of knowledge: Thorough understanding

1. Introduction : Evolution of Cost Accounting and Management

Accounting, Cost concepts and cost object, Cost classification,

Cost organisation and its relationship with other departments.

2. Elements of cost and cost determination (i) Material cost-

purchase procedure, store keeping and stock control, pricing,

issue of material and accounting thereof, identification to slow ,

non-moving and fast moving item. ABC analysis, policies relating

to insurance spares, level of inventories and economic order

quality. Analysis, investigation and corrective steps for treatment

of stock discrepancies- control through other means.

(ii) Labour cost- remuneration methods, monetary and non-

monetary incentives schemes, payroll procedures, labour analysis

and idle time, measurement of labour efficiency and productivity,

analysis of non-productive time and their cost, labour turnover

and remedial measures, treatment of idle time and overtime.

(iii) Direct expenses-nature, collection and classification of Direct

Expenses and its treatment.

(iv) Overhead: nature, collection and classification.

(a) Production, overheads-distribution, appropriation, absorption

by-products, use of pre-determine recovery rates, treatment of

under and over-absorption, report for control of overhead cost.

(b) Administration, selling and distribution overheads-analysis,

accounting and control, treatment of miscellaneous items in cost

accounting.

3. Cost Accounting records : Cost ledgers, reconciliation of cost

and financial accounts and integrated accounts, basis of

computerisation of accounts.

4. Methods of Costing:

(i) Specific order costing-job, batch and contract, Determination of

cost accounting in job, batch and contract, valuation of work

progress in job costing, features of contract cost, certification of

work done, profit on incompleted contracts, cost plus contracts.

(ii) Operation costing-process and services.

Process costing-treatment of normal and abnormal losses and

gains, valuation of Work-in-Progress using First-in-First-out and

average methods (equivalent production); interprocess transfer

and pricing, concept, accounting for joint products, by-products,

waste, scrap, spoilage and detectives.

5. Service or operating costing: Unit costing and multiple costing,

application, identification of cost unit and cost determination and

control.

6. Techniques of costing

(a) Marginal costing: Basic concepts, marginal costing and

absorption costing, Cost-Volume- Profit analysis, breakeven

analysis, Limitations of Break Even (BE) analysis, differential cost

analysis and relevant cost analysis applications for management

decision making (simple types).

(b) Budgetary control : Basic concepts, functional budgets, master

budget, flexible budgets.

(c) Standard Costing: Concept and uses, setting of standard cost

accounting methods, computation of simple variances relating to

material, labour and overheads, relationship standard costing and

budgetary controls.

Stage I: Paper 3 : Corporate Laws and Secretarial Practice

(One Paper: 3 hours: 100 marks)

Aim: Undertaking of the basic concepts and legal principles

governing the business.

Level of knowledge: Thorough understanding.

Section I: Corporate Laws (50 marks)

The Companies Act, 1956 (1 of 1956)

Definition: Fundamental matters and general frame-work of

documents, meetings and proceedings, management of a

company operations, mis-management and arrangements,

concept of capital, classification of shares and debentures,

borrowing of a company, accounts and audit of a company,

classification and appointment of an auditor, the powers of

Central Government, direct special audit, cost accounting records

and cost audit, auditor's report and explanation, preparation and

presentation of accounts of government companies and statutory

corporations.

The Monopolies and Restrictive Trade Practices Act, 1969 (54 of

1969)-The Monopolies and Restrictive Trade Practices

Commission, unfair and restrictive trade practices.

The Industrial (Development and Regulations) Act, 1951 (65 of

1951)-Development Councils, licensing for new industrial

undertakings, taking over management or control by the Central

Government.

The Essential Commodities Act, 1955 (10 of 1955): Powers of

Central Government to control, effect seizure and confiscation.

The Foreign Exchange Regulation Act, 1973 (46 of 1973)-General

Concepts.

The Sick-Industrial Companies (Special Provisions) Act, 1985 (1 of

1986) and provisions relating to Board for Industrial and Financial

Reconstruction-General concepts.

The Apprentices Act, 1961 (52 of 1961), the Industrial

Employment (Standing Orders) Act, 1946 (20 of 1946), the

Workmen's Compensation Act, 1923 (8 of 1923), the Payment of

Gratuity Act, 1972 (39 of 1972), the Employees' State Insurance

Act, 1948 (34 of 1948)-The Employees' Provident Funds and

Miscellaneous Provisions Act, 1952 (10 of 1952), the Water

(Prevention and Control of Pollution) Act, 1974 (6 of 1974), the Air

(Prevention and Control of Pollution) Act, 1981 (14 of 1981), the

Consumer Protection Act, 1986 (68 of 1986)-General concepts.

Section II: Secretarial Practice (50 marks)

Definition of Secretary, his position and importance in the

organisation, Directors-their qualifications and disqualifications,

powers, duties and liabilities.

Meeting : Kinds of company meetings, meeting of shareholders,

statutory and annual general meetings, requisitions and other

general meetings.

Preparation of notices, agenda, quorum, proxy, voting, motion,

amendments, resolution, adjournment and postponement,

explanatory statements and minutes, matters relating to ordinary

resolution, special resolution special notice, preservation and

maintenance of registers and books, submission of returns to the

Registrars of Companies to all for information and inspection

procedures ascertaining profits and dividends and declaration of

the same to various types of shareholders including mode of

payment to residents and non-residents.

Stage I: Paper 4: Direct Taxation

(One Paper: 3 hours: 100 marks)

Aim: To provide in-depth knowledge of tax laws and their impact

on management decision and more particularly to emphasise the

role of the tax factors in the use of management of accounting

techniques.

Level of knowledge: Expert

(i) Direct Tax Laws-A Comprehensive study of Income Tax Act,

1961 (43 of 1961), the Gift Tax Act, 1958 (18 of 1958), the Wealth

Tax Act, 1957 (27 of 1957), case laws governing capital and

revenue expenditure, deemed income residence concept.

Special problems centring on the concept of assessee, registered

firm, Hindu undivided family, Association of persons and trust-

minors, Non-resident Indians and avoidance of double taxation.

Problems covering heads of income; Salaries, perquisites, gratuity

and retirement benefits, income from house property, capital

gains, income from other sources, income from business and

profession, problems arising from aggregation of income and

carry forward of losses.

(ii) Tax Audit.

(iii) Tax Administration: Appeals, revisions, review rectification

and application to Central Board of Direct Taxes.

(iv) Acquisition proceedings: Principles of valuation-movable and

immovable property.

(v) Direct Tax planning:Tax implication in planning ,the legal

status of business unit, firm, private limited company and public

limited company.

Tax implication in (a) receiving foreign collaboration (b) giving

collaboration abroad, subsidiaries, outright sale of know-how,

equity participation.

Tax aspects of mergers and amalgamations.

New industrial establishment and tax planning.

Tax consideration arising with regard to specific management

decisions such as (i) make or buy; (ii) own or lease; (iii) retain or

replace; (iv) repair or scrap or return; (v) export versus local sale;

(vi) shut down or continue; (vii) expand or contract; and (vii) new

capital investment.

Tax incentives and export promotions.

Capital gains and tax planning

Tax aspects of investments

Tax implications in developing capitalisation structure (a) short

term loans; (b) deposits from public; (c) term loans; (d) bonus

issues; and (e) dividend policy.

State II : Paper 5: Cost Management and Accounting

(One Paper: 3 hours: 100 marks)

Aim : Understanding on costing and management accounting

techniques that could be utilised for decision making and control.

Level of knowledge: Thorough understanding.

1. Introduction: Management process and accounting.

Management accounting as an extension of cost accounting to

serve managerial needs. Managerial Planning and control, scope

and role of management accounting, installation and operation of

cost.

2. Financial analysis and control :Uses of ratios for analysis of

financial results- limitations of conventional accounting statement

for analysis of the operating results of public enterprises in India,

Utility of value-added statement and contribution approach-funds

flow and cash flow analysis.

3. Capital structure:Types and sources of capital including internal

source-cost of capital-selecting a desired combination of different

components leverage of gearing consideration.

4. Management of liquidity and working capital : Liquidity and

profitability relationship, concepts of working capital, need for

working capital, management forecasting of working capital. The

concepts and use of operating cycle management of inventory,

debtors, cash and creditors.

5. Capital budgeting decisions :Objectives and problems,

replacement decision, new investments, criteria used, pay back

method, Discounted Cash Flow methods,effect of taxation, role of

cost of capital-capital rationing-decision under conditions of risks

and uncertainty.

6. Cost analysis for decision making- Determining cost behaviour

learning curve theory-relevant costs for decisions-irrelevance of

past cost. Decision on pricing, optimum product mix, make or

buy, lease or buy, shut down etc. Introduction to decision models

and uncertainty.

7. Management control tools: Budgeting and standard costing-

advanced cost and sales variances-profits variances-analysis,

investigation and disposition of variances-management by

exceptions-responsibility accounting-Performance budgeting and

zero-base budgeting-behavioural aspect in budgeting and

standard costing.

8. Uniform costing: Inter-firm comparison.

9. Cost reductions-concepts and techniques including value

analysis..

10. Performance appraisal of public enterprise.

Stage II : Paper 6: Auditing

(One paper: 3 hours: 100 marks)

Aim: To provide and in-depth study of the techniques and

methods of planning, audit assignments with special emphasis on

Internal Auditing.

Level of knowledge: Expert

Section I: Principles of Auditing (50 marks)

1. Evolution of auditing-Major influences of Auditing-Nature and

scope of Auditing-Basic concepts of Auditing-Role of Evidence in

Auditing.

2. Auditing Techniques and Practices- Generally accepted auditing

standards the concept of Materiality in Auditing.

3. Verification of Assets and Liabilities, Fixed Assets, Investments,

Inventories. Debtors, Loans and Advances, Cash and Bank

Balance, Debentures and Creditors, Provisions for taxation,

proposed Dividend and Gratuity-other items in the Balance Sheet,

Verification of items in the Profit and Loss Account-Contingent

Liabilities-Disclosure of accounting policies, practice. Expenditure

during the period of construction. Adjustments for previous year.

Provisions of the Companies Act, 1956 (1 of 1956) regarding

accounts.

4. Nature of Internal Control Evaluation and Audit of Internal

Control-Internal Control questionnaires-Flow Charts-Systems

Audit, Internal Control.

5. Auditing-in depth-statistical sampling in Auditing.

6. Use of ratios and percentages for comparisons and analysis of

trends-inter- firm and inter-firm comparison.

7. Appointment of statutory Auditors-remuneration, removal,

Rights of Statutory Auditors, Duties, of statutory Auditors, joint

Auditors, Branch Audits.

8. Audit Report-Report versus Certificate, contents of Reports-

Qualifications in the Report.

9. Divisible Profits-relevant provisions of the Companies Act, 1956

(1 of 1956) and the Income Tax Act, 1961 (43 of 1961).

10. Interface between Statutory Auditor and Internal Auditor.

Section II: Internal Auditing (50 marks)

1. Nature and scope of Internal Auditing-Financial versus

Operational Audit -Concepts of Efficiency Audit, Propriety Audit,

Voucher Audit, Compliance Audit, Pre and Post Audit.

2. Impact of the Manufacturing and other Companies (Auditors'

Report) Order, 1988 on the Internal Auditing functions.

3. Organisation of the Internal Auditing function-Selection and

Training of Staff-assignment of audit projects-Organisational

status of the Internal Auditing functions-Scope for Audit

Committees.

4. Planning the Internal Audit Project : Familiarisation-Preparing

check list, Internal Control Questionnaires, Audit Programmes.

5. Verification of Evidence-Detailed checking versus sampling

plans, statistical sampling as used in Internal Auditing.

6. Flow Chart Techniques.

7. Internal Control-Nature and Scope, Internal Auditor and Internal

Controls.

8. Field Work: Collecting Evidences-interviews-Memoranda.

9. Audit Notes and Working papers.

10. Audit Reports-Techniques of Effective Reporting. Follow up of

Audit Report.

11. Summary Reports to Top Managements.

12. Communications in Internal Auditing-improving auditor-

auditee relationship.

13. Auditing the operations of an enterprise-such as accounting

and finance, inventory control, procurement, production,

marketing, maintenance, personnel, branches and depots,

Research and Development.

14. Internal Auditor and the Investigation of frauds.

15. Auditing the Internal Auditing Function.

Stage II: Paper 7: Indirect Taxation

(One Paper :3 hours: 100 marks)

Aim : To provide in-depth knowledge of indirect tax laws and their

impact on management decision and more particularly to

emphasis the role of the tax factors in the use of management

accounting techniques.

Level of knowledge: Expert

Indirect Tax Laws and Relevant Procedures.

1. (i) The Central Excise including Modified Value Added Tax:

(ii) The Central Sales Tax Act, 1956 (74 of 1956):

(iii) The Customs Act, 1962 (52 of 1962), and

(iv) Excise Audit.

2. The Central Excises and Salt Act, 1944 (1 of 1944). The Central

Excise (Valuation) Rules, 1975. The Central Excise Rules, 1944

and Customs and Central Excise Duty Drawback Rules, 1971.

Familiarity with the Schedule of the Central Excise Tariff Act, 1985

(5 of 1986), licensing procedures, Statutory forms of Returns and

Registers (Central Excise Series) and case law relating to

determination of Manufacturing expenses.

3. Procedure for the levy and collection of Central Excise Duties

for different Industrial sections viz. (i) Physical control; (ii) Records

based control; (iii) Production based control; and (iv) Compounded

levy scheme.

4. Adjudication and appellate procedures, offences and penalties,

provisions relating to import and export of goods, certification

with reference to valuation, consumption, stock and MODVAT.

Procedure relating to transportation and warehousing.

5. Tax Planning in the area of Indirect Taxes.

Stage II: Paper 8: Quantitative Methods

(One Paper :3 hours: 100 marks)

Aim: To provide adequate knowledge for application of economic

and quantitative methods in business situations.

Level of knowledge: Adequate .

Section I: Mathematical Techniques (40 marks)

(i) Algebra of vectors and matrices and determinants: Addition,

subtraction, multiplication and inversion of vectors and matrices,

solution of systems of linear equation with the help of matrix

algebra.

(ii) Calculus: Variables, constances and functions-graphs of

functions-limits of algebraic function simple differentiation of

algebraic function-meaning of derivatives-evaluation of first and

second order derivatives-partial differentiation-solution of

problems involving maxima and minima of algebraic functions.

(iii) Integration (by substitution and by parts): Determining

indefinite integrals for simple functions-application of integration

to evaluate areas and volume of solids and revolution.

(iv) Optimisation of functions under constraints, Linear

programming and simplex method of solution.

Section II : Statistical Techniques (40 marks)

(i) Probabilities: Meaning and definition of probability mutually

exclusive and collectively exhausting events, repeated trials,

combinatorial analysis. Addition and multiplication rules, Bayes

theorem and its application.

(ii) Population and Samples : Sampling methods, uses of random

numbers, simulated sampling, concept of sampling distribution

and standard errors, confidence intervals for means and

percentages, testing hypothesis and uses of z, t, x 2 tests.

(iii) Decision making under risks and uncertainty, Decision Tree

Analysis.

(iv) Simple regression and correlation.

Section III: Economic Techniques (20 marks)

(i) Demand Analysis: The basis of demand, market demand

function, industry demand versus firms demand. The demand

curve. Relation between demand function and demand curve.

Change and shift in demand. Demand relation and managerial

decisions. Theory of consumer behaviour. Substitution and

income effects. Price, income and cross elasticities of demand,

other demand elasticities. Time impact on elasticity. Price

elasticity for derived products. Revenue concepts. Demand

estimation.

(ii) Forecasting : Forecasting methodologies. Time series analysis,

Trend projection, Barometric or leading indicator method. Index

number analysis-composite and diffusion indices. Econometric

models, curve fitting and least square methods. Correlation and

regression analysis, multiple and partial correlation-input-output

analysis, forecasting with input-output tables, criteria for

forecasting demand for existing and new products.

(iii) Empirical production function analysis, empirical cost analysis,

short and long run cost estimation, factor demand, joint product

and multiproduct firm, uncertainty in production functions, profit

planning under risk and uncertainty.

32. 2[Exemption from the subjects for appearing in Intermediate

Examination

(1) In the case of candidates registered as students on or after lst

July, 1994, the Council shall decide the individual subjects from

which exemption may be granted to students who have passed

such examination of any University or on reciprocal basis of such

professional Institutes/Bodies in India or abroad, as may be

recognised by the Council in this behalf.

(2) The Council shall also decide the individual subjects /stages of

the Intermediate Examination from which candidate who is

admitted as a fresh Registered Student under regulation 25A,

shall be exempted on the basis of exemption from individual

subjects/ stages previously secured by him under his former

registration.

(3) As a transitional measure the following exemptions will be

allowed:

Any candidate who is registered prior to lst July, 1994 and yet to

pass the Intermediate Examination but who has passed or

obtained exemption from any of the following papers of the

Intermediate Examination under the old syllabus shall be

exempted from the corresponding papers of the Intermediate

Examination under the revised syllabus as indicated below:

Papers of Intermediate

Examination under the Old

Syllabus

Corresponding equivalent

papers of Intermediate

Examination under the Revised

Syllabus

Grou

p

Pape

r No.

Name of Paper Stag

e

Pape

r No.

Name of Paper

I 2 Business

Mathematics and

Statistics

II 3 Quantitative

Method

I 3 Business and

Economic Law

I 3 Corporate Laws

and Secretarial

Practice

I 4 Book- Keeping and

Accountancy

I 1 Financial

Accounting

II 1 Cost Accountancy-

Prime Cost and

Overheads

I 2 Cost Accounting

II 2 Cost and

Management

Accountancy

Methods and

Techniques

II 5 Cost and

Management

Accounting

(4) A candidate who has passed in the Intermediate Examination

under the old Syllabus shall not be required to pass the

Intermediate Examination under the revised syllabus.

A candidate who has obtained exemption or obtained the benefit

of carry forward of marks in any of the above papers of

Intermediate Examination under the old syllabus shall be entitled

to exemption only in the corresponding equivalent papers of the

Intermediate Examination under the revised syllabus. However,

the benefit of carry forward of marks by "virtue of the result of

any examination under the old syllabus shall not be available in

any paper of the Intermediate Examination under the revised

syllabus.]

32A. Exemptions

(1) A candidate who is registered as a student before 1st July,

1984, and who has passed,

(a) the Intermediate Examination of the Institute of Chartered

Accountants of India, England and Wales, Scotland or Ireland or

the Intermediate Examination or Parts I and II of the Examination

of the Institute of Cost and Management Accountants London,

shall be exempted, from the subject Book-keeping and

Accountancy.

(b) a degree examination of any University or a diploma/degree

examination of the Indian Institute of Science, Bangalore, or any

of the Indian Institute of Technology or the Three-year Diploma in

Rural Services Examination conducted by the National Council for

Rural Higher Education with a paper of at least 200 maximum

marks or with at least two papers in Economics or Engineering,

shall be exempted from the paper 'Economics' or 'Factory

Organisation and Engineering, as the case may be, prescribed in

Regulation 32 provided that a minimum aggregate of 50% marks

in the concerned subjects of the exempting examination had been

obtained.

(c) the Final Examination of the Institute of Company Secretaries

of India shall be entitled to exemption from the subjects Business

Organisation, Economics, Industrial Law, Mercantile & Company

Law and Book-keeping and Accountancy of the Intermediate

Examination held under Regulation 32.

(2) In the case of candidates registered as students on or after lst

July, 1984, the Council have the power to decide, and shall

decide, from time to time, the individual subjects from which

exemption may be granted to students who have passed such

examination of any University or, on reciprocal basis, of such

professional institutes /bodies in India or abroad, as may be

recognised by the council in this behalf.

(3) The council shall also have the power to decide, and shall

decide, the individual subjects/groups of the Intermediate

Examination from which a candidate who is admitted as a fresh

Registered Student under Regulation 25A shall be exempted on

the basis of exemption from individual subjects /Groups

previously secured by him under his former registration.

(4) The council shall also have the power to decide, and shall

decide, the individual subjects/Groups from which exemption shall

be granted on transitional basis due to commencement of

syllabus prescribed in Regulation 31.

(5) The sub-regulations (1) and (4) of this Regulation shall cease

to operate from 31st October, 1986 and shall stand deleted from

that date and on such deletion the sub-regulations (2) and (3) of

this Regulation shall be re-numbered as sub-regulations (1) and

(2) respectively, when this sub-regulation shall also stand deleted

and the Regulation 32A shall be renumbered as Regulation 32.

2[33. Admission to and fees for Final Examination

(1) No candidate shall be admitted to the Final Examination

unless he is a Registered Student and has passed the

Intermediate Examination of the Institute or of the dissolved

company and unless he has paid all his dues at least sixty days

prior to the commencement of the examination:

PROVIDED that a candidate shall not be admitted to any Stage or

Stage (Group or Groups under the Old Syllabus) of the Final

Examination as provided in regulation 34, unless he has produced

a certificate from the Director of Studies or the Head of the

Coaching Administration or from the Head of the Institution

recognised by the Council in this behalf, duly approved by the

Director of Studies or the Head of the Coaching administration, as

the case may be, to the effect that subsequent to his passing the

Intermediate Examination, he has satisfactorily undergone a

course of postal or oral tuition for the said Stage or Stage (Group

or Groups under the old syllabus) of the Final Examination as

provided in regulation 34.

(2) In the Final Examination a candidate can appear in Stage III

(Group I under the old syllabus) or Stage IV (Group II under the

old syllabus) or both if he has completed coaching as mentioned

in sub-regulation (1).

(3) Every candidate for admission to the Final Examination shall

pay an Examination Fee at the rate of Rupees Two Hundred and

Forty only per Stage or Group (old syllabus) and Rupees Four

Hundred Eighty only for both the Stages or Group (old syllabus) or

such fees as may be fixed by the Council from time to time.]

2[34. Groups, Papers and Syllabus for the Financial Examination

under the Revised Syllabus

(1) The First Final Examination under the revised syllabus after

the commencement of the Cost and Works Accountants

(Amendment) Regulations, 1993 shall be held in December, 1994.

Students who may pass the Intermediate Examination to be held

in June, 1994 or later shall, and students who have passed the

Intermediate Examination prior to June, 1994, who may so opt,

shall and all other students appearing at the Final Examination to

be held from December, 1996 shall be examined under the

revised syllabus. The groups, papers and syllabus for the Final

Examination under old syllabus shall be the same as mentioned in

this regulation before the date of the commencement of the Cost

and Works Accountants (Amendment) Regulations, 1993. The.

last Final Examination under the old syllabus shall be held in June,

1996.

(2) The Stages, papers and syllabus for Final Examination under

the revised syllabus under this regulations shall be as follows:

FINAL EXAMINATION : STAGES III AND IV

Stage III: Paper 9: Advanced Financial Accounting

(One Paper: 3 hours: 100 marks)

Aim: To provide a detailed insight into accounting principles and

their application to complex business and non-business situations.

Level of knowledge: Expert

1. Accounting principles, concepts and conventions-measurement

of business income-accounting standards-national and

international.

2. Valuation of enterprise-valuation of inventories, goodwill and

shares.

3. Preparation of company accounts amalgamation, absorption,

reconstruction and capital reduction, holding companies, Merger

Accounts.

4. Branch and Departmental Accounts-Hire purchase and

Instalment Payments Royalty Accounts-Contract Accounts-

Investment Accounts.

5. Preparation of Accounts from incomplete records - Self-

Balancing Ledger.

6. Accounting in organisations : Farm accounting, hotel

accounting - Accounting or non-profit making organisations, e.g.,

accounting for hospital and educational organisations, accounting

for local self-government-Rural and urban.

7. Accounting for bank and insurance companies-accounting for

loss of stock, loss of profit and other compensations including

marine insurance claims-Electricity Company Accounts.

8. Government Accounting in India : General Principles-

comparison with commercial accounting-role of the Comptroller

and Auditor General of India and Public Accounts Committee-

review of accounts.

Stage III: Paper 10: Information Technology and Computer

Applications

(One paper: 3 hours: 100 marks)

Aim: To exercise control and communicate effectively for the

exposure of professional accountants to the growing field of

computerised information technology and their applications.

Level of knowledge: Basic concepts but not details of technology.

1. Basic concepts of a system : Definition of a system-open and

closed system, sub-system, system integration-horizontal and

vertical integration. Use of Computer in the process of integration.

Input-output and process feed back control, the design of controls

concept of boundary, preparation of checklist and analysis of the

prerequisite for a proposed system.

2. System design : input and output design layout make up and

forms for output, identification for source documents, file design

and codification procedures, verification, validation and manual

control over input-data, preparation and identification of the file

and its controls, the physical security and pass words, output

controls, data transmission control, physical security of data

within the office life cycle and stages of a system design

recording and communicating techniques including flow charts,

decision, table and other diagrams.

3. Information and its Processing : Data and information storage

and retrieval, characteristics and qualities of goods information,

value and source of information, classification of information as

strategic, tactical and operational organisation of file, security and

maintenance, internal storage in computer-RAM, ROM, PROM,

processing capabilities and size of internal storage in a computer,

output devices of computer in the form of micro film, graph

plotters, line printers, visual display, external storage, media and

its use of electronic mail, telex.

4. Distributed data processing: Local area network, time sharing

and multi-user system, linkage of main frame to micro computer

links, advantages and disadvantages of distributed data

processing, distributed processing and system design, future

prospects of Local Areas Network (LAN) and Wide Areas Network

(WAN).

5. Planning, designing and implementation of management

information systems : Hardware, Software and communication

technology. A computer system : data presentation for computers

micro-electronics (Memory chips), human machine productivity

trade off, integrated management information system covering

marketing, manufacturing financial and personnel,

implementation, evaluation and maintenance of Management

Information System (MIS).

Section II: Computer Applications (50 marks)

1. Computer Hardware: Computer and its basic components-input,

main store, external storage, processing output and control,

Central Processing Unit (CPU) and Arithmetic and Logic Unit (ALU)

and their elements and functions, Internal storage and

representation of date, Random Access Memory (RAM), Read only

memory (ROM) and Programmable ROM (PROM and EPROM).

Processing capabilities and internal storage, Binary Operations.

2. Computer generations : Mainframes, mini-computers and micro

computers. Characteristics of 8 bit., 16 bit and 32 bit computers

and their processing capabilities. Future trend of computer

developments.

3. Input and output devices : Different types of input devices and

their characteristics (magnetic tape, magnetic disk, Winchester

disk, cassette, floppy disk, magnetic ink recognition, optical

character recognition, voice data entry), Divert data entry, OCR

(Optical Character Recognition). Printers (Line, laser, dot matrix,

daisy wheel) VDU (Visual display unit), microfilm, graph plotter,

graphic terminal.

4. Preparation and maintenance of files : Concepts of files,

records files and characters, temporary and permanent file

organisation, file-transfer, updating, security maintenance, form

filling and formatted screen, menus, window, variable and fixed

length records and fields, methods of access-sequential, direct

and dynamic-their characteristics and uses. Magnetic type layout,

inter-record gaps, block and inter-block gaps, blocking factor.

5. Computer processing methods : Types of processing methods-

(i)batch input and batch processing of all data; (ii) batch input and

batch processing of transactions but on line file enquiries; (iii) on-

line input, batch processing and on-line enquiries; (iv) on-line

input updating and enquiries, real time system and response

time.

6. Computer software and programming : Principles of

programming stores instructions, application of computer

languages FORTRAN, COBOL, BASIC, PASCAL, C. Level of

software, software packages, utility softwares and operating

system (OS), Bootstrap programmes, Assembler compiler and

interpreters, spreadsheet packages, data base management

system (DBMS), word processing software package, graphic

software, simple programme writing of BASIC only for application

in pay roll, inventory and sales analysis.

7. Control and audit aspects of Management Information System:

Edit check, error listing, control of system security, audit trial,

control of operating efficiency. Auditing in a computerised

environment.

8. Computer aided technology: Computer aided design (CAD),

Computer aided manufacturing (CAM). Flexible Manufacturing

system.

Stage III: Paper 11 : Operations Management and Control

(One Paper: 3 hours: 100 marks)

Objective : To provide a basic understanding of the methods and

techniques of production-the economics of effective utilisation of

resources and the techniques employed to ensure optimum use of

resources.

Level of knowledge: Expert

1. Technology of production techniques : Meaning and implication

of technology, different concepts like relevant technology or

appropriate technology, high-tech versus low-tech, capital-

intensive versus labour-intensive, batch process. Technology

forecasting- shape of things to come in the 21st Century. Basic

ideas regarding manufacturing techniques including machine

tools process technology, productive facilities, productive utilities

and manufacturing policies, some broad ideas about the

technological aspects involved in the industries covered under the

cost audit.

2. Production planning, scheduling and monitoring system : The

concept of integrated production planning system, linkage

between production planning and sales forecasting, procurement

planning and finished goods inventory policy. Actual scheduling of

jobs-optimisation concept in terms of productive facilities

utilisation and cost minimisation through start-up, change over,

etc. Production monitoring system and Management Information

System for this purpose, regular review of production planning

and monitoring.

3. Production Economics : Analysis of problems involving location,

layout multi-shifts product mix, materials handling facilities,

utilisation of multi-purpose plants, utilisation of preventive

maintenance, utilisation capacity rectification of unbalanced

capacity, off-loading of products, stages of production, product

plant, process planning, scheduled production stages, controlling

quality level, controlling of output costs, products usages and its

obsolescence, technological usage and its obsolescence, control

of output costs on the basis of its cost of factors of production and

utilisation of capacities, scaling of capacities with the help of

rationalisation, modernisation, revamping and renovation.

4. Productivity : Meaning and significance of productivity,

productivity vis- a- vis absolute production, measurement of

productivity-both overall and separately for each factor like man,

machine, materials. Productivity and cot productivity

improvement techniques, time study, work sampling and other

techniques for productivity monitoring, productivity bargaining,

tools and techniques, productivity and work ethos as well as

quality of work life, job evaluation and merit rating and use of

these in productivity of human resources. Cost reduction and

value analysis in the context of productivity. Learning curve

concepts in the context of productivity.

5. Cost : Implications of multi-shift operations plant shutdown,

plant location and expansion, retracting of detectives, automation

in productive system utilities management, : placement of

machinery and financial impact of technology upgradation and

absorption.

Stage III-Paper 12

Project Management and Control (100 marks)

Objectives: To provide export knowledge on formulation,

appraisal, financing, administration and control of projects.

Level of knowledge: Expert

1. Project Identification and Formulation : Different types of needs

leading to different types of projects under BMRED (Balancing,

Modernisation, Replacement, Expansion and Diversification)

Consideration involved in decisions under each of these types.

Macro and Micro parameters in project selection, different

considerations for project under private, public and joint sectors.

Project formulation-preparation of project profile, project report

and detailed project report, Broad criteria for pre-investment

decisions.

2. Project Appraisal : Different types of appraisal-technical,

economic, organisation and managerial, commercial and

financial-financial techniques for project appraisal and feasibility,

Discounted Cash Flow and non-discounted cash flow methods,

social cost benefit analysis and economic rate of return. Non-

Financial justification of projects.

3. Project Financing : Pattern of financing, sources of finance,

impact of taxation, public loans, small savings, surplus of public

enterprises, deficit financing, foreign aid, Public sector project

financing, Role of Tax Planning in Project Financing.

4. Project Cost Systems : Projects cost accounting and monitoring,

contractor and its cost system, labour and equipment cost,

accounting, codification, development of cost data, labour time,

reporting, direct measurement of work quantities, labour cost

analysis, equipment accounting, activity based cost accounting,

production rates for estimates, control of cost computer

application to cost control.

5. Project Administration : Progress payments, expenditure

planning, project scheduling and net- work planning, use of

Critical Path Method (CPM) activities for pay requests, schedule of

payments and physical progress, time cost trade off, cash flow

preparing, cash forecast and monitoring of fund and other

resources, control of groups of projects under one administration

and associated problems in sharing resources.

6. Concepts and uses of Project Evaluation and Review

Techniques (PERT) cost and PERT-time: Cost as a function of

time : Project Evaluation and Review Techniques/Cost

mechanisms. Accountants' role in Project Evaluation and review

Techniques / Cost budgeting. Determination of least cost

duration.

7. Post project evaluation.

Stage IV: Paper 13: Advanced Management Accounting

Techniques and Applications

(One Paper :3 hours: 100 marks)

Aim: To provide adequate knowledge on cost accounting

techniques with quantitative bias to be applied for effective

planning and control of operation and for improvement of decision

making process.

Level of knowledge: Advanced knowledge for formulation of

problems and solution of the same.

1. Introduction : Evaluation of management accounting-Full cost

allocation, corporate objective, profitability and other objective,

product services and market mix, information and decision

process, quantitative and qualitative factors, reporting for

decision making, performance evaluation and its synchronisation

with various decision models.

2. Cost allocation: Cost accumulation and allocation, general

process of cost allocation and various criteria for decision making,

allocation of service department cost interactions amongst

service departments-reciprocal methods, allocating cost from one

department to other. Joint and by-products cost-joint product

problem, treatment of by-product costs, traditional joint cost

allocation methods, decision making with joint products, a non-

liner programming model for joint cost allocation, decision

significance of the joint cost allocation procedures, identifying by-

products with mathematical programming methods and

accounting methods and accounting for by-products.

3. Quantitative Technique: Business modelling using lined

programming, simplex method of solution and sensitivity analysis.

Formation of effective matrix and its application to allocation

problems (assignments, transportation and travelling salesman),

Games theory and its application to marketing problems.

Determination of Service level with the help of queueing theory,

business modelling using simulation techniques, Replacement

models including Discounted Cash Flow-Project planning using

network analysis.

4. Cost behaviour and regression analysis: Classification and

analysis of data for estimation and cost behaviours, standard

analysis of cost behaviour using regression analysis, goodness of

fit and economic possibility, significance of independent variables,

statistical interference in regression. Learning curve estimating

learning curve with cumulative effects of learning on productivity,

cumulative average time learning model and incremental unit

time on learning model, learning curve and non-linear cost

estimation.

5. Cost-Volume-Profit Analysis : Cost-Volume profit assumptions

and inter-relationship of cost, volume and profit.

(a) Deterministic models-models on Cost-Volume-Profit analysis,

determination of Break-even point including multi-product

situations. Cost-Volume-Profit analysis under multiple products,

multiple production constraints, Cost-Volume-Profit models and its

uses in decision process.

(b) Models under uncertainty : Building of uncertainty models-

probability distribution of sale, determination of breakeven,

parametric estimates for normal and non-normal distribution.

Multi-product Cost-Volume-Profit analysis under uncertainty in

prices and costs parameters, expected value of perfect

information and sample information.

6. Pricing and decision Process : Opportunity cost, relevance and

contribution approach, irrelevance of past cost profit maximising

pricing model, full cost pricing, incremental cost and return on

investment (ROI) pricing strategic pricing on new product. Full

cost pricing-advantages and disadvantages. Measuring the cost of

product quality-appraisal cost, prevention cost, internal failure

cost, external failure cost, optimal price out decision, expected

opportunity losses, policies related to optimum inventory model

and opportunity losses., Statistical quality control.

7. Variance for sales, profit and cost analysis : Sales and profit

analysis-production mix an yield variances-a de-composition

approach to variances-planning and control variances. Cost

variance investigation models-materiality insignificance-statistical

significance, non-normal probabilities-control charts-formal

models for multiple observation-decision models with costs and

benefits of investigation, difficulties in analysis of variances.

8. Decentralisation and transfer pricing : Choice of responsibility

centre and decentralisation including its merits and demerits,

general criteria for transfer pricing outlay cost and opportunity

cost under different market situations, multinational and global

tax minimisation, transfer pricing, different methods of evaluating

transfer pricing-absorption cost, marginal cost, cost plus profit

and standard cost including the limitations of these techniques in

choosing a profit index, return on investment, concept of

residential income and human problems with controls of divisional

performance.

9. Current issues in management accounting : Inflation and its

effect on managerial decision making-social dimensions of

business decisions. Human resources accounting-models and

their applications. Programme and performance budgeting, zero

base budgeting, social accounting and social reporting and

human resource planning and optimisation of employees costs.

Stage IV : Paper 14: Advanced Financial Management

(One Paper: 3 hours: 100 marks)

Aim : To provide a detailed insight into accounting process and

their applications in complex business management.

Level of knowledge: Expert

1. Planning Environment : Financial objectives, policies on

financing investments and dividends. Financial forecasting,

planning and uncertainties, interest rates, inflation, capital gains

and losses, exchange control regulation, government credit

policies and incentives, statistics on production, price indices,

labour, capital market based on published statistical data.

2. Sources of finance (national) : (a) Medium and long term :

Venture Capital, seed capital, equity preference, convertible and

cumulative preference shares, debentures, convertible

debentures, hire purchases, leasing, public deposits, and

Institutional finance-Life Insurance Corporation, Unit Trust of

India, Industrial Finance Corporation of India, Industrial Credit and

Investment Corporation of India, National Industrial Development

Corporation, Industrial Development Bank of India, Small Scale

Industrial Development Bank of India (SIDBI), State Finance

Corporation (SFC), Industrial Rehabilitation Bank of India (IRBI).

Internal sources, related earnings, provisions, etc. Issues in

raising finance, legal form of organisation, provisions of the

Companies Act, control of capital issues. (b) Short term sources;

Trade Credit, Factoring, Bill of Exchange, Bank Loan, Cash Credit,

Overdraft.

3. Sources of Finance (International) : Raising funds in foreign

markets and investment in foreign projects, exchange rate-risk

agencies involved and procedures followed in international

financial operation-concepts of balance of trade and balance of

payment.

4. Analysis of operating and financial leverages : Concept and

nature of leverages-operating risk and financial risk, operating

leverages, financial leverages and combined leverages concepts,

measures and their interpretations. Operating. leverages and Cost

Volume Profit analysis-Earning Before Interest and Tax (EBIT) and

Earning Per Share (EPS) analysis-indifference point.

5. Capital structure theories and planning : Concept of capital

structure and its perimeters, financial structure and capital

structure-simple and complex. Theories of capital structure-net

income approach, net operating income approach, traditional and

Miller and Modigliani approaches, and their criticism. Factors for

capital structure planning. Capital structure trend in private and

public sectors, trend in private and public sectors in India.

6. Cost of Capital : Its nature and meaning, relevance of cost of

capital in financial decisions, computation of specific cost,

selection of weights, overall cost and marginal cost of capital,

corporate tax and its impact on cost of capital.

7. Capital budgeting and impact of time lag in analysis of capital

utilisation and availability-pay back period, present value and

internal rate of return including sensitivity analysis, limitations on

capital budgeting. Determination of the cost of capital-risk of

uncertainty, risk and return in a portfolio context, capital and

pricing model (CAPM), inflation, leasing versus buying income

taxes, benefits of accelerated cost recovery system (higher rate

of depreciation), investment credits.

8. Working capital management: Operating cycle concept,

forecasting, working capital requirements, strategies of financing

current assets. Working capital and term loans recommendations

of the Tandon Study Group, Monitoring advance management of

different components. Working capital management under

inflation, new projects and working capital management.

9. Financial services-Leasing, Merchant Banking, Hire-purchase,

Cash Purchase, Factory.

10. Advance Financial Analysis and Planning : Financial

statements, financial ratio analysis, fund flow and cash flow

analysis, leverages, Cost-Volume-Profit analysis financial

forecasting, interfirm comparison, financial analysis and aspects

of inflation.

11. Dividend and retention policies: Formulating a dividend policy,

factors for consideration. Dividend theories-Walter's model,

Gordon's model, residual theory of dividend, Miller and Modigliani

hypothesis, Indian position in private and public sector in general.

12. Financial management in public sector: Management of

accounts receivable and inventories in public sector units, source

of fund of public sector units-cost of loans, cost of equity, cost of

retained earning and debt-equity ratio. Evaluation and control of

capital expenditure-determination of cash flows and cost benefit

analysis, Pricing policy of public enterprises, project formulation

and implementation, Social cost benefit analysis.

Stage IV: Paper 15: Advanced Management Accounting Strategic

Management

(One Paper: 3 hours: 100 marks)

Aim: To cover adequate knowledge of organisation and its

environment, formulation and importance of strategic planning in

achieving organisational objectives and role of Management

Accountant in the control of marketing and strategic planning.

Level of Knowledge: Expert

1. Strategic Planning:

(i) Planning Environment Economics-forecasts, trend and

changes-social, political, legal and technological impacts.

Distribution channels and competitive forces. Government

policies, economic growth and government expenditure. Public

and Private sector investment. International trade- prices and

Government policies for capacity expansion, new industries,

subsidiaries and substitutes. Government role in controlling

inflation.

(ii) Strategies : Meaning and implications of corporate planning,

long range planning, business policy planning, strategic planning

and strategic management. Processes of developing strategic

plan-definition of mission, corporate objectives-(Profit gap, sales

gap, risk gap and other strategies, SWOT (Strength, Weaknesses,

Opportunities and Threats) analysis, target selling, strategy

formulation and implementation, monitoring mechanism,

strategies for stagnation versus growth, strategies for growth

through expansion versus diversification, Acquisition and merger

strategy. Strategy of joint venture-both in India and abroad.

Marketing strategy as a part of corporate strategy, growth under

inflation and protection of shareholders, real capital. Financial

objectives, non-financial objectives, resources, analysis and

evaluation.

(iii) Model Building: Strategies in the development of models,

Delphi Model, econometric, mathematical programming,

budgetary and Heuristic Model. Sensitivity analysis and the

characteristics of this Model. Limitations in model building vis-a-

vis simulation techniques.

2. Marketing:Concept-production orientation vs.market

orientation marketing objectives, framework and management of

marketing-mix. (ii) Linkage between strategic planning and

marketing strategy-both forward and backward, (iii) research and

intelligence-sources for and techniques for acquiring information

necessary for marketing decision-making, (iv) control or

application of management accounting in marketing-analysis of

marketing costs and profitability, pricing policies and strategies,

budgetary control in marketing evaluation and control of sales

activities.

Evaluation of sales promotion and advertisement Distribution cost

analysis and control. Evaluation of marketing research and

marketing planning.

Contribution analysis and product-line profitability analysis.

Product rationalisation including product revamping, product

range extension, product elimination and also new product

introduction, Evaluation of research information-perfect,

imperfect and Bayes' Theorem.

Stage IV : Paper 16: Cost Audit

One Paper: 3 Hours: 100 marks

Aim : To provide an in-depth study of the body of knowledge

comprising the techniques and methods of planning and

executing as a Cost and Management Audit assignment.

Level of knowledge: Expert

Section I : Cost and Management Audit (50 marks)

1. Nature, objects and scope of cost audit-The concept of

efficiency audit, propriety audit, management audit, social audit.

2. Appointment of Cost Auditor-His rights, responsibilities, status.

relationship and liabilities-professional and legal under the

Companies Act, 1956 (1 of 1956), the Cost and Works

Accountants Act, 1959 (23 of 1959).

3. Planning the Audit-Familiarisation with the Industry, the

organisation, the production process systems and procedures, list

of records and reports, preparation of the audit programme.

4. Verification of records and reports-Utilisation of statistical

sampling methods-verification performance and statements

maintained under the Cost Accounting (Records) Rules.

5. Evaluation of Internal Control System: Budgetary Control,

capacity utilisation, inventory control, management information

system.

6. Assessment of the adequacy of the internal audit function.

7. Audit notes and working papers-audit reports to management.

8. The Cost Audit Reports-Contents of the Report, distinction

between "Notes and Qualifications" to the Report. Cost Auditor's

observations and conclusions.

9. Professional Ethics and Code of conduct.

10. Relationship between the Statutory Financial Auditor, the

Internal Auditor and the Statutory Cost Auditor.

11. Cost Accounting (Records) Rules under clause (d) of sub-

section (l) of section 209 (issued one year before the

examination) and Cost Audit (Reports) Rules issued under section

233B of the Companies Act, 1956 (1 of 1956). Critical study of the

rules including the prescribed Annexure and Performa applicable

to the industries covered.

12. Review of Cost Audit Report by the Government : Objectives,

methods, follow-up actions and disposal of Cost Audit Reports by

the Government company and other endusers of the cost audit

reports.

13. Comparative Studies between cost audit and financial audit

with special reference to disclosure of information to members of

Parliament and the general public.

14. Special Penal Provisions for Cost Auditors.

Section II : Cost Audit Leading to other Services (50 Marks)

A. Management Audit

1. Meaning, nature and scope of organisational needs for

Management Audit and its coverage over and above other audit

procedures.

2. Audit of the Management Processes and functions such as

Planning, Organisation, Staffing, Co-ordination, Communication,

Direction and Control.

3. Evaluation of Management Information and Control Systems

with special emphasis in Corporate Image and Behavioural

Problems.

4. Corporate service audit (Customer services) : Product

(Research and Development) and import substitution, customers

channel (export).

5. Corporate Development and Management Audit, including

operational and propriety aspects.

6. Social Cost and Benefit of business enterprises with particular

reference to developing countries.

7. Audit of Social responsibility of management.

(B) Other services:

8. (a) Other service to the Management Certification for various

purposes-the records to be verified and the safeguard to be

taken-the form and content of the certificates.

(b) Cost Audit as an aid to management, Government,

shareholders, other external agencies and the public voluntary

Cost Audit.

(c) Productivity Audit-Labour, Material and Capital.

(d) Audit of Energy Conservation and Environmental Protection.

(e) Efficiency Audit-audit of sub-systems of an enterprise.

(f) Assessment and quantification of losses under marine, fire and

accident policies.

(g) Inventory Audits for Banks and other agencies.]

2[35. Exemption from the subjects for appearing in Final

Examination

(1) In the case of candidates registered as students on or after lst

July, 1994, the Council shall decide from time to time, the

individual subjects from which exemption may be granted to

students who have passed such examinations of any University or

on reciprocal basis of such Professional Institutes/ Bodies in India

or abroad, as may be recognised by the Council in this behalf.

(2) The Council shall also have the power to decide and shall

decide the individual subjects/ stages of the final examination

from which a candidate who is admitted as afresh Registered

Student under regulation 25A shall be exempted on the basis of

exemption from individual subjects/stages previously secured by

him under his former registration.

(3) Any candidate who has passed or obtained exemption from

any of the following papers of Final Examination under the old

syllabus shall be exempted from the corresponding papers of

Final Examination under the revised syllabus as indicated below:

Papers of Final Examination

under the old Syllabus

Corresponding equivalent paper

of Final Examination under the

Revised Syllabus

Grou

p

Pap

er

No.

Name of Paper Stag

e

Pap

er

No.

Name of Paper

I 1 Financial

Management and

Corporate Planing

and Policy

IV 14 Advanced

Financial

Management

I 3 Advanced

Accountancy

III 9 Advanced

Financial

Accounting

II 2 Cost Audit and

Management Audit

IV 16 Cost Audit

II 4 Advanced Cost and

management

Accountancy-

Methods,

Techniques and

Applications

IV 13 Advanced

Management

Accounting-

Techniques and

Applications.

A candidate who has obtained exemption or obtained the benefit

of carry forward of marks in any of the above paper of the Final

Examination under the old syllabus shall be entitled to exemption

only in the corresponding equivalent papers of Final Examination

under the revised syllabus. However, the benefit of carry forward

of marks by virtue of the result of any examination under the old

syllabus shall not be available in any paper of Final Examination

under the revised syllabus.]

5[35A. Exemptions

(1) A candidate who is registered as a student prior to lst

July,1984, and who has passed,

(a) the Intermediate Examination of the Institute of Chartered

Accountants of India, England and Wales, Scotland or Ireland or

the Final Examination or Parts Ill and IV of the Examination of the

Institute of Cost and Management Accountants London, shall be

exempted, from the papers Advanced Accountancy and Taxation

prescribed in Regulation 35.

(c) the Final Examination of the Institute of Company Secretaries

of India shall be entitled to exemption from the subjects

Advanced Accountancy Taxation, Financial Management, and

Principles and Practice of Management of the Final Examination

held under Regulation 35.

(2) In the case of candidates registered as students on or after lst

July, 1984, the Council shall have the power to decide, and shall

decide, from time to time, the individual subjects from which

exemption may be granted, strictly on reciprocal basis to students

who have passed such examinations of such professional

institutes /bodies in India or abroad, as may be recognised by the

council in this behalf.

(3) The council shall also have the power to decide, and shall

decide, the individual subjects/groups of the Final Examination

from which a candidate who is admitted as a fresh Registered

Student under Regulation 25A shall be exempted on the basis of

exemption from individual subjects/Groups previously secured by

him under his former registration.

(4) The council shall also have the power to decide, and shall

decide, the individual subjects/Groups from which exemption shall

be granted on transitional basis due to commencement of

syllabus prescribed in Regulation 34.

(5) The sub-regulations (1) and (4) of this Regulation shall cease

to operate from 31st October, 1986 and shall stand deleted from

that date and on such deletion the sub-regulations (2) and (3) of

this Regulation shall be re-numbered as sub-regulations (1) and

(2) respectively, when this sub-regulation shall also stand deleted

and the Regulation 35A shall be renumbered as Regulation 35.

36. Conduct of Examinations

(1) The examinations shall be conducted in such manner and at

such times and places as the Council may direct:

PROVIDED that the qualifying examinations shall be held at least

once in each year.

(2) The dates and places of the examinations and other

particulars shall be notified in the Journal of the Institute.

37. Application for admission of Examination

Application for admission to an examination shall be made in the

prescribed form, copy of which may be obtained from the

secretary. Every such application together with the prescribed fee

shall be sent so as to reach the Secretary in accordance with

direction given by the Council.

38. Refund of fees

(1) The fee paid by, a candidate who has been admitted to an

examination, shall not, except as otherwise provided in sub-

regulation (2), be refunded.

(2) Where a candidate applies to the Council for transfer of fee to

the next examination on the ground that he was prevented from

attending an examination by circumstances beyond his control,

the Council may permit the fee paid by such candidate to be

adjusted towards the fee payable for the next examination only:

PROVIDED that no such application received after the expiry of

fifteen days from the last date of the examination shall be

considered.

39. Candidates to be supplied with Admission Cards

An Admission Card stating the place, dates at which the candidate

will be required to present himself for examination shall be sent

to each candidate at the address given by him in his application

so as to reach him not less than fourteen days before the

commencement of the examination.

40. Examination certificate

Every candidate passing the Intermediate and Final Examination

shall be furnished with a certificate to that effect in 'Form J'.

2[41. Examination results

(1) A candidates shall be declared to have passed in an

Examination if he has passed in all the Stages or Groups (under

the old syllabus) comprised in that examination from which he

has not been exempted. A candidate shall be declared to have

passed in a Stage or Group (under the old syllabus) of an

examination if he gets at one sitting the minimum per cent of the

total marks in each paper from which he has not obtained

exemption as specified in column II below and an aggregate of 50

per cent of the total marks of all such papers in that Stage or

Group (under the old syllabus):

Column I Column II

Group I or Group II of the Intermediate

Examination under the old syllabus held under

regulation 31 or Group I or Group II of the Final

Examination under the old syllabus held under

regulation 34.

35 percent

Stage I or Stage II of the Intermediate

Examination under revised syllabus held under

regulation 31 or Stage III or Stage IV of the

Final examination under the revised syllabus

held under regulation 34.

40 percent

(2) A candidate who is not declared successful in a Stage or Group

under the old syllabus of any examination but-

(i) obtains 60 per cent or more of the total marks in any paper or

papers shall be exempted in subsequent examinations from that

or those papers in which he secured 60 per cent or more marks;

or

(ii) obtains 60 per cent or more of the total marks in any paper

and a minimum of 40 per cent of the total marks (under the

revised syllabus) or 35 per cent of the total marks (under the old

syllabus) in each of the remaining papers of that Stage or Group

(under the old syllabus), shall be allowed the benefit of carry

forward of the actual marks so obtained by him in the papers in

which he had obtained 60 per cent, or more marks for the

purpose of computing his result in the subsequent examinations:

PROVIDED that if the benefit of exemption or carry forward

mentioned in clauses (i) and (ii) above is voluntarily withdrawn by

a candidate, he shall not be entitled to such benefit in his future

attempts.

(3) A list of successful candidates in an examination shall be

published in the Journal of the Institute in such manner as the

Council may direct. The names of candidates obtaining distinction

in the examination shall be indicated in the list. Each candidate

shall be individually informed of his results and also of the marks

obtained by him in the paper or papers of the examination in

which he appeared:

PROVIDED that in any case where it is found that the result of an

examination has been affected by error or fraud or using unfair

means during the examination, the Examination Committee shall

have the power to amend the result suitably.

(4) A candidate who passes the examination obtaining 70 per

cent of the total marks of all the papers of the examination at one

sitting shall be deemed to have passed the examination with

distinction.

(5) Information as to whether a candidate's answers in any

particular paper of any examination have been examined and

valued will be supplied to the candidate on his application within

a period of thirty days from the declaration of the result

accompanied by a fee of rupees fifty only per paper or such fees

as may be fixed by the Council from time to time. The fee is only

for verifying whether a candidate answers in any particular paper

have been examined and valued and not for the revaluation of

answers. The marks obtained by the candidates in individual

question or in sections of a paper cannot, in any circumstances,

be supplied. If, as a result of such verification, it is found that

there has been either an omission to examine or value any

answer or there has been mistake in the totalling of the marks,

the fee for verification shall be refunded in full to the applicant.

(6) After a period of six months from the date of declaration of the

result of an examination if a candidate requires a duplicate copy

of his marks sheet in respect of that examination, he shall be

supplied with a duplicate copy of marks sheet on receipt of an

application from him in that behalf on payment of a fee of rupees

twenty-five only or such fee as may be fixed by the council from

time to time.

42. Disciplinary action against candidates resorting to unfair

means

If a candidate is found to have resorted to or attempts to resort to

unfair means pertaining to any examination, the Council may on

receipt of a report to that effect, and after such investigation as it

may deem necessary, take such disciplinary action against the

candidate concerned as it think fit.

43. Examiners

The Examination Committee shall maintain a list of approved

examiners, from which the examiners will be appointed for a

particular examination to set up question papers and value

answer papers.

44. Practical Training

(1) A person who has passed the examinations prescribed in this

Chapter or the examinations recognised as equivalent thereto

shall not be eligible for membership of the Institute unless he has

undergone such practical training as the Council may from time to

time decide.

(2) For purposes of sub-regulation (1) above, an applicant for

membership of the Institute shall be required to produce evidence

to the satisfaction of the Council that he has acquired for a period

of not less than three years practical experience covering

different branches of Costing or Industrial Accounting, viz., Stores,

Materials, Labour, Overhead etc., in a responsible position in any

one or more Industrial or Commercial or Government units or

department:

PROVIDED that in the case of a person who has been admitted to

Associate or Fellow Membership of the Institute of Company

Secretaries of India, practical training in Cost or Industrial

Accounting functions as set out in sub-regulation (2) above for a

minimum period of two and a half years may be considered

adequate.

CHAPTER VI : POST GRADUATE TRAINING

45. Training for Members

The Council may impart or arrange to impart practical and/or

theoretical training through lectures, seminars, summer camps

and factory visits and the like, in such subjects as it considers

useful for members of the Institute and other persons:

PROVIDED that where such training is followed by examinations

and the award of certificates or diplomas in respect thereof, the

training shall be conducted and the examinations held in

accordance with the provisions of this Chapter.

MANAGEMENT ACCOUNTANCY EXAMINATION

46. Scheme of Management Accountancy Examination

(1) The Management Accountancy Examination shall comprise

two Parts, viz., Part I and Part II and a candidate shall be deemed

to have passed the Management Accountancy Examination when

he has qualified in both Parts I and II. Part I of the Management

Accountancy Examination shall consist of two Groups, viz., Group

I of 200 marks and Group II of 300 marks. A candidate shall

ordinarily be declared to have passed in a Group of Part I, if he

obtains at one sitting a minimum of 50 per cent of the total marks

in each paper and in aggregate 55 per cent of the total marks of

all the papers in that Group. The Council may however vary the

minimum pass marks at its discretion for all the examinations.

(2) No candidate shall be admitted to Part II of the Management

Accountancy Examination unless he has passed Part I of the said

examination. Part II of the examination shall comprise submission

of a Thesis of 200 marks and a Viva-Voce Test of 100 marks. A

candidate shall be declared to have passed in Part II of the

examination if he obtains a minimum of 50 per cent of the total

marks in the Thesis and a minimum of 50 per cent marks in the

Viva-Voce Test. Failure to obtain the minimum pass marks either

in the Thesis or in the Viva-Voce Test will necessitate re-

submission of the Thesis with modifications and improvements

made therein or of another Thesis followed in either case by a

Viva-Voce Test as prescribed in this Chapter.

(3) A candidate who has passed in Group I or in Group II of the

Management Accountancy Examination prior to April 1974 after

being examined under the syllabus then in force shall not be

required to pass in Group I or in Group II, as the case may be, of

Part I of the Management Accountancy Examination to be held

after April 1974.

47. Admission to Part I of Management Accountancy Examination

and Admission fee

(1) No candidate shall be admitted to Part I of the Management

Accountancy Examination unless a minimum period of one year

has elapsed between the date of his enrolment as a member of

the Institute and the first day of the month of the examination.

(2) A candidate shall be admitted to any or both Group of Part I at

any one sitting.

(3) A candidate for admission to Part I of the examination shall

pay a fee of Rs.80 for both Groups; or Rs. 45 for any one Group.

(4) Regulations 36 to 39,42 and 43 shall, so far as may be, apply

to the examination held under this chapter.

48. Papers and Syllabus for Part I of Management Accountancy

Examination

Candidates for Part I of the Management Accountancy

Examination shall be examined in the following groups and

subjects.

GROUP 1

Paper 1 : Management Accountancy

(One Paper: 3 hours: 100 Marks)

Higher treatment of the topics covered in 'Financial Management'

paper of the Final Examination syllabus, in addition, the following

topics:

Capital: Problems of capitalisation, requirement, sources, period

and application, capital Reserves, Reserves for specific and

general contingencies. Return on capital Depreciation policies,

Insurance for safety to guard against a loss of property or income,

and to comply with statutory obligations. Problems of the change

of purchasing power of money on business finance.

Forecasting: Forecasting and its relation to regulation of capital

for short, medium and long term periods. Relationship between

sales, production and other functional budgets, Cash forecasts.

Control: Comparisons of current and short-period costs with

standard costs, and Examination of deviations. Periodical or ad

hoc statements to examine progress or compliance with laid down

plans. Relating figures to responsibilities. Measurement of

productivity and efficiency. Relating business policy to national

policy indicating social obligations of the individual undertaking.

Reporting : Presentation of annual accounts :.Company Laws

requirements- meaningful display of financial data. Financial and

Cost Accounting analysis reporting for managerial control.

Paper 2: Advanced Management Techniques

(One Paper: 3 hours : 100 Marks)

What Management is ? Objectives and Functions of Management.

Process and Organisation for Management.

Production, Planning and Control: Objectives, Planning, routing,

scheduling dispatching. Progress Control; Inspection and Quality

Control. Economic Batch Quantity. Tools, Jigs, Fixtures and Tool-

room; Maintenance; Material Management and Inventory Control;

Standardisation, Simplification and Specialisation;

Interchangeability. Shipping: Job Estimating (For quotations):

internal Transportation; Research, Development and Design.

Operational Research; Value Analysis and Value Engineering;

Organisation and Methods. Latest techniques of taking

managerial decision. Product- pricing. Intra-Company Transfers.

Inter-firm Comparison. Cost Reduction.

Group II

Paper 3: Industrial Relations and Personnel Management

(One Paper: 3 hours: 100 Marks)

Public Relations : Industrial laws and rules. Government

Departments. Local Authorities. Chambers of Commerce. Trade

Associations. Technical and professional bodies. Trade Unions.

Public Relations Department: Interpretation of labour policies and

programmes to employees and to the outside public; Maintenance

of good relations with public organisations, like newspapers,

radio, Government agencies and consumer organisations.

Industrial Psychology: Principles and methods of Industrial

Psychology. Individual differences in regard to general

intelligence and smartness, intellectual and manual attainments

and special aptitudes. Improvements effected by improved

working conditions. Character, personality and temperament.

Psychology and technique of interview. Guidance in and selection

of vocations. Psychological aspects of industrial education and

training, work incentives and work study. Industrial accidents and

accident proneness. Environment-physical, mechanical and

organisational. Fatigue, monotony and boredom; decreasing

fatigue and occupational hazards. Psychology of the working

group. The morale of the workman. Factors constituting the

morale: pay: security; personal interest in work; status in the

Industry; treatment as a human being; importance attached to

employee-opinion. Beneficial leadership of persons in authority.

Employment of Personnel: Sources of labour supply (from within

the organisation as well as from outside sources). Procedure for

employment; interview; recommendations; personnel

investigation; tests and physical examination. Job specifications,

terms of employment, wage scales.

Labour Relations: Transfer, promotion, demotion, discharge, lay

off and quit of staff. Labour-Management conflict, its evil effects

and remedies. Wage Boards, Joint Councils, etc. Employer-

Employee co-operation in (i) scrap reduction; (ii) quality

maintenance of products. Labour turnover. Collective Bargaining.

Management and Labour Union; Security of the Union, the Worker

and the Employer. Labour absenteeism. Effects of labour

legislations. Case law developing through Industrial Appellate

Tribunal Awards, Emphasis on Standing Order and Departmental

Procedure. Employee Training-Apprenticeship training; ordinary

training for jobs; tests for accident-proneness; Foreman's Manual;

Training for clerical staff.

Employee Counselling: Offering advice to an employee about his

personal problems and difficulties, even apart from those relating

to his employment. Safety-causes and costs of accidents.

Occupational diseases. Accident frequency rate. Safety

programmes.

Health and Recreation: Sanitary measures; hygienic (baths,

lavatories, etc.) and medical series (first aid, hospitalisation,

surgical benefits and other free medical services); recreation

clubs and other games and sports arrangements. Health

insurance schemes.

Employee Services: Government life insurance; Canteen or

Cafeteria; Company's or Employees' Co-operative Stores;

Retirement and Pension plans; Holidays with pay; Provident Funds

and Gratuities; Housing Loans; Co-operative Credit Societies;

Employee publications; Creches for children of women

employees; Suggestive Systems; etc.

Method Study : Definition and objectives. Analysis of operations.

Operation process chart recording steps of work. Analysis of Flow

Process Chart. Improvements in factory layout and organisation.

Steps in motion analysis. Motion economy. Layout of work-place.

Man and Machine Chart analysis. Factory tools and equipments.

Elimination of waste. Studies in fatigue. Working Conditions.

Human problems relating to workmen and management.

Time Study: Definitions and objectives. Organisation and

personnel. Equipment. The technique of making a study. Skill,

effort and working conditions. Securing Standard times.

Computing standard allowances, Preparations, idle-time, fatigue

and working conditions. Standard data and their uses.

Wage Principles: Underlying principles of wage payments. Job

evaluation; Merit Rating. Time and piece work payments. Bonus

Schemes. Utility of and principles governing incentive schemes.

Individual and group incentive schemes. Miscellaneous financial

and non-financial incentive to improve output and efficiency.

Paper 4: Marketing Organisation and Methods.

(One Paper: 3 hours: 100 marks)

Marketing Functions : Sales, Sales promotion including publicity

and advertisement; Market Research; Sales Planning, Forecasting,

Market Analysis and Method of Distribution; Price Policy.

Sales Budget : Formulation of sales policy and marketing

activities, Sales promotion including advertising. Wholesale and

retail sales and sales direct to consumers, sales planning and

channel of distribution. Determination of selling price. Types of

retail stores; Single unit, Multiple Shops, Departmental Stores,

Consumers' Co-operative, House-to-house selling and mail order

business. Sale of raw materials through produce exchanges.

Village Fairs, Market Research.

Sales Organisation : United control under the Sales Manager

filtering through operational and functional managers. Breakdown

into areas and branches. Sales programmes and campaigns.

Travelling salesmen and representatives. After-sale services.

Training of Salesmen and Servicemen. Selling remuneration:

Salary, commission, brokerage, bonus and other contributions,

besides actual travelling and other more direct selling expenses.

Public contracts.

Control of Sales : Maintenance of records of customers, travellers

and territorial results. Statistics, correspondence and instructions

to despatch department and factory. Co-ordination with other

divisions of the enterprise: Purchase, Store-keeping Design,

Production and Transportation. Comparison of achievements

against targets. Export Promotion-Government Incentives. Export

-Import policy-trade agreements.

Paper 5 : Economic Planning and Development

(One paper: 3 hours: 100 marks)

Definition of Economic Planning: Objectives, limitations and

essentials of planning; Communistic vs. Democratic Planning;

Imperative and indicative planning; planning in backward areas.

Different aspects of economic development: Economic

consideration; Financial aspects; sources of finance.

Economic Planning and Development in India: Mixed Economy.

Five-year Plans and industrial developments. Specific areas of

economic and industrial development: Small-scale and large-scale

industries; Nationalisation. Appraisal of achievements; Deficit

financing; Inflation; Taxation and public debt; Financial

Institutions; Problems of population explosion and economic

growth; Food problem and food policy; Agricultural developments;

Tariff policy; Foreign Exchange Control; Foreign private

investments; Climate and policy of Foreign investment; Foreign

Trade Policy.

49. Declaration of Results

(1) A list of successful candidates in Part I of the Management

Accountancy Examination shall be published in the Journal of the

Institute in such manner as the Council may direct and each

candidate shall also be individually informed of the marks

obtained by him in each paper of Part I:

PROVIDED that in any case where it is found that the result of an

examination has been affected by error, malpractice, fraud,

improper conduct or in any other way, the Examination

Committee shall have the power suitably to amend such result

and to make such declaration as the Committee Considers

necessary.

(2) Information as to whether a candidate’s answers in any

particular paper or papers of Part I of any examination have been

examined and valued will be supplied to the candidate on his

forwarding within a month of the declaration of the result of Part I,

an application accompanied by a fee of Rs. 10 for any or all

papers. The fee is only for verifying whether a candidate's

answers in any particular paper or papers have been examined

and valued, and not for the revaluation of answers. The marks

obtained by the candidates in individual questions or in sections

of a paper cannot, in any circumstances, be supplied. If as a result

of such verification, it is discovered that there has been either an

omission to examine or value any answer or answers or there has

been a mistake in the totalling of the marks, the fee for

verification shall be refunded in full to the candidate.

50. Thesis and Viva-Voce

(1) Candidate who has passed Part I of the Management

Accountancy Examination shall submit a Thesis on a subject to be

approved by the Examination Committee. He shall submit in

English five typewritten or printed copies of the Thesis in such

manner as the Examination Committee may direct.

(2) The Examination Committee may make special rules in

connection with submission of Thesis and a copy thereof shall be

forwarded to the writer of the Thesis for their adherence.

(3) Every candidates submitting a Thesis shall do so with a fee of

Rs. 100 which shall not be refundable.

(4) The Examination Committee shall have the Thesis duly

examined either by it or by reference to a Board appointed by it

and the result of the examination shall be communicated to the

candidate. The decision of the Committee in this behalf shall be

final.

(5) The copy-right to the Thesis submitted by a candidate shall

vest with the Council who may make such use of it as may be

necessary.

(6) A candidate who has attained the required standard in the

Thesis shall be required to appear at a Viva-Voce Test before an

Interview Board to be appointed by the Examination Committee.

(7) If a candidate sails to obtain the minimum pass marks either

in the Thesis or in the Viva-Voce Test, he may at his option

resubmit either the same Thesis with modifications and

improvements made therein or submit another Thesis and on his

attaining the required standard therein, he shall be required to

appear at another Viva-Voce Test as provided in the Regulations.

(8) The marks obtained by a candidate in Part II of the

examination shall not be intimated to him unless he is declared

successful in both the Thesis and the Viva-Voce Test.

51. Examination Certificate and qualifying letters

Every candidate passing the examination under this Chapter shall

be awarded a Certificate to the effect in Form J and shall be

entitled to use the letters "DIP.MA" after his name to indicate that

he has passed the Management Accountancy Examination of the

Institute.

CHAPTER VII :- ELECTIONS

52. Dates of election

The following dates relating to the election of members to the

Council, namely, the last date for the receipt of nominations, the

last date for the withdrawal of nominations, the dates or dates of

polling, the last date for receipt of voting papers by post, the date

or dates of counting of votes, and the date of declaration of

results, shall be fixed by the Council and notified by it in the

Journal of the Institute at least three months before the date on

which the counting of votes commences.

53. Members eligible to vote

(1) Every member of the Institute shall be entitled to vote in any

election to the Council by the constituency to which according to

his professional address he belonged on a date immediately five

months prior to the date on which the list of members eligible to

vote in any election is published, provided that his name has been

borne on the Register of Members continuously for a period of not

less than five months immediately prior to the date of publication

of the list of members eligible to vote in that election and

provided further that on lst October of the year previous to that in

which the election is held, his entrance fee, annual membership

fee and other dues for and in respect of the year previous to that

in which the election is held, are not in arrears.

(2) A member whose name stands removed from the Register of

Members on the date on which he has to cast his vote shall not be

entitled to vote at the election notwithstanding that his name has

been published in the list of voters.

54. Qualifications of members to stand for election

6[(1)] Only Fellows whose names are contained in the list of voters

published under Regulation 56 and who are eligible to vote at the

election, shall be eligible to stand for election to the Council from

the Constituencies in which their names are included.

7[(2) Notwithstanding anything contained in sub-regulation (1), a

fellow shall not be eligible to stand for election as, or for being a

member to the Council if,-

(a) he has held office as a member of the Council during three

consecutive terms, whether full or part; or

(b) he is employed by or under the Institute.

Explanation 1 : For the purpose of this rule, one term of office of

an elected member to the Council shall be the duration of any

Council constituted under section 14 of the Act.

Explanation 2: A fellow who has ceased to hold office as a

member of the Council as aforesaid continuously for two

consecutive terms shall again be eligible to stand for election to

the Council under sub-regulation (1) from the constituency in

which his name is included.]

8[55. Number of members to be elected

(1) The number of members to be elected from each regional

constituency shall be one member for such number of members

in the constituency as may be determined by dividing the total

number of members as determined in accordance with sub-

regulation (4) by twelve (hereinafter referred to as the maximum

number of members) to be elected to the Council in pursuance of

sub-section (2) of section 9 of the Act:

PROVIDED that each constituency shall have at least one person

elected therefrom to the Council.

(2) In case the resultant number of members for each

constituency, after having added up in terms of absolute number

without considering the fraction, is less than the maximum

number of members, the fraction in respect of a region with the

highest fraction shall be counted as one. In case the total is still

less than the maximum number of members, the fraction in

respect of the region with the next highest fraction shall be

counted as one. This procedure shall be continued until the total

number of members becomes equal to the maximum number of

members.

(3) In case the resultant number of members for each

constituency, after having added up is less than the maximum

number of members and where there are more than one regional

constituency with exactly the same fraction, the constituency with

a higher number of members shall have precedence in the matter

of conversion of the fraction into one.

(4) The total number of members referred to in sub-regulation (1)

shall be determined with reference to the number of members

whose names are borne on the Register of Members of the

Institute on a date immediately five months before the date on

which the list of members eligible to vote in any election, is

published.

Explanation: For the purposes of this regulation where the proviso

to sub-regulation (1) becomes applicable, the procedure

contained in sub-regulations (1) and (2) shall be gone through

after-

(i) deducting the number of members in such constituency from

the number of members referred to in sub-regulation (4); and

(ii) deducting the number of one person, to be elected in

pursuance of the said proviso, from the maximum number of

members to be elected to the Council.]

56. List of Voters

(1) At least three months before the date fixed for

commencement of counting of votes in an election, the Secretary

shall prepare-

(a) a list of members of Institute in each constituency eligible to

vote showing inter alia distinctly and separately-

(i) whether any particular member is an Associate or a Fellow;

(ii) the polling area or polling booth to which the voters is

attached and in which he should exercise his franchise, if the

Secretary decides that his voting shall be in polling booth, and not

by post, under the powers vested in him under Regulation 63B.

(iii) the location of the polling booth and polling area for which

each such booth has been selected; and

(iv) whether any particular member is entitled to vote by post

under regulation 63N; and

(b) (1) Issue a notice mentioning the number of members to be

elected and calling for nominations for candidates for election

before a specified date which shall not be less than fourteen days

from the date of publication of the notice.

(2) The Secretary shall send a copy of the List of Voters and a

copy of the notice referred to in clause (b) of sub-regulation (1) to

each member of the Institute irrespective of whether he is a voter

or not.

(3) The address published in the list of members eligible to vote

will be final for determining the manner in which member will be

entitled to cast his vote or the constituency or the polling booth to

which he will belong for purposes of casting his vote:

PROVIDED that if a member attached to a particular polling booth

in a city where more than one polling booth have to be set up,

finds that it would be difficult for him to vote at the polling booth

to which he is attached, he may, at the discretion of the

Secretary, be permitted to vote at another polling booth in the

same city. Application in this behalf stating the reasons for the

request must reach the Secretary at least 45 days before the date

of polling.

57. Nomination of candidates

(1) Every nomination of a candidate shall be in Form K duly

signed by the Candidate and by the proposer and seconder, both

of whom shall be persons entitled to vote in the election and shall

be forwarded by registered post only, addressed to the Secretary

by name so as to reach him on or before the specified date.

(2) Every candidate for election shall pay a fee of Rs. 300 which

shall not be refundable in any circumstances except as

hereinafter provided:

PROVIDED that not more than one such payment need be made

by any one candidate in respect of his candidate for any one

election:

PROVIDED FURTHER that in the event of his nomination not being

accepted as valid as hereinafter provided, the fee of Rs. 300 paid

by him shall be refunded to him in full.

58. Withdrawal of candidature

Any candidate may withdraw his candidature by notice in writing

addressed to the Secretary by name and by registered post so as

to reach him before 3 O'clock on the fifteenth day succeeding the

date fixed for the receipt of nomination papers. No person who

has thus withdrawn his candidature shall be allowed to cancel his

withdrawal. The withdrawal of candidature shall be intimated by

the Secretary to the other candidates standing for election in the

constituency. Any candidate who withdraws his candidature in

accordance with this Regulation will be entitled, on an application

made by him in this behalf, to the refund of half the amount of fee

deposited by him under Regulation 57.

59. Security of nominations

(1) The Secretary shall scrutinise the nomination papers of all

candidates other than those whose candidature has been

withdrawn under Regulation 58 and shall endorse on each

nomination paper his decision accepting or rejecting it and if

rejects it, he shall record in writing a brief statement of his

reasons for so rejecting it and shall communicate the same by

registered post to the candidate concerned.

(2) The Secretary may refuse or reject any nomination if he is

satisfied:

(a) that the candidate was ineligible to stand for election;

(b) that the proposer or seconder was not qualified to subscribe to

the nomination of the candidate in Form K;

(c) that there has been a failure to comply with any of the

provisions of Regulation 57;

(d) that the signature of any candidate or of the proposer or

seconder is not genuine or has been obtained by force or fraud;

(e) that the candidate or the proposer or seconder has not paid

any of the fees due and payable to the Council for and in respect

of the year preceding the year in which the election is held; or

(f) that on the date of security of the nomination the name of the

candidate or the proper or seconder stands removed from the

Register of Members:

PROVIDED that nothing contained in clause (b), (c), (d), (e) or (f)

shall be deemed to authorise the refusal or rejection of the

nomination of any candidate on the ground of any irregularity in

respect of a nomination of the candidate if he has been duly and

validly nominated by means of the another nomination in respect

of which no irregularity has been committed.

60. Appeal

(1) A candidate whose nomination has been refused or rejected

by the Secretary, or a candidate who is of the opinion, and holds

evidence to establish, that a nomination of another candidate in

his constituency has been wrongfully accepted by the Secretary

as valid, may, within fifteen days from the date on which such

rejection, refusal or acceptance of nominations is communicated

to the candidates concerned, prefer an appeal to the President

against such refusal or rejection or acceptance. The appeal shall

be heard by a Committee appointed by the Council of this

purpose which shall be known as Appeal Committee. The Appeal

Committee shall comprise of three person from out of a panel of

names, no exceeding eight, chosen in order of preference to be

approved for the purpose by the Council. The persons to be

appointed on the Appeal Committee need necessarily be

members of the Institute. No persons shall, however, be

appointed on the Appeal Committee if he is a candidate standing

for election or any of his near relatives has filed nomination for

election.

Explanation: The expression "near relative" shall mean and

include father, mother, husband, wife, son, daughter, first brother,

or first sister.

(2) The Appeal Committee so appointed shall have powers to

inspect any document, examine any witness, record any

evidence, receive affidavits and grant adjournments and shall

exercise much other powers as may be necessary for efficient and

faithful performance of the duties. The decision of the Appeal

Committee shall be final.

(3) If, on an appeal, the decision of the Secretary in rejecting or

refusing a nomination is reversed by the Appeal Committee, the

award of the Appeal Committee shall be extended to such other

nominations, as may be specified by the Appeal Committee,

which had previously been rejected or refused by the Secretary

on the same or similar grounds, even though no appeal had been

preferred in respect of those other nominations. If, however, the

decision of the Secretary in accepting a nomination as valid is

reversed on appeal, the award of the Appeal Committee shall not

be extended to similar other cases of acceptances unless appeal

against those acceptances had been preferred.

61. List of valid nominations

(1) On completion of the scrutiny of nominations as provided

under Regulation 59, the Secretary shall forthwith prepare a list of

valid nominations for the constituency and cause such list to be

sent by registered post to each candidate in that constituency

whose nomination has been accepted as valid. The list shall

contain the full names in alphabetical order and the addresses of

the validly nominated candidates in the constituency.

(2) If a candidate dies or otherwise ceases to be a member before

the date or dates of polling fixed for the election but after the

date fixed for the withdrawal of candidature under regulation 58

and his nomination is or has been accepted as valid, the election

in his constituency shall be conducted among the remaining

candidates and no fresh proceedings with reference to the

election of members in the constituency in which such member

was a candidate shall be commenced.

62. Candidates deemed to be elected if their number is equal to

or less than the number of persons to be elected

If the number of candidates validly nominated in any constituency

is equal, or becomes, by reason of the death or cessation of

membership of one or more candidates before the counting of

votes for the election, equal to or less than the number of persons

to be elected for such constituency, then such candidates shall be

deemed to be elected and the Secretary shall declare all such

candidates duly elected; and where the number of such

candidates in that constituency is less than the number of

persons to be elected for that constituency, the Secretary shall

commence fresh proceedings for the election of the remaining

number of members to be elected from that constituency.

63. Admissible number of votes to each voter

Each voter shall have one vote only. A voter in giving his vote-

(a) must place on his ballot paper the figure l in the square

opposite the number of the candidate for whom he votes, and

(b) may in addition, place on his ballot paper the figure 2 or the

figure 2 and 3 or 2,3, and 4 and so on, in the squares opposite the

names of other candidates in the order of his preference.

63A. Mode of elections

Except as otherwise provided, the elections shall be conducted by

poll and every vote in any election, shall cast his vote personally

in the booth provided for the purposes, unless a voter is allowed

in respect of any election to cast his vote by post as hereinafter

provided.

63B. Polling booths

The Secretary shall set up such number of polling booths at such

places as he deems necessary, provided that, within an area

covered by a radius of eight kilometers from each booth, there

are not less than fifteen members according to their professional

address as given in the list of members eligible to vote.

63C. Polling officer

The Secretary shall appoint a polling officer for each polling booth

and may also appoint such other persons as he may deem

necessary to assist the polling officer. The polling officer shall, in

addition to performing any other duties imposed upon him by

these Regulations be in general charge of all arrangements at the

polling booth and may issue orders as to the manner in which

persons shall be admitted to the polling booth and generally for

the preservation of peace and order at or in the vicinity of the

polling booth.

63D. Secret chamber and ballot paper

(1) There shall be a secret chamber or chambers in each polling

booth and such chamber shall be so arranged that where a voter

records his votes on the ballot paper, no other person can see

how he has voted.

(2) The ballot paper shall contain a list of candidates standing for

election in an constituency and shall bear the seal of the Council.

63E.Presence of candidates at polling booths

Any candidate for election in a constituency shall be entitled to be

present at the pooling booths in that constituency and to appoint

not more than two members for each polling booth as his

authorised representatives to be present on his behalf at the

polling booths in that constituency:

PROVIDED that the candidate shall send to the Secretary by name

so as to reach him at least thirty days before the date fixed for

the poll at that constituency an intimation by registered post of

his intention to appoint such authorised representatives for the

purpose, clearly indicating the full name, membership number

and address of each of the authorised representatives and the

number of the polling booth at which each of them will be

present:

PROVIDED FURTHER that not more than one authorised

representative shall be present at a time at each polling booth.

63F. Voting to be in person and not by proxy

Voting shall be by ballot and every person entitled to record his

vote by ballot and wishing to record his vote, shall do so in person

and not by proxy.

63G. Identification of voters

(1) The polling officer may employ at the polling booth such

persons as he thinks fit to assist him in identifying the voters or

for any other purpose.

(2) At any time before a ballot paper is delivered to a voter, the

polling officer may of his own accord, if he has reason to doubt

the identity of the voter or his right to vote at the polling booth,

and shall, if so required by a candidate or his authorised

representatives, put to the voter such questions as he may

deemed necessary with a view to establishing the identity of that

voter.

(3) Every voter shall be required to sign the marked copy of a

signature form provided by the Secretary.

(4) If the polling officer is not satisfied as to the identity of the

person claiming to be a voter, he may refuse to allow such person

to vote in the election.

63H. Record to be kept by polling officer

(1) The polling officer shall at the time of delivery of the ballot

paper place against the name of the voter in the list of members

eligible to vote a mark to denote that the voter has received a

ballot paper. he shall also keep a record of the ballot papers

supplied to the voters in such manner as the Secretary may

direct.

(2) In deciding the right of a person to obtain a ballot paper under

this Regulation, the polling officer at any polling booth may

interpret any entry in the list of members eligible to vote so as to

overlook merely clerical or printing error, provided that he is

satisfied that such person is identical with the voter to whom such

entry relates.

63-I. Manner of recording of votes after receipt of ballot paper

On receiving the ballot paper the voter shall forthwith proceed

into the Secret chamber set apart for the purpose and shall record

his votes on the ballot paper in the manner specified in

Regulation 63. He shall thereafter fold the ballot paper, leave the

secret chamber and insert the ballot paper in the ballot box

provided for the purpose in presence of the polling officer. The

ballot box should be so constructed that a ballot paper can be

inserted thereinto during the poll but cannot be withdrawn

therefrom without the box being unlocked or the seals being

broken.

63J. Return of ballot paper by a voter

(1) If a voter after obtaining a ballot paper for the purpose of

recording his votes decides not to use the same, he shall return

the ballot paper to the polling officer and the ballot paper so

returned shall then be marked as 'cancelled-returned' and kept in

a separate envelope set apart for the purpose and a record shall

be kept by the polling officer of all such ballot papers.

(2) If any ballot paper which has been issued to a voter for the

purpose of recording his votes, is found left by the voter at the

secret chamber at the end of the day when the polling officer

inspects the secret chamber, whether votes have been recorded

in it or not, it shall be dealt with in accordance with the provisions

of sub-regulation (1) as if it had been returned to the polling

officer.

63K. Hours of polling

(1) Every polling booth shall be kept open on the day or days

appointed for recording of votes from 8.30 hours to 18.30 hours.

(2) If the polling at any polling booth cannot take place on the day

or days appointed for recording of votes, or is interrupted or

obstructed for any sufficient cause, or the ballot box used at a

booth is tampered with or is accidentally or deliberately

destroyed, lost or damaged, the polling officer or the Secretary,

as the case may be, may adjourn the polling to a subsequent

date, or the Secretary may declare the polling at the booth void

and decide to have a fresh polling, respectively.

(3) If a polling is adjourned or declared void under sub-regulation

(2), the Secretary shall, as soon as may be possible, appoint the

place where the polling shall be subsequently conducted and the

time, date or dates, as the case may be, for the said polling

booth. Also he shall not proceed with counting of votes relating to

the election in a constituency, until the polling at all the polling

booths in that constituency has been completed.

(4) The place, date or dates and the time of polling appointed

under sub-regulation (3) shall be notified individually to the

candidates and to the voters concerned.

(5) The polling officer shall close the polling booth at the end of

the day, or if the polling is for more than one day, at the end of

each day, at the hour appointed under sub-regulation (1) and no

voter shall be admitted thereto after that hour:

PROVIDED that all voters present within polling booth before it is

closed, shall be entitled to have their votes recorded:

PROVIDED FURTHER that where the number of voters within a

radius of eight kilometers at any polling booth exceeds 300, the

polling booth shall be kept open for two consecutive days during

the same timings as mentioned in sub-regulation (1).

(6) The polling officer shall, as soon as practicable after the close

of the poll or after its close on each day if the polling is for more

than one day, in the presence of any candidates or their

authorised representatives who may be present, seal the ballot

box within his own seal and the sales of such candidates or

authorised representatives as may desire to affix their seals

thereon. He shall also make separate packets of:

(i) the unused ballot papers;

(ii) the returned ballot papers;

(iii) the marked copy of the list of members eligible to vote; and

(iv) any other paper directed by the Secretary to be kept in a

sealed cover;

and seal each such packet with his own seal and the seals of such

candidates or authorised representatives as may desire to affix

their seals thereon. He shall arrange for the safe custody of the

ballot box and such packets.

(7) Before commencement of polling on the second day, wherever

the polling is to take place for more than one day, the polling

officer shall, after the seals on the ballot box and packets referred

to in sub-regulation (6) are examined by him and by the

candidates or their authorised representatives who may be

present, remove in their presence the seals on the ballot box and

packets for use during the course of that day.

(8) The ballot box and packets referred to in sub-regulation (6)

shall be accompanied by an account of ballot papers showing the

total number of ballot papers received, issued, unissued and

returned, as also the number of ballot papers which should be

found in the ballot box. This account shall be forwarded to the

Secretary by the polling officer.

63L.Transport of ballot papers and their custody

The Secretary and the polling officers shall make adequate

arrangements for safe custody of the ballot papers and for safe

transport to the headquarters of the Institute of all packets or

boxes and other papers referred to in Regulation 63k. The

Secretary shall also be responsible for their safe custody until the

commencement of counting of votes.

63M. Voting by members employed on duty at polling booth

The polling officer, the persons appointed by the Secretary to

assist the polling officer, or the authorised representatives

referred to in Regulation 63E, who are voters for any constituency

and who by reason of their being on duty at a polling booth, are

unable to be present and to vote at the polling booth where they

are entitled to vote, may send to the Secretary by name so as to

reach him at least thirty days before the date fixed for the poll at

the constituency, application for permission to vote at the polling

booth where they will be on duty. If the Secretary is satisfied that

the claim is just, he may, notwithstanding anything contained in

this Chapter, allow the application and permit the voter to vote at

the polling booth where he will be on duty to act as polling officer

or to assist the polling officer or as authorised representative of a

candidate:

PROVIDED that such permission shall not be granted to more than

one authorised representative of a candidate in respect of each

polling booth, such authorised representative being specifically

nominated for the purpose by the candidate himself.

63N. Eligibility to vote by post

Every member whose name is included in the list of members

eligible to vote published under the provisions of sub-regulation

(1) of Regulation 56 and whose name is not attached to any

polling booth and every member who is residing outside India,

shall, notwithstanding anything contained in this Chapter, be

entitled to vote by post:

PROVIDED that a member who is entitled to vote by poll may be

allowed at the discretion of the Secretary to vote by post if by

reason of there being a permanent change in his address from

the address published in the list of members eligible to vote to

another village, town or city beyond a radius of eight kilometers,

he is unable to exercise his vote by poll at the polling booth

allotted to him. Application in this behalf, with proper verification

of the contents of the application by the member concerned,

should be sent to the Secretary by name so as to reach him at

least 30 days before the date of polling. Any misuse of this

concession, or any misstatement of false verification in this behalf

will render the member concerned liable for disciplinary action

under Regulation 70:

PROVIDED FURTHER that a member who is actually residing

beyond a radius of eight kilometers from the polling booth

allotted to him on the basis of his professional address may at the

discretion of the Secretary also be given the concession provided

in the foregoing proviso on the same terms and conditions.

64. Eligibility to vote by poll by a voter entitled to vote by post

A voter entitled to vote by post under Regulation 63N may

however be allowed by the Secretary to vote by poll at any

particular polling booth to be specified by him within his regional

constituency, provided he makes an application to that effect in

writing duly addressed and forwarded to the Secretary by name

by registered post so at to reach him at least 45 days before the

date of polling.

65. Ballot papers to be sent by post

At least 21 days before the date for starting of counting of votes,

the Secretary shall send by registered post to the address of voter

entitled to vote by post under Regulation 63N, the ballot paper

together with a letter explaining the manner in which it shall be

filled up, and specifying the date and hour by which it must reach

the Secretary.

65A. Ballot papers to be returned after recording votes thereon

Every voter on receiving his ballot papers sent under Regulation

65 shall, if he desires to vote at the election, record his votes

thereon in the manner specified in Regulation 63 and then send it

to the Secretary by name and by registered post so as to reach

him before 3.00 p.m. on the date fixed in this behalf. A voting

paper not addressed to the Secretary by name and not delivered

by registered post shall be disregarded.

Explanation: For the purpose of this Regulation if voting papers

relating to two or more members are posted in one and the same

envelope, all such voting papers shall be disregarded.

65B. Issue of undelivered and fresh ballot papers

When a ballot paper and other connected papers sent by post

under Regulation 65 are lost or damaged in transit or for any

reason returned undelivered, the Secretary may reissue them by

registered post or deliver them or cause them to be delivered to

the voter on his applying for the same, if the Secretary is satisfied

with the reasons for such loss, damage or return of the ballot

paper and other connected papers.

65C. Grounds for declaring ballot papers invalid

A ballot paper shall be invalid if-

(a) a voter signs his name or writes any word or figures or makes

any marks on it by which the ballot paper becomes recognisable,

or by which the voter can be identified; or

(b) it does not bear the seal of the Council; or

(c) the figure 1 is not marked in the square opposite the name of

any of the candidates; or

(d) the figures 1 is set opposite the names of more than one

candidate; or

(e) the figure 1 and some other figure are set opposite the name

of the same candidate; or

(f) it is unmarked or void for uncertainty.

66. Definitions

In this Chapter, unless there is anything repugnant in the subject

or context-

(a) 'continuing candidate' means any candidate not elected and

not excluded from the poll at any given time;

(b) 'first preference' means the figure 1; 'second preference'

means the figure 2, and 'third preference' means the figure 3, set

opposite the name of any candidate, and so on;

(c) 'unexhausted paper' means a ballot paper on which a further

preference is recorded for a continuing candidate;

(d) 'exhausted paper' means a ballot paper on which no further

preference is recorded for a continuing candidate, provided that a

ballot paper shall also be deemed to be exhausted in any case in

which-

(i) the names of two or more candidates, whether continuing or

not, are marked with the same figure and are next in order of

preference; or

(ii) the name of the candidate next in order of preference,

whether continuing or not, is marked by a figure not following

consecutively after some other figures on the ballot paper or by

two or more figures;

(e) 'original vote' in regard to any candidate means a vote derived

from a ballot paper on which a first preference is recorded for

such candidate;

(f) 'transferred vote' in regard to any candidate means a vote, the

value or part of the value of which is credited to such candidate

and which is derived from a ballot paper on which a second or

subsequent preference is recorded for such candidate;

(g) 'surplus' means the number by which the value of the votes of

any candidate, original or transferred, exceeds the quota.

66A. Appointment of time for counting of votes

The Secretary shall appoint the time for counting of votes on each

date at the headquarters of the Institute and shall give notice of

such time in writing to all candidates.

67. Counting of votes

(1) On the date at the time and place appointed under Regulation

66A, the Secretary shall for purposes of counting of votes in

respect of a constituency-

(a) open the covers containing the postal ballot papers received

by him under Regulation 65A, and shall take out the ballot papers

from each such cover, record the number thereof in a statement

and make a separate packet of such ballot papers;

(b) allow the candidates or their authorised representatives

present at the counting an opportunity to inspect the ballot boxes

and packets received from the polling officers and their seals for

satisfying themselves that they are in order; and

(c) proceed as follows:

If he is satisfied that the ballot boxes and packets which have

been received are in order, he shall take up the counting of the

ballot papers contained in the ballot boxes. If he finds that any of

the ballot boxes has been tampered with, he shall not count the

ballot papers contained in such box for purposes of election. He

shall, however, keep a record of such ballot papers for purposes

of election petitions, if any.

He shall open the ballot boxes found to be in order, take out the

ballot papers therefrom, count them and keep a record of their

number in a statement. To these he shall add the postal ballot

papers. He shall then examine the ballot papers and reject those

which are invalid. He shall thereafter divide the valid ballot papers

into parcels according to the first preference recorded for each

candidate and count the number of papers in each parcel.

(2) In carrying out the Regulations hereinafter contained, the

Secretary shall-

(a) disregard all fractions, and

(b) ignore all preferences recorded for candidates already elected

or excluded from the poll.

(3) For the purpose of facilitating the processes prescribed by the

Regulations hereinafter contained, each valid paper shall be

deemed to be the value of one hundred.

(4) The Secretary shall add together the values of the papers in

all the parcels and divide the total by a number exceeding by one

the number of vacancies to be filled and the result increased by

one shall be the number sufficient to secure the return of a

candidate (hereinafter called the quota).

(5) If at any time a number of candidates equal to the number of

persons to be elected has obtained the quota, such candidates

shall be declared elected, and no further steps shall be taken.

(6) Any candidate, the value of whose parcel, on the first

preference being counted, is equal to or greater than the quota,

shall be declared elected. If the value of the papers in any such

parcel-

(a) is equal to the quota the papers shall be set aside as finally

dealt with;

(b) is greater than the quota the surplus shall be transferred to

the continuing candidates indicated on the voting papers as next

in the order of the voters' preference in the manner prescribed in

the following sub-regulations.

(7) If and whenever as the result of any operation prescribed by

these Regulations a candidate has a surplus, that surplus shall be

transferred in accordance with the provisions of this sub-

regulation:

(a) If more than one candidate has a surplus, the largest surplus

shall be dealt with first and the others in order of magnitude:

PROVIDED that every surplus arising on the first counting of votes

shall be dealt with before those arising on the second counting

and so on.

(b) Where two or more surpluses are equal, the Secretary shall

decide, as hereinafter provided, which shall first be dealt with.

(c) If the surplus of any candidate to be transferred arises from

original votes only, the Secretary shall examine all the papers in

the parcel belonging to the candidate whose surplus is to be

transferred, and divide the unexhausted papers into sub-parcels

according to the next preferences recorded thereon. He shall also

make a separate sub-parcel of the exhausted papers. He shall

then ascertain the value of the papers in each sub-parcel and of

all the unexhausted papers. If the value of the unexhausted

papers-

(i) is equal to or less than the surplus, he shall transfer all the

unexhausted papers at the value at which they were received by

the candidate whose surplus is being transferred.

(ii) is greater than the surplus, he shall transfer the sub-parcel of

unexhausted papers, and the value at which each paper shall be

transferred shall be ascertained by dividing the surplus by the

total number of unexhausted papers.

(d) If the surplus of any candidate to be transferred arises from

transferred as well as original votes, the Secretary shall re-

examine all the papers in the parcel last transferred to the

candidate, and divide the unexhausted papers into sub-parcels

according to the next preferences recorded thereon. He shall

thereupon deal with the sub-parcels in the same manner as is

provided in the case of the sub-parcels referred to in clause (c).

(e) The papers transferred to each candidate shall be added in

the form of a sub-parcel to the papers already belonging to such

candidate.

(f) All papers in the parcel or sub-parcel of an elected candidate

not transferred under this sub-regulation shall be set aside as

finally dealt with.

(8) If after all surpluses have been transferred, as hereinbefore

provided, less than the number of candidates required had been

elected, the Secretary shall exclude from the poll the candidate

lowest on the poll and shall proceed as follows:

(a) He shall distribute the unexhausted papers of the excluded

candidate among the continuing candidates according to the next

preferences recorded thereon. Any exhausted papers shall be set

aside as finally dealt with.

(b) The papers containing original votes of an excluded candidate

shall first be transferred, the transfer value of each being one

hundred.

(c) The papers containing transferred votes of an excluded

candidate shall then be transferred in the order of the transfers in

which and at the value of which he obtained them.

(d) Each of such transfers shall be deemed to be a separate

transfer.

(e) The process prescribed by this sub-regulation shall be

repeated on the successive exclusions one after another of the

candidates lowest on the poll until the last vacancy is filled either

by the election of a candidate with the quota or as hereinafter

provided.

(9) If as the result of a transfer under these Regulations the value

of the votes obtained by a candidate is equal to or greater than

the quota, the transfer then proceeding shall be completed, but

no further papers shall be transferred to him.

(10) If after the completion of any transfer under these

Regulations the value of the votes of any candidate shall be equal

to or greater than the quota he shall be declared elected. If the

value of the votes of any such candidate-

(a) shall be equal to the quota, the whole of the papers on which

such votes are recorded shall be set aside as finally dealt with;

(b) shall be greater than the quota, his surplus shall thereupon be

distributed in the manner hereinbefore provided, before the

exclusion of any other candidate.

(11) When the number of continuing candidates is reduced to the

number of vacancies remaining unfilled, the continuing

candidates shall be declared elected. When only one vacancy

remains unfilled and-

(a) if the value of votes of some one continuing candidate

exceeds the total value of all the votes of the other continuing

candidates together with any surplus not transferred, that

candidate shall be declared elected;

(b) if there are only two continuing candidates, and those two

candidates have each the same value of votes and no surplus

remains capable of transfer, one candidate shall be declared

excluded under the next succeeding sub-regulation and the other

declared elected.

(12) If, when there is more than one surplus to distribute, two or

more surpluses are equal, or if at any time it becomes necessary

to exclude a candidate and two or more candidates have the

same values of votes and are lowest on the poll, regard shall be

had to the original votes of each candidate and the candidates for

whom fewest original votes are recorded shall have his surplus

first distributed, or shall be first excluded, as the case may be. If

the values of their original votes are equal the Secretary shall

decide by lot which candidate shall have his surplus distributed or

be excluded.

68. Appointment of scrutinizers

The Secretary shall appoint not more than four persons who are

neither members of the Council nor candidates for election to act

as scrutinizers of the voting papers and to assist the Secretary

generally in counting the vote.

68A. Presence for candidate at the time of counting votes

Any candidate for election shall be entitled to be present in

person or to appoint a member of the Institute as a

representative to be present on his behalf at the time of counting

of votes.

69. Notification of the declaration of results

The names of all candidates declared elected shall be notified by

the Council in the Journal of the Institute.

69A. Saving

(1) The decision of the Secretary shall be final in all matters not

only in regard to the application of any of the provisions of he

Regulations contained in this Chapter but also in respect of all

other matters not specifically covered by these provisions

(2) No election shall be deemed to be invalid merely because of

the accidental omission to send, or delay in sending, a ballot

paper to a voter, or the accidental non receipt of, or delay in

receiving, a ballot paper by a voter or any other accidental

irregularity or informality in the conduct of the election.

70. Disciplinary action against member in connection with

conduct of elections

A member of the Institute shall be liable for disciplinary action by

the Council if he adopts one or more of the following practices

with regard to the election to the Council, namely:

(1) Bribery, that is to say, any gift, offer or promise by a candidate

or by any other person with the connivance of a candidate, of any

gratification to a person whomsoever, with the object, directly or

indirectly, of inducing-

(a) a member to stand or not to and as; or to withdraw from

being, a candidate at an election; or

(b) a voter to vote or refrain from voting at an election, or as a

reward to-

(i) a member for having so stood or not stood, or for having

withdrawn his candidature; or

(ii) a voter for having voted or refrained from voting.

Explanation: For the purposes of this clause the term

"gratification" is not restricted to pecuniary gratifications or

gratifications estimable in money, but includes all forms of

entertainment and all forms of employment for reward; but it

does not include the payment of any expenses bona fide incurred

at, or for the purpose of, any election.

(2) Undue influence, that is to say, any direct or indirect

interference or attempt to interfere on the part of a candidate or

of any other person with the connivance of the candidate with

free exercise of any electoral right:

PROVIDED that a declaration of policy or a promise of a particular

action or the mere exercise of a legal right without intent to

interfere with an electoral right shall not be deemed to be

interference within the meaning of this clause.

(3) The publication by a candidate or by any other person with the

connivance of the candidate of any statement of fact which is

false, and which he either believes to be false or does not believe

to be true, in relation to the personal character or conduct of any

candidate, or in relation to the candidature or withdrawal of any

candidate, being a statement reasonably calculated to prejudice

the prospects of that candidate's elections.

(4) The obtaining or procuring or abetting or attempting to obtain

or procure by a candidate or by any other person with the

connivance of a candidate, any assistance for the furtherance of

the prospects of the candidate's election from any person serving

under the Government of India or the government of any State

other than the giving of vote by such person, if he is a member of

the Institute entitled to vote.

(5) The hiring or procuring, whether on payment or otherwise, of a

vehicle by a candidate or by any other person with the

connivance of a candidate, for the conveyance of voters.

(6) The canvassing for votes, or soliciting the vote of any other, or

persuading any voter not to vote for any particular candidate, or

persuading any voter not to vote at the election, or exhibiting any

notice or sign board (other than an official notice) relating to the

election, by a candidate or by any other person with the

connivance of a candidate within a distance of 200 meters from a

polling booth.

(7) Any act specified in clauses (1) to (6), when done by a

member of the Institute who is not a candidate or a member

acting with the connivance of a candidate

(8) The receipt of, or agreement to receive, any gratification

whether as a motive or a reward-

(a) by a member for standing or not standing as, or withdrawing

from being, a candidate; or

(b) by any member whomsoever for himself or any other person

for voting or refraining from voting, or for inducing or attempting

to induce any voter to vote or refrain from voting, or any

candidate to withdraw his candidature.

(9) Contravention or misuse of any of the provisions of this

Chapter or making any false statement knowing it to be false or

without knowing it to be true while complying with any of the

provisions of this Chapter.

70A. Dispute regarding election

(1) On receipt of an application under sub-section (2) of section

10 of the Act, the President shall refer the matter to the Tribunal

within thirty days of the receipt of the application.

(2) At the time of giving its decision, the Tribunal shall also pass

an order in regard to the costs. If the Tribunal satisfied that an

application made under sub-section (2) of section 10 of the Act

was not founded on a valid ground, the Tribunal may award the

costs to the Institute.

CHAPTER VIII : MEETINGS AND PROCEEDINGS OF THE

COUNCIL

71. Meetings of the Council

The Council shall meet at least once in every six months at such

time and place as the President may determine.

72. Notice of Council meeting

Notice of the time and place of an intended meeting shall be sent

to the registered address of every member of the Council not less

than twenty-one days before such meeting and such notice shall

so far as practicable contain a statement of the business to be

transacted at such meeting, provided that in the case of a special

meeting, the President may inform the members of the subject-

matter for discussion at the meeting.

(2) Notwithstanding any thing contained in sub-regulation (l), the

President may call an extraordinary meeting of the Council in any

emergency, giving such shorter notice as circumstance may

permit.

73. Special meetings of Council

A special meeting of the Council may, at any time, be called by

the President or in his absence by the Vice-President, or at the

request in writing addressed to the Secretary by at least 26 per

cent of the members of the Council for the time being.

73A. Postponement of meetings

Any meeting of the Council, which is called to be held on a

particular date or dates, may be postponed by the President to a

subsequent date or dates, if in his opinion, such postponement is

warranted, which may also include change of time and place of

the meeting. Notice of the postponed meeting shall be sent to the

registered address of every member of the Council not less than

seven days before such postponed meeting. The business to be

transacted at the postponed meeting shall be same as was

intended for the original meeting, unless any other business is

admitted by the Chairman of the postponed meeting.

74. Chairman of Council

At all meetings of the Council, the President, or in his absence the

Vice-President, shall be the Chairman, or, in the absence of both,

the Chairman shall be elected from among those present:

PROVIDED that, at the first meeting of any Council, the President

of the outgoing Council, or in his absence its Vice-President, shall

act as the Chairman until such time as a President is elected

under the provisions of sub-section (1) of section 12.

75. Quorum at meeting

(1) One-third of the total number of members of the Council shall

constitute the quorum for a meeting.

(2) If, at the time appointed for a meeting, a quorum is not

present, and if a quorum is not present on the expiration half an

hour from the time appointed for the meeting, the meeting shall

stand adjourned to such future date as the President may

appoint:

PROVIDED that, where a meeting has been adjourned for want of

quorum, any business which was intended to be transacted at the

original meeting may be transacted at such adjourned meeting

notwithstanding that there is no quorum.

76. Passing of resolution at meeting

At all meetings of the Council, in the event of a difference of

opinion, the vote of the majority shall prevail unless otherwise

required by the Act or these Regulations, and in case of equality

of votes, the Chairman shall have a casting vote in addition to his

original.

77. Adjournment of meeting of Council

Subject to the Provisions of these Regulations, the Chairman of

any meeting of the Council may, with the consent of the

meetings, adjourn the meeting from time to time and from place

to place but no business shall be transacted at any adjourned

meeting other than the business left unfinished at the meeting

from which the adjournment took place. No notice needs be given

of an adjourned meeting unless it be so directed in the resolution

for adjournment.

78. Record of minutes

Minutes shall be kept of all resolutions and proceedings of the

meetings of the Council, which shall be approved by the members

and signed by the Chairman of the meeting.

79. Passing of resolution by circulation

(1) The President may, in emergent cases, circulate papers

among the members of the Council for decision of any question:

PROVIDED that, where four members of the Council require that

any question should be decided at a meeting, the President shall

withdraw the papers from circulation and have the question

decided at a meeting of the Council.

(2) Where the papers relating to any question are circulated

among the members, a period of ordinarily not less than ten days,

commencing from the date of circulation of the papers shall

elapse before any decision is arrived at on the question.

(3) Every resolution passed by circulation of papers shall be

communicated to all the members of the Council.

CHAPTER IX : STANDING AND OTHER COMMITTEES

80. Time and place of meeting

(1) The Chairman of a Committee may at any time and shall, on

written requisition of any two members of the Committee, call a

meeting of the Committee.

(2) The meeting of a Committee shall be held at such place and at

such time as its Chairman may direct.

(3) A notice of not less than seven days of every such meeting

shall ordinarily be given to every member of the Committee.

(4) Any meeting of a Committee which is called to be held on a

particular date or dates may be postponed by the Chairman or

the Committee to a subsequent date or dates, if, in his opinion,

such postponement is warranted, which may also include changes

of time and place of the meeting. Notice of the postponed

meeting shall be sent to the registered address or every member

of the Committee not less than seven days before such postponed

meeting. The business to be transacted at the postponed meeting

shall be same as was intended for the original meeting, unless

any other business is admitted by the Chairman of the postponed

meeting.

81. Quorum

(1) No business shall be transacted at a meeting of a Committee

unless there are present at least three members in the case of

the Executive Committee, and two members in other cases,

including the Chairman, provided that in the case of Committees

formed under sub-section (2) of section 17 the Council shall

determine the quorum for the Committee.

(2) In the event of there being no quorum within half an hour of

the time fixed for the meeting, the meeting shall stand adjourned

to a date, time and place specified by the Chairman of the

Committee:

PROVIDED that, where a meeting of a Committee has been

adjourned for want of a quorum, any business which was intended

to be transacted at the original meeting may be transacted at

such adjourned meeting, notwithstanding that these is no

quorum.

82. Procedure for transaction of business

(1) The business of a Committee shall ordinarily be transacted at

meeting of the Committee, provided that the Chairman may in

emergent cases circulate papers among the members of the

Committee for the decision of any question:

PROVIDED FURTHER that, where any two members of the

Committee require that any question should be decided at a

meeting, the Chairman shall withdraw the papers from circulation

and have the question determined at a meeting of the

Committee.

(2) When the papers relating to any question are circulated

among the members, a period of not less than ten days,

commencing from the date of circulation of the papers shall

elapse before any decision is arrived at on the question.

(3) Every resolution passed by circulation of papers shall be

communicated to all the members.

83. Casting vote

All questions before a Committee shall be decided by a majority

of votes. In the event of equality of votes, the Chairman shall

have a casting vote.

84. Minutes

(1) The Secretary of the Council shall be the Secretary for each

Committee, unless the Council otherwise directs.

(2) The Secretary shall maintain a record of all the business

transacted by the Committee either the circulation of papers or at

a meeting of the Committee.

85. Executive Committee

The Executive Committee shall perform the following functions,

namely:-

(a) maintenance of the office of the Council and for this purpose

the Executive Committee may employ, suspend, discharge or re-

employ the necessary staff on such terms and conditions as it

may deem fit;

(b) maintenance of proper accounts of all receipts and payments

on behalf of the Council and the matters in respect of which

receipts and payments take place and of all the property,

securities, debts, funds and liabilities of the Institute;

(c) maintenance of the Register of Members of the Institute, and

all other statutory Registers which are prescribed by the Act or

these Regulations from time to time;

(d) control and custody of the property, assets and funds of the

Institute;

(e) investment of the surplus funds of the Institute in Government

securities approved by the Council or other securities approved

by the Central Government, and to vary such investments from

time to time;

(f) disbursements from the funds of the Institute for expenditure

both revenue and capital within the estimates previously

sanctioned by the Council:

PROVIDED that, in emergent cases, expenditure in excess of the

estimates previously sanctioned by the council may be incurred

by the committee but such excess expenditure should be brought

to the notice of the council at its next meeting; and

(g) enrollment of associates, admission of fellows, removal and

restoration of names of members, cancellation of Certificate of

Practice, issue of Certificates of Membership, prosecution of

members on the findings of the Council, granting permissions for

Cost Accountants in practice or firms of such Costs Accountants to

have a branch office in India without being in separate charge of a

member of the Institute until the Council decides the matter and

publication of list of members.

86. Examination Committee

(1) The Examination Committee shall exercise all the functions of

the Council in regard to holdings of the examinations, admissions

thereto, appointment and selection of examiners, and declaration

of results and other connected matters. It shall also have full

powers to fix the remunerations of the examiners, assistant

examiners, superintendent of examinations and others, and deal

with other matters arising out of the holding of examinations.

(2) The Examination Committee shall be responsible for the

maintenance of proper standard of conduct at the examinations.

87. Training and Educational Facilities Committee

The Training and Educational Facilities Committee shall perform

the following functions, namely:-

(a) Registration of students.

(b) Maintenance of the Register of students, and such other

registers as may be prescribed.

(c) Provision of proper facilities to Registered Students to obtain

coaching in the subjects in which they are to be examined by the

Council.

(d) Arrangements for the training of candidates sent by any

Department of the Central or any State Government, Chamber of

Commerce or any other public or private organisation and to do

all things in connection therewith.

(e) Purchase of books, magazines, equipments and the like for the

Library and arranging for its proper running and maintenance.

(f) Suggesting to the Council from time to time modifications to

the existing syllabi for the qualifying examinations of the Institute

and recommending suitable books for the guidance of candidates.

87A. Professional Development Committee

The Professional Development Committee shall perform the

following functions, namely:

(1) Maintaining contacts with the various departments of the

Central and State Governments and other public and privates

bodies with a view to enlisting their support in the furtherances of

the interest of the members of the Institute;

(2) Making representations to the Central and State Governments

in connection with matters of professional and business interest

with a view to raising the standard and status of the profession;

(3) Arranging for intercourse among the members of the Institute

by regular meetings, conferences, seminars, talks and lectures for

the acquisition and dissemination of useful information in

connection with the profession of accountancy;

(4) Propagating amongst the members of the Institute the

advisability and the necessity of observing the rules of

professional etiquette and the provisions of the Act and the

Regulations;

(5) Publication, issue and circulation of books, pamphlets and

other literatures on matters of professional interest except Journal

and research publications;

(6) Offering suggestions to the Council for amendment of various

Acts, both Central and State, for betterment of the profession;

(7) Doing such things as may be considered necessary for general

upliftment of the status of the Institute and the profession of cost

accountancy and all other things which are incidentals or

conducive to the attainment of the above objectives.

87B. Research and Publications Committee

The Research and Publications Committee shall perform the

following functions, namely:-

(1) Carrying out research work on costing and allied subjects and

giving guidance in and encouragement of research by members

in various topics of interest to the profession;

(2) Publication of research pamphlets and other literature on

behalf of the Institute subject to approval of the Council;

(3) Making recommendations to the Council on any or all matters

relating to research and publications;

(4) Engagement of research personnel and in case of

remunerated posts, subject to the sanction of the Council;

(5) Incurring expenses within the limits previously sanctioned by

the Council for the performance of the above functions;

(6) Carrying out such other functions as may be entrusted from

time to time by the Council.

87C. Journal Committee

The Journal Committee shall be responsible for the publication of

the Journal which shall be the official organ the Institute and for

the maintenance of its proper standard and shall perform all the

functions in connection therewith.

88. Council's power of review not affected

Nothing in this Chapter shall affect the power of the Council to

review any decision of any Standing or other Committee.

CHAPTER X : MISCELLANEOUS

89. Location of the office of the Council

The headquarters of the Council shall be located at Calcutta.

90. Administration of the Institute

The Council shall be in charge of the administration of the

Institute and the Regional Councils.

91. Custody of Common Seal

The Common Seal of the Institute shall be in the custody of the

Secretary.

92. Affixing of Common Seal

All instruments on which the Common Seal is required to be

affixed by or under any law shall be so affixed and countersigned

by the Secretary.

93. Maintenance of accounts

It shall be the duty of the Secretary to maintain or cause to be

maintained proper accounts of the receipts and expenditure of

the Institute.

94. Audit of accounts

The Council, not less than two months before the date of each

Annual Meeting, shall deliver to the auditors the accounts of the

last year and the auditors shall examine such account and report

thereon, not less than one month before the date of the meeting.

The auditors shall be entitled to ask for any information or

explanation regarding the accounts from the Secretary and such

information or explanation shall be supplied to them in so far as

may be available at the time.

95. Appointment of auditors

The. auditors shall be elected at the Annual Meeting of the

Council from among candidates who have been duly nominated

by two members of the council; each such information shall be

signed by the members nominating and by the candidate, and

shall be deposited at the office of the Council at least three days

before the meeting. The auditors who are in office shall be

deemed to be nominated at each Annual Meeting unless they

have intimated to the Secretary their desire not to be re-elected.

96. Auditors

The Council shall determine the remuneration, if any to be paid to

the auditors elected at the Annual Meeting. In the event of any

vacancy occurring in the office of auditor between two Annual

Meetings or in the event of a vacancy not being filled up at any

Annual Meeting the said vacancy may be filled up by the

Executive Committee and a person so becoming an auditor shall

hold office until the next Annual Meeting, but shall be eligible for

election:

PROVIDED that during the period of such vacancy the continuing

auditor, if any, may act alone.

97. Retirement of auditors

The auditors shall retire at the Annual Meeting of the Council next

after the meeting at which they were elected, but shall be eligible

for re-election.

98. Powers and duties of the President and Vice-President

The President shall exercise such powers and perform such duties

as are conferred or imposed on him by the Act or these

regulations, or as may be delegated to him by the Council from

time to time.

The President may direct any business to be brought before the

Council or any Committee for consideration.

If the office of the President is vacant or if the President for any

reason is unable to exercise the powers or perform the duties of

his office, the Vice-President shall act in his plea and shall

exercise the powers and perform the duties of the President.

99. Powers and duties of the Secretary

Subject to the general supervision of the President and the

Committee concerned, the Secretary shall exercise and perform,

in addition to the powers and duties specially assignee to him in

the Act or these Regulations, the following powers and duties,

namely:

(a) Being in charge of the Office of the Institute as its Executive

Head, managing it and attending to all correspondence.

(b) Removal from the membership owing to death and restoration

to membership and issuing notification therefor.

(c) Sanctioning and renewing of Certificates of Practice for

associates and fellows and cancelling Certificates of Practice at

the request of members.

(d) Granting of permission to members to be engaged in other

occupations besides the practice of the profession of accountancy

within the categories permitted by the Council under regulation

111.

(e) Maintenance of registers, documents and forms as required by

the Act and these Regulations.

(f) Being in charge of all the property of the Institute.

(g) Making necessary arrangements for receiving moneys due to

the Council and also issuing receipts therefor.

(h) Incurring of all revenue expenditure within the limits

sanctioned by the Council or the Committees and incurring capital

expenditure or purpose of purchasing books for the library of the

Institute within the limit sanctioned by the Council or the

Committees.

(i) Causing proper accounts to be maintained and delivering of

account books, or furnishing information to the auditors appointed

by the Council for the purpose of audit of the accounts of the

institute.

(j) Making all other payments as sanctioned by the Council,

Committees or the President.

(k) Payment of salary and allowances to the members of the staff,

granting of leave to them; and sanctioning their increments within

the prescribed scales subject to the approval of the President.

(l) Exercise of disciplinary control over the staff except dismissal

which should have the sanction of the President.

(m) Admitting candidates to the examinations held under hence

Regulations and making all necessary arrangements for the

conduct of the examinations.

(n) Refunding or transferring of fees received in accordance with

these Regulations for the examinations, enrolment, issue of

Certificates of Practice and allied matters.

(o) Registering and noting of suspension, cancellation or

termination of registration of students.

(p) Permitting Registered Students to engage in other occupation

as approved by the Council or the Committees.

(q) Signing and issuing of: (i) all notifications as provided in

clauses (b) above; (ii) all other notifications on behalf of the

Council, subject to the approval of the President.

(r) Signing Vakalat Namas on behalf of the Council, appointing

Solicitor of Advocates on behalf of the Council, and filling papers

in Courts on behalf of the Council, subject to the approval of the

President.

(s) Calling of such information and particulars as he may consider

necessary in furtherance of the above duties.

(t) Performing such other duties and functions as are incidental

and ancillary to and may be required for the performance of the

above duties and exercising such other powers as may be

delegated by the Council, a Committee or the President from time

to time.

100. Indemnity from losses and expenses

The members of the Council, the auditors, the Secretary and

other Officers of the Council shall be indemnified by the Institute

against all losses and expenses incurred by them in the bona fide

discharge of their respective duties.

101. Method of payment of fees

All fees prescribed under these Regulations shall be made

payable to the Secretary in such manner as the Council may

direct:

PROVIDED that, until other direction is given by the Council,

payments made to the Institute by Demand Drafts, cheques,

Money Orders or Postal Orders, duly crossed and drawn in favour

of the Secretary, payable in Calcutta, and payments made to him

in cash at Calcutta shall be deemed to be payments made to the

Council.

102. Issue of Duplicate Certificates

(1) In the event of the loss by the holder of a Certificate in any of

the Forms 'C', 'E', 'F' and 'J', the Council may, on application made

in this behalf, duly supported by an affidavit of the applicant to

the effect that he was in possession of such a Certificate and had

lost it, issue a copy thereof to him on payment of a fee of Rs. 10

for a duplicate copy of a Certificate in Form 'C', 'E' or 'F' and of Rs.

5 for a duplicate copy of a Certificate in Form 'J'.

(2) Where any such Certificate is damaged or mutilated, the

Council may, on application made in this behalf, issue duplicate

copy thereof on receipt of the fee prescribed is sub-regulation (1)

and on return of the damaged Certificate.

103. Proof of service of notice

All notices required by the Act or these Regulations to be given to

members shall be forwarded by post to such address as may last

have been registered with the Institute, and in proving that such

notice has been given, it shall be sufficient to prove that such

notice was properly addressed and put in the post.

104. Publication of list of members

In publishing the list of members under sub-section (3) of section

19, the Council may indicate in such manner as it thinks fit the

associates and fellows who are in practice and those who are not

in practice. A copy of the list shall be sent free of charge to all

members who make a request for it to the Secretary, all

Registrars of Companies, all Regional Directors under the

Department of Company Law Administration, the Ministry of

Commerce and Industry, and such other bodies as the Council

may specify. Copies of the list shall also be made available to all

other persons at such reasonable price as the Council may fix.

105. Members to supply information

For the purpose of publication of the list referred to in Regulation

104, the Council may require the members to supply any

information regarding present address, place of business,

partners, whether practising or not, and the like. If the members

fails supply the information in time, the list may be drawn upon

such information as the Council may possess.

106. Branch office

Every Cost Accountant in practice or a firm of such Cost

Accountants maintaining more than one office at the

commencement of the Act shall send within three months

thereafter to the Council a list of offices and the persons in charge

thereof. Any change in regard to any branch office or offices shall

also be intimated to the Council forthwith.

107. Offices not in charge of members

Where a Cost Accountant in practice or a firm of such Cost

Accountants has any office in India at the commencement of the

Act which is not in separate charge of a member of the Institute,

he or it shall take steps within six months from such

commencement to regularise the position by obtaining exemption

from the Council or otherwise.

2[108. Prior approval of the Council to use own name or trade

name or firm name

(1) Every Cost Accountant in practice in his own name or trade

name and every firm of such Cost Accountants shall, before

commencement of practice or formation of the firm, as the case

may be, whichever is earlier, submit to the council in Form 'L'

appended with these regulations the particulars of his office or

the firm for approval to use own name or a trade name or a firm

name.

(2) A trade name or firm name shall be restricted to the names of

the proprietor or partners or a name which is already in use and

may include, and confirm to, the names of the members as may

appear in the Register of Members.

(3) A trade name or firm name may be used in the following

manners, namely:-

(a) Full surname of the members or full name indicating their

surname; or

(b) Full first name of the members or initials of full name or first

name; or

(c) Combination of first name, middle name, initials and surname

of the members or expansion thereof; or

(d) Distinguishing part of the name as is commonly known; or

(e) Combination of names or surnames of the partners; or

(f) Part of the name of the proprietor or partners; or

(g) Suffix & Co. or & Associates or their equivalents; or

(h) Any other name or surname by which a member is also known

subject to the production of an affidavit or other evidence to the

satisfaction of the Council.

(4) A trade name or firm name shall not be allowed to be used

where-

(a) A member seeks to use a part of his surname; or

(b) Suffixes are used like '& Partners', '& Fellows' & 'Others' and

'& Sons'; or

(c) It bears the name of God, Goddess or deity which has no

relationship with the names or surnames of members; or

(d) It is a descriptive trade name or firm name; or

(e) It indicates or aims at publicity;

(f) Similar or nearly similar name is already being used and is

entered in the Register of Offices and firms; or

(g) It is not desirable, in the opinion of the Council, to allow the

use of such name.

(5) The Council may approve a trade name or firm name and shall

maintain a Register of offices and firms for entering therein the

trade name or firm name so approved and the particulars finished

in Form 'L' appended with these regulations.

(6) Any subsequent change in the particulars submitted in Form L

(appended with these regulations) shall be informed to the

Council by the Cost Accountant or the firm of Cost Accountants so

as to reach the Council within thirty days from the date on which

the change is effected.

(7) Where the same trade name or firm name has been registered

by the Council in the case of two or more members or firms, the

Council may allow the use of such name by that firm alone who or

which was registered first in the Register of offices and firms and

may direct all other to alter the name in such a manner as the

Council may consider proper and to inform the Council about the

attention within one hundred and eighty days from the date of

issue of directions.

(8) No member shall practise under a trade name or firm name-

(a) unless such name is approved by the Council under sub-

regulation (5); or

(b) in respect of which a direction is issued by the Council under

sub-regulation (7), after the expiry of one hundred and eighty

days from the date of issue of the direction.]

109. Particulars of Nationality

Every member of the Institute shall submit to the Council

particulars regarding his nationality and shall also intimate to the

Council any subsequent change in such particulars not later than

thirty days from the date of such change.

110. Place of business in India

It shall be obligatory on a member of the Institute to have a place

of business in India in his own charge or in charge of another

member of the Institute. Particulars of such place of business shall

be supplied by the member to the Council initially and whenever

there is a change of such place of business:

PROVIDED, however, that the Council may in the case of a

persona not covered by the proviso to section 4(1)(iv), allow a

member to specify a place of business in India whether he has

business in India or not which is neither in his own charge nor in

charge of another member of the Institute, and in that event,

such place shall be deemed to be the place of business for the

purposes of section 21 and his professional address for purposes

of sub-regulation (6) of Regulation 7 and Regulation 53.

Particulars of any change of such place of business shall be

furnished to the Council whenever there is a change:

PROVIDED FURTHER that in the case of a member who is a

salaried employee of a Cost Accountant in practice or a firm of

such Cost Accountants in practice, the place of business of his

employer(s) shall be deemed to be his place of business for the

purposes of section 21.

111. Cost Accountants in practice not to engage in any other

business or occupation

A Cost Accountant in practice shall not engage in any business or

occupation other than the profession of accountancy unless it is

permitted by a general or specific resolution of the Council:

PROVIDED that a Cost Accountant in practice who at the

commencement of the Act was engaged in any business or

occupation other than the profession of accountancy may

continue to engage himself in such business or occupation up to

the 30th June, 1964.

111A. Other functions of a Cost Accountant in practice

Without prejudice to the discretion vested in the Council in this

behalf a Cost Accountant in practice may act as a Trustee,

Executor, Administrator, Arbitrator, Receiver, Appraiser, Valuer

Adviser, Secretary or as a Secretarial Consultant, as a

representative for financial matters including taxation and may

take up an appointment that may be made by the Central or State

Governments, Courts of Law, Labour Tribunals or any other legal

authority.

112. 9[***]

113. Constitution or reconstitution of firms to require 10[***]

approval

(1) After the commencement of the Act, no firm of Cost

Accountants shall be constituted or reconstituted except with the

previous approval of the 11[Council].

(2) The 11[Council] shall not refuse to accord approval to the

constitution or reconstitution of a firm under sub-regulation (1),

unless it is of the opinion that the terms of the partnership

agreement permit, directly or indirectly, the doing of anything by

the firm or any partner thereof which amounts to professional

misconduct in relation to a Cost Accountant in practice, or that

the terms and conditions of the proposed partnership are not fair

and reasonable or that, having regard to the circumstances of the

case, the constitution or the reconstitution of the proposed

partnership would not be in the interests of the general public.

CHAPTER XI : REGIONAL COUNCILS

114. Constitution of Regional Councils

(1) The Central Council may by notification in the Journal of the

Institute, constitute a Regional Council for any region, which shall

be known by such name as may be specified in such notification.

(2) A regional Council shall consist of-

(a) the elected members of the Central Council representing the

region;

(b) the nominated members of the Central Council belonging to

the region;

(c) not less than five members who shall be elected by the

members of the Institute representing the region from amongst

themselves at the rate which shall bear the same proportion to

twenty-five as the number of members in the region bears to the

number of members in all the regions, fractions exceeding half

being counted as one and fractions equivalent to or less than half

being omitted:

PROVIDED that if the number of members elected to Regional

Council is less than the number of persons to be elected to that

Regional Council, the remaining vacancies may be filled up by co-

option by the Central Council from amongst the members to be

nominated in this behalf by the Regional Council concerned. A

member so co-opted shall hold office till the expiry of the duration

of the said Regional Council.

Explanation: The professional address of a member of the

Institute as entered in the Register of Members or, in the case of a

member of the Central Council, his professional address as

furnished at the time of his election or nomination to the Central

Council, shall determine the region which such member

represents.

115. Regional Register of Members

(1) Every Regional Council shall maintain a Regional Register of

Members in which shall be entered the names and other

particulars of all the members of the Institute representing the

region.

(2) The name of any such member whose name has been

removed from the Register of Members of the Institute shall

forthwith be removed also from the concerned Regional Register

of Members.

116. Functions of the Regional Councils

(1) The Regional Councils shall advise and assist the Central

Council in carrying out provisions of the Act.

(2) In particular, the Regional Councils may:

(i) provide facilities for intercourse among members of the

Institute in the region by regular meetings, arrangement of talks

and lectures and for the acquisition and dissemination of useful

information in connection with the profession of accountancy;

(ii) advise the Central Council on all matters referred to them by

the said Council and offer such other help as may be required.

(iii) make representations to the Central Council in connection

with matters of professional and business interest in the region

and offer suggestions for raising the standard and status of the

profession;

(iv) maintain a Regional Register of Members, and the Register of

Students in the region;

(v) supply routine information to members or to the prospective

candidates for examinations;

(vi) propagate among the members the advisability and necessity

of observing the rules of professional etiquette and the provisions

of the Act and these Regulations;

(vii) collect news from the members of the profession for

publication in the Journal of the Institute;

(viii) recommend on their own motion, or on a reference by the

Central Council, names for inclusion in the panel of examiners;

(ix) consider and recommend to the Central Council books which

may be considered useful for candidates intending to appear for

the Intermediate and Final examinations of the Institute;

(x) arrange, if desired by the Central Council, for coaching

candidates for the aforesaid examinations in the various centers

of the region;

(xi) maintain contacts with the various departments of

Governments of the States within the region with a view to

enlisting their support in the furtherance of the interest of the

members of the Institute;

(xii) run study-circles and refresher course camps for the benefit

of the Registered Students and members of the Institute;

(xiii) constitute a permanent research sub-committee for carrying

out research work and for giving guidance in and encouragement

of research by members in various topics of interest to the

profession;

(xiv) maintain a library and reading-room for the use of the

members;

(xv) maintain an Employment Exchange for securing suitable

employment for qualified cost accountants and finding suitable

qualified cost accountants for employers;

(xvi) organise a student section for the benefit of the Registered

Students preparing for the Institute's examinations;

(xvii) carry out such other functions as may be entrusted from

time to time by the Central Council.

117. Election of the Regional Council

(1) Every member of a Regional Constituency shall be entitled to

vote in, and stand for, any election to the Regional Council of the

Region to which according to his professional address he

belonged on a date immediately five months prior to the date on

which the list of members eligible to vote in and stand for that

election is published, provided his name has been borne on the

Regional Register of Members continuously for a period of not less

than five months immediately prior to the date of publication of

the list of members eligible to vote in and stand for that election

and provided further that on lst October of the year previous to

that in which the election is held, his entrance fee, annual

membership fee and other dues for and in respect of the year

previous to that in which the election is held are not in arrears:

PROVIDED that a member of the Institute in the region whose

name stands removed from the Register of Members maintained

by the Central Council on the date of election shall not be eligible

either to vote in on stand for the election notwithstanding the fact

that his name has been published in the list of voters, if any.

(2) Every person standing for the election to the respective

Regional Council shall pay a fee of Rs. 150 to the Central Council.

(3) Notwithstanding anything contained in sub-regulation (1), a

member of a regional Council shall not be eligible to stand for

election as, or for being a member to any Regional Council if,-

(a) he has held office as a member of the Council or any Regional

Council during three consecutive terms, whether full or part; or

(b) he is employed by or under the Institute.

Explanation 1: For the purposes of this rule, one term of office of

an elected member to the Council shall be the duration of any

Council constituted under section 14 of the Act and one term of

office of an elected member to the Regional Council shall be the

duration of the Regional Council constituted under regulation 121

of the said Regulations.

Explanation 2: A member, who has ceased to hold office as a

member of the Council or Regional Council as aforesaid

continuously for two consecutive terms shall be eligible to stand

for election to Regional Council under sub-regulation (1).

118. Conduct of elections

The elections to the Regional Councils shall be held by the Central

Council and the Regulations in Chapter VII relating to elections to

the Central Council shall, so far as may be, apply to elections to

the Regional Councils, except that in the case of a candidate who

is validly nominated for election to the Central Council as well as

to a Regional Council and who is deemed and declared elected to

the Central Council under the provisions contained in Regulation

62, he shall not be deemed to be a candidate for purposes of

election to that Regional Council and accordingly his name shall

not be included in the voting paper relating to the elections to the

said Regional Council and that the fee paid by him under

Regulation 117 shall not be refunded.

119. Disputes regarding election

Where any dispute arises regarding any election to any of the

Regional Councils, the matter shall be referred within thirty days

from the date of election to the President of the Central Council

and his decision shall be final.

120. Vacancies

(1) A member of a Regional Council may at any time resign his

membership by writing under his hand addressed to the Chairman

of the Regional Council and the seat of such member shall

become vacant when such resignation is notified in the Journal of

the Institute.

(2) If an elected member of a Regional Council is elected to the

Central Council such member shall cease to be a member of the

Regional Council and the vacancy so caused may be filled up by

co-option by the Central Council from amongst the members

nominated in this behalf by the Regional Council concerned. A

member so co-opted shall hold office till the expiry of the duration

of the said Regional Council.

(3) Any casual vacancy in the first Regional Council constituted by

the Central Council under the provisions of sub-regulation (3) of

Regulation 114 may be filled up by co-option by the Central

Council and any casual vacancy in the subsequent Regional

Council may be filled up by the Regional Council concerned. A

member so co-opted shall hold office till the expiry of the duration

of the said Regional Council.

(4) If an elected or a co-opted member of a Regional Council

changes his professional address from the regional constituency

from which he was elected or to which he was elected or to which

he belonged at the time of co-option, as the case may be to any

other constituency, such member shall cease to be a member of

the Regional Council and the vacancy so caused may be filled up

by co-option of another member by the Regional Council

concerned. A member so co-opted shall hold office till the expiry

of the duration of the said Regional Council.

(5) Notwithstanding anything contained in these Regulations, an

elected or co-opted member of a Regional Council shall be

deemed to have vacated his seat if he is declared by the Regional

Council to have been absent without sufficient excuse from three

consecutive meetings of the Regional Council or if his name is, for

any reason, removed from the Regional Register of Members

under the provisions of these Regulations and the vacancy so

caused may be filled by co-option of another member by the

Regional Council concerned. A members so co-opted shall hold

office till the expiry of the duration of the said Regional Council.

121. Duration of Regional Council

(1) The duration of a Regional Council shall be three years from

the date of constitution of the Regional Council which shall be

specified by the Central Council by a notification in this behalf in

the Journal of the Institute:

PROVIDED that the Central Council may, if in its opinion

circumstances so warrant, extend or shorten the life of a Regional

Council by a like notification.

(2) On the expiry of the duration of a Regional Council, a new

Regional Council shall be constituted in the manner provided in

these Regulations.

122. Officers of the Regional Council

(1) Every Regional Council at its first meeting after its first

constitution and in subsequent years at the first meeting of the

Regional Council after the Annual General Meeting of the Regional

Constituency, shall elect from amongst its members a Chairman,

a Vice-Chairman, a Secretary and a Treasurer thereof, and so

often as any of these offices become vacant, the Regional Council

shall choose another person from among its members to hold that

office. The said office bearers shall hold office until the first

meeting of the Regional Council after the Annual General meeting

of the Regional Constituency:

PROVIDED that the retiring office-bearers shall be eligible for re-

election to any of the offices of the Regional Council if they

continue to be members of the Regional Council.

(2) The first meeting of the Regional Council referred to in sub-

regulation (l) shall be called and held within one month from the

date of its constitution or from the date of the Annual General

Meeting of the Regional Constituency, as the case may be.

If within half an hour from the time appointed for the said first

meeting of the Regional Council referred to hereinbefore, a

quorum as mentioned in Regulation 75 is not present, the said

first meeting shall, notwithstanding anything contained in that

Regulation, stand adjourned to the same day in the next week at

the same time and place and at such adjourned meeting of the

Regional Council, the members present, whatever their number,

shall form the quorum and shall have power to transact all the

business, which could properly have been transacted by the

original meeting had the necessary quorum been present.

123. Chief Executive authority

The Chairman of a Regional Council shall be the Chief Executive

Authority of the Regional Council.

124. Functions of Secretary of the Regional Council

The Secretary of the Regional Council shall be responsible for the

performance of general duties of the office of the Regional

Council under the guidance of the Chairman or, in his absence,

the Vice- Chairman. The Secretary of the Regional Council may if

there is no Treasurer act as Treasurer also. The Treasurer shall

cause proper accounts to be maintained of the moneys received

and expended, and of the assets and liabilities of the Regional

Council.

125. Continuance in office

On the expiration of the duration of a Regional Council, the

Chairman, Secretary and Treasurer for the time being, shall

discharge the duties and functions of the Chairman, Secretary

and Treasurer respectively as provided in this Chapter until such

time as the next Regional Council is constituted and its Chairman,

Secretary and Treasurer elected under the provisions of this

Chapter take over charge of their respective duties.

126. Other staff

For the purpose of carrying out its functions, a Regional Council

may appoint such staff and servants for its office as it may from

time to time consider necessary.

127. Committees of the Regional Council

(1) The Regional Council at a meeting shall constitute a Students’

Facilities Committee and such other Committees as the Central

Council may direct and may constitute any other Committee as it

deems necessary for the purpose of carrying out the provisions of

these Regulations.

(2) Constitution of Committees - Each of the Committees shall

consist of the Chairman or the Vice-Chairman of the Regional

Council, ex-officio, as the Regional Council may decide and not

less than two other members of the Regional Council elected by

that Council:

PROVIDED that, in the case of any Committee constituted at the

direction of the Central Council, out of the members to be elected,

one shall be nominated by the Central Council from amongst the

members of the Central Council representing the region:

PROVIDED, however, that notwithstanding anything contained in

these Regulations, any Committee formed under this Regulation

may with the sanction of the Regional Council co-opt one member

of the Institute belonging to the region as a member of the

Committee and any member so co-opted shall entitled to exercise

all the rights of a member of the Committee:

PROVIDED FURTHER that the Regional Council may sanction such

co-option for not more than two of its Committees:

PROVIDED FURTHER that the Students' Facilities Committee shall

consist of not less than three members of the Regional Council

and shall have the power to co-opt not more than two persons

who shall be either Registered Student or "Grad. CWA". Any

person so co-opted shall be entitled to exercise all the rights of a

member of the Committee.

128. Chairman of Committee

A Regional Council shall elect a member of the Committee to be

the Chairman of the Committee:

PROVIDED that in the case of any Committee constituted at the

direction of the Central Council, unless otherwise nominated by

the Central Council, the Chairman or the Vice-Chairman of the

Regional Council, as the case may be, shall be the Chairman.

129. Term of Office

Every member of a Committee shall hold office until the first

meeting of the Regional Council after the Annual General Meeting

of the Regional Constituency, but subject to his being a member

of the Regional Council, he shall be eligible for re-election.

130. Meetings

The provisions regarding meetings of the Committees of the

Central Council in Regulations 80 to 84 shall, so far as may be,

apply to the meetings of the Committees of the Regional Councils.

131. Finances and Accounts of the regional council

(1) No regional council shall borrow money without the prior

approval of the Central Council.

(2) In addition to any grants-in-aid that the Central Council may

make to it, a Regional Council may raise on a voluntary basis such

additional subscriptions in respect of particular activities from the

participating members as it may consider justified.

132. Expenditure from fund

The funds of a Regional Council shall be employed for such

purposes as may from time to time be sanctioned by the Regional

Council:

PROVIDED that no funds thereof shall be applied, either directly or

indirectly, for payment to the members of the Regional Council

except for reimbursing them for any expenses incurred by them

in connection with the business of the Regional Council in the

region concerned.

133. Audit

The accounts of a Regional Council shall be audited every year by

a Chartered Accountant in practice or a firm of such Chartered

Accountants appointed by the Regional Constituency at its Annual

General Meeting and the accounts together with the audit report

and the report of the Regional Council shall be sent to the

members in the respective regions at least 14 days before the

date of the Annual General Meeting of the Regional Constituency

and shall be placed for adoption before the Annual General

Meeting of the Constituency:

PROVIDED that the auditors for the first year shall be appointed

by the Regional Council. The year will be from lst April to 31st

March of the next year.

134. Audit report

A copy of the audited accounts and the report of the Regional

Council as adopted by the Annual General Meeting shall be sent

to the Central Council not later than one month after the date of

the Annual General Meeting.

135. Meetings of the Regional Councils

The provisions of Chapter VIII shall apply to the meetings of the

Regional Councils, mutatis mutandis, except that a notice of not

less than ten days shall be given for meetings of the Regional

Councils.

136. Annual General Meetings of the members of Regional

Constituencies

(1) A Regional Council shall convene on or before 31st July of

every year an Annual General Meeting of the Regional

Constituency.

(2) The business at an Annual General Meeting shall be to receive

the report of the Regional Council, to adopt the accounts, to

appoint auditors and to transact such other business as may be

brought before the meeting with the permission of the Chairman.

137. Extraordinary General meetings

(1) A Regional Council may, as often as it considers necessary,

and shall on requisition made in writing by at least 20 per cent of

the total number of members on the Regional Register convene

an Extraordinary General Meeting. Any such requisition shall

specify the object for which the meeting is called, shall be signed

by the members making the same and shall be delivered at the

office of the Regional Council.

(2) When a requisition is made under sub-regulation (1), the

Regional Council shall convene an Extraordinary General Meeting

within six weeks after the receipt of such requisition.

138. Notice of meeting

At least 14 days' notice of every general meeting specifying the

date, place and hour of such meeting and in case of special

business, the general nature of such business shall be given.

139. Notice of proposals

Every member of the Institute on the Regional Register shall be

entitled to table any proposals or resolutions for the consideration

of a General Meeting of the members:

PROVIDED that such proposals and resolutions are received by

the Secretary of the Regional Council at least 10 days before the

date of the meeting. Any such proposals received, after the

prescribed time will be treated as proposals for the next following

meeting of the members unless admitted by the Chairman of the

earlier meeting.

140. Chairman

The Chairman or in his absence the Vice-Chairman of the Regional

Council shall be the Chairman of the General Meetings of the

Regional Constituency. In the absence of both, the members may

elect any one of the members present as Chairman of the

meeting.

141. Quorum

Ten members shall form the quorum for a meeting. No business

shall be transacted at any General Meeting unless the requisite

quorum be present at the commencement of the business.

142. Adjournment

If within half an hour from the time appointed for the meeting, a

quorum is not present, the meeting, if convened upon a

requisition from members, shall be dissolved, and in any other

case shall stand adjourned to the same day in the next week at

the same time and place; and at every such adjourned meeting,

all businesses which could properly have been transacted at the

original meeting may be transacted, whether there is the quorum

or not.

143. Decisions to be by majority

All decisions at all meetings shall be taken by a majority of votes

of the members present and voting. In case of equality of votes,

the Chairman shall have a casting vote in addition to his original.

144. Who can vote

No person shall be entitled to vote at the meeting of the members

of the Regional Constituency unless his name is on the respective

Regional Register and he is not in default towards payment of his

annual subscription.

145. Dissolution of the regional council

(1) Notwithstanding anything contained in these Regulations, the

Central Council-

(a) may, if it considers necessary so to do, dissolve a Regional

Council after giving an opportunity to it to state its case; and

(b) shall dissolve a Regional Council if not less than three-fourths

of the members on, the Regional Register have passed a

resolution to that effect at a General Meeting.

(2) Upon the dissolution of a Regional Council and until a new

Regional Council is constituted, the functions of the Regional

Council shall be discharged by the Central Council.

CHAPTER XII : CHAPTERS OF COST ACCOUNTANTS

12[146. Chapters of cost accountants

(1) The Council may, by Notification in the Journal of the Institute,

constitute Chapters of Cost Accountants and for that purpose

make Bye-laws in connection there with.

(2) In particular and without prejudice to the generality of the

foregoing powers, such Bye-laws may provide for conditions for

constitution of Chapters.

(3) A Chapter so constituted, shall, at all times, function subject to

the control, supervision and direction of the Regional Council

operating in the area and shall carry out such directions as may

from time to time be issued by the Regional Council.

(4) The Council may, at any time, if it considers necessary to do

so, dissolve a Chapter after giving it an opportunity to state its

case.

SCHEDULE

FORM A : REGISTER OF MEMBERS OF THE INSTITUTE OF

COST AND WORKS ACCOUNTANTS OF INDIA

(See Regulation 3)

Enro

ll-

men

t

No.

Nam

e in

full

Dat

e of

birth

Do

mi-

cile

Resi

-

dent

ial

add-

ress

Prof-

essi-

onal

add-

ress

Dat

e of

entr

y in

the

Regi

-

ster

Qua

-

lifica

-

tion

s

Whe-

ther

hold-

ing a

certi-

ficat

e of

prac-

tice

Date

of

admi

-

ssion

as

fello

w

Whe-

ther

prac-

tisin

g

inde

p-

ende

-

Whe-

ther

hold-

ing a

sal-

arie-

d

emp

loym

Cha-

nge

of

add-

ress

if

any

Re

ma-

rks

(in-

clu

d-

ing

Enr

o-

ntly,

in

part-

ners

hip

or

emp-

loye

d in

a

firm

of

Cost

Acco

-

unta-

nts

- ent,

if not

in

prac-

ice

lme

nt

No.

in

dis-

solv

ed

co

mp

any

or

cla

use

of

sec

t-

ion

4

und

er

whi

ch

enr

olle

d)

1 2 3 4 5 6 7 8 9 10 11 12 13 14

FORM B : APPLICATION FOR ADMISSION AS ASSOCIATE

/FELLOW OF THE INSTITUTE OF COST AND WORKS

ACCOUNTANTS OF INDIA

THE INSTITUTE OF COST AND WORKS ACCOUNTANTS OF

INDIA

[See Regulation 6]

To

The Secretary to the Council of

The Institute of Cost and Works Accountants of India,

12, Sudder Street, Calcutta-16.

Sir,

I beg to apply for admission as an Associate/Fellow of the Institute

of Cost and Works Accountants of India. I hereby declare that I am

not subject to any of the disabilities stated in section 8 of the Cost

and Works Accountants Act, 1959. The required particulars are

furnished below:

1. Name in full ...............................

(Block letters)

2. Name in short with surname at the end ...................

3. Father's name ..............................

4. Date of birth 13 ..................

5. Nationality ......................

6. 14Details of Qualifications 15

(a) Educational ................

(b) Professional ..............

7. Period of residence in India .......................

8. If not an Indian citizen, please state whether Certificate of

Indian domicile has been obtained ..... ............................

9. Permanent residential address ...............................

10. Present residential address ...................................

11. Occupational/Professional address .............................

12. Number and date of admission as Associate (if

applicable) ..................

13. (a) The year and month in which the applicant passed the

Final Examination held under the Cost and Works Accountants

Regulations, 1959, and ............

(b) Roll No. at that Examination .......................

(c) Student Registration Number ..................... OR

(a) The year and month in which the applicant passed the Final

Examination held by the Institute of Cost and Works Accountants,

Calcutta, (the dissolved company) and ................

(b) Roll No. at that examination .......................

(c) Student Registration Number ...................... OR

(a) The year and month in which the applicant passed such

Examination as is recognised as equivalent to the Final

Examination held under the Cost and Works Accountants

Regulations, 1959, along with the particulars of the Examination

and ...................

(b) Roll No., if any, at that Examination ......................

14. Details of practical training, if any, taken by the applicant.

15. Nature and place or places of business in India. (See

Regulation 110)..................

16. Whether the applicant is in charge of the place mentioned at

15? If not, the name(s) and membership number(s) of the

member(s) of the Institute who is (are) in charge of that (those)

place(s) and his (their) address(es).

...............................................

(Applicants not in practice within the meaning of section 2(2) of

the Cost and Works Accountants Act, 1959 need not give these

particulars.)

17. Period for which the applicant has been continuously is

practice as a Cost Accountant.

18. If the applicant is a paid assistant to a Cost Accountant in

practice or in a firm of such Cost Accountants, name of the Cost

Accountant or the firm and from which date.

19. If the applicant holds a salaried employment other than that

covered by 18 above, full particulars thereof:

(i) Name and address of present

employers ..................................................................

(ii) Paid-up and working

capital ...................................................................................

(iii) Particulars of factories and their

address .................................................................

.........................................................................................................

..........................

.........................................................................................................

...........................

(v) Nature of business ...................................

(v) Sales turnover .........................................

(vii) Total number of employees ....................................

(vii) Number of employees engaged .............................

(a) in factory ............................

(b) in costing work ...................

(viii) Period of service with dates ......................................

(ix) Official designation of present

employment ..................................

(x) Date appointed to present Post ` .......................

(xi) Whether in complete charge and authority of the whole

costing work ..........................

...................................................

(xii) Relative position to that of the Chief Superior

Officer .................................................

(xii) Whether in head office or in factory. (Please give

details) ...........................................

20. Details of positions held with present employers and brief particulars of duties in respect of each

position. (This statement should be attested officially by the applicant's employers/superiors initialled by

one other person, preferably a member of the Institute, by way of verification. If the applicant so

desires, this statement may be given on a separate sheet of paper.)

Dates

(Earliest

First)

From To

Name

of

depart

ment

and

numb

er of

emplo

yees

in it

Applica

nt’s

position

No. of

emplo

yees

respon

sible

to

applica

nt

Title

of

officer

to

whom

applic

ant

respo

nsible

Brief

partic

ulars

of

dutie

s

while

holdi

ng

the

positi

on

21. (a) Particulars of items, if any, of Cost and Management

Accounting work done outside the costing department, e.g. pay-

roll accounting, stock verification, etc. and the applicant's role in

connection therewith

.........................................................................................................

..............

(b) Functional responsibility of cost department in regard to (a)

above.

.........................................................................................................

...............

22. Particulars of applicant's previous employers (insofar as

relevant to applicant's claim to have had at least three years' (in

case of Fellowship-five years') practical experience of Cost and

Management Accountancy). (Particulars in respect of each

organisation in which the applicant served should be furnished

duly attested by the employers concerned under their official seal

and initialled by one other person, preferably a member of the

Institute. If the candidate so desires, this statement may be given

on separate sheets of papers.)

(i) Name and address of the

organisation ..................................................................

(ii) Paid up and working capital .............................

(iii)Particulars of factories and their

address .................................................................

(iv) Nature of

business ..........................................................................................

.............

.........................................................................................................

.................................

(v) Sales turnover ...........................

(vi) Total number of employees .........................................

(vii) Number of employees engaged ..................................

(a) in factory .............................

(b) in costing work ...................

(viii) Period of service with dates ................................................

(ix) Whether in head office or in factory. (Please give details)

.........................................................................................................

..............

23. Details of positions held with past employers and brief particulars of duties in respect of each

position. (This statement should be attested officially by the applicant's employers/superiors and

initialled by one other person, preferably a member of the Institute, by way of verification. If the

applicant so desires, this statement may be given on separate sheets of papers)

Dates

(Earlies

t First)

From

To

Name

of

depart

ment

and

numbe

r of

employ

ees in

Applic

ant’s

positi

on

No. of

employe

es

responsi

ble to

applican

t

Title of

officer

to

whom

applic

ant

respon

sible

Brief

parti

cular

s of

dutie

s

while

holdi

ng

the

posit

ion

24. An applicant for advancement to Fellowship is required to give

the following further details, in respect of each portion held by

him during the last five years, duly attested by his present/past

employers concerned under their official seal:

(a) Brief note on Cost/Management Accounting system in vogue.

(b) Whether the post is the highest in Costing and if not, the

relative position to the highest

post ..................................................

(c) An Organisation Chart, showing the relative position of the

applicant in management hierarchy (both administratively and

functionally), with special reference to the Cost and Management

Accounts Department, in respect of each position held during the

last five years

25. Whether the applicant intends to practise as a Cost

Accountant under the cost and Works Accountants Act,

1959? ...............

26 Whether the applicant intends to continue the engagement at

18 or 19 above in addition to practice? ..............

27. Whether the applicant is engaged in any other business or

occupation not covered by 18 or 19 above? If so, full particulars

thereof .............................(Applicants not in practice within the

meaning of section 2(2) of the Cost and Works Accountants Act,

1959 need not give these particulars.)

28. Whether the applicant was at any time debarred from

practising as an accountant? If so, the reason and period of

suspension.

II. I give below the names and addresses of three persons to

whom reference may be made. (Two of the referees should be

persons having personal knowledge of the applicant's training and

experience and one should preferably be a member of the

Institute).

Name Address Grade in Institute or

Business Designation

1. .....................................................................................................

...........................................

2. .....................................................................................................

..........................................

3. .....................................................................................................

..........................................

III. I hereby undertake that if admitted as an Associate/Fellow of

the Institute I will be bound by the provisions of the Cost and

Works Accountants Act, 1959, and the Regulations framed

thereunder or that may hereafter from time to time be made

pursuant to the said Act.

IV (i) I also send herewith a sum of Rs. ................. being my

entrance fee of Rs................. and annual membership fee of

Rs. ................ for the year .................

16[(ii) A sum of Rs. 100 is also forwarded for the annual Certificate

of Practice for the period ending 30th June ..............

Place : Yours faithfully.

Date: Signature

FORM C : CERTIFICATE OF MEMBERSHIP

[See Regulation 9]

No ........

THE INSTITUTE OF COST AND WORKS ACCOUNTANTS OF

INDIA

(Emblem)

This is to certify that ........................ of ......................... was

admitted as an Associate/Fellow of the Institute of Cost and Works

Accountants of India on the..................... day of.................... one

thousand nine hundred and .................

Given by the Council under the Common Seal of the Institute of

Cost and Works Accountants of India.

This the ................. day of ......................19.......

Seal President

Secretary

FORM D : APPLICATION FOR THE ISSUE OR RENEWAL OF A

CERTIFICATE OF PRACTICE

[See Regulation 10]

To

The Secretary to the Council of

The Institute of Cost and Works Accountants of India,

12, Sudder Street, Calcutta-16.

Sir,

I have already sent*/ am enclosing a cheque/draft No. ...............

dated ................... 17 for Rs. 100 towards the fee for the Certificate

of Practice for the period / year ending 30th June .................

which may be issued to me / renewed at an early date.

172. I declare that I am not engaged in any other business or

occupation besides the profession of Accountancy. If and when I

intend to be so engaged, I shall obtain the prior permission of the

Council.

173. I am engaged in other occupation as ............... and propose to

continue to be so engaged in addition to the practice of

Accountancy for which the permission has already been obtained/

applied for, vide your / my letter No. ......... dated ..............

4. I undertake that as and when I cease to be in practice I shall

duly inform the Council as required by the Cost and Works

Accountants Regulations, 1959.

175. I hold Certificate of Practice for the period ending 30th

June ..............

Yours faithfully,

Place: Signature

Date: Membership Number

FORM E : CERTIFICATE OF PRACTICE

[See Regulation 10] No. .........

THE INSTITUTE OF COST AND WORKS ACCOUNTANTS OF

INDIA

(Emblem)

This is to certify that ...............of ............... an Associate / a Fellow

Member of the Institute, is entitled to practise as a Cost

Accountant in India. The certificate is valid from

the........................ day of ............. 19........ to the 30th June

19......... inclusive and thereafter subject to the renewal in the

prescribed form.

Given under the Common Seal of the Institute of Cost and Works

Accountants of India, this .......... day of ........... 19........

Seal President

Secretary

FORM F : RENEWAL OF CERTIFICATE OF PRACTICE

[See Regulation 10]

THE INSTITUTE OF COST AND WORKS ACCOUNTANTS OF

INDIA

(Emblem)

This is to certify that the validity of the Certificate of Practice

No. .................. dated ................... issued in favour of .............

of ................. an Associate/ a Fellow of the Institute has been

extended upto and inclusive of 30th June 19............

Place: By the Authority of the Council

Date: Secretary

FORM G : COMPLAINT

[See Regulation 12]

BEFORE THE COUNCIL OF THE INSTITUTE OF COST AND

WORKS ACCOUNTANTS OF INDIA

Section 21

Between Petitioner

And Respondent

Petitioner's address:

Respondent's address:

Particulars of complaint in paragraphs consecutively numbers:

Particulars of evidence, oral and documentary, if any, to

substantiate the complaint:

Signature

Verification

I, .................. the petitioner, do hereby declare that what is stated

above is true to the best of my information and belief.

Verified today the ........ day of ........... 19........ at

Signature

FORM 'H' : APPLICATION FOR RESTORATION TO

MEMBERSHIP OF THE INSTITUTE OF COST AND WORKS

ACCOUNTANTS OF INDIA

[See Regulation 17]

THE INSTITUTE OF COST AND WORKS ACCOUNTANTS OF

INDIA

To

The Secretary to the Council of

The Institute of Cost and Works Accountants of India,

12, Sudder Street, Calcutta-16.

Sir,

I beg to apply for restoration of my name to the membership of

the Institute of Cost and Works Accountants of India. A also

hereby declare that I am not subject to any of the disabilities

stated in section 8 of the Cost and Works Accountants Act 1959.

The required particulars are furnished below:

1. Name in full (in Block Letters).

2. Father's name.

3. Date of birth.13

4. Nationality.

5. General Educational Qualifications.14

6. Period of residence in India.

7. If not an Indian citizen, please state whether Certificate of

Indian Domicile has been obtained.

8. Permanent residential address.

9. Present residential address.

10. Professional address.

11. Membership Number prior to removal.

12. Reasons for and date of removal18

13. Nature and place or places of business in India.

14. Whether the applicant is in charge of the place or places

mentioned at 13. If not, the name(s) and membership number(s)

of the members of the Institute who is (are) in charge of that

(those) place(s) and his (their) address(es).

15. If the applicant is a paid assistant under a Cost Accountant in

practice or in a firm of such Cost Accountants, name of the Cost

Accountant of the firm and from which date.

16. If the applicant holds a salaried employment other than that

covered by 15 above, full particulars thereof.

17. Whether the applicant intends to practise as a Cost

Accountant under the Cost and Works Accountants Act, 1959.

18. Whether the applicant intends to continue the engagement at

15 or 16 above in addition to practice.

19. Whether the applicant is engaged in any other business or

occupation not covered by 15 or 16 above; if so, full particulars

thereof.

20. Whether the applicant was at any time debarred from

practising as an accountant and if so, the reasons and period of

suspension.

II. I hereby undertake that if my name is restored to the

Membership and if admitted as a member of the Institute I will be

bound by the provisions of the Cost and Works Accountants Act,

1959, and the Regulations framed thereunder or that may

hereafter from time to time be made pursuant to the said Act.

III (i) I also send herewith a sum of Rs.... being (a) the balance of

entrance fee of Rs....... (b) the arrears on account of the annual

fee of Rs......... (c) the restoration fee of Rs. 25 and (d) the annual

membership fee of Rs....... for the year........

(ii) A sum of Rs............. is also forwarded for the annual

Certificate of Practice.

Place: Yours faithfully,

Date: Signature

FORM I : APPLICATION FOR REGISTRATION AS A STUDENT

[See Regulation 20]

THE INSTITUTE OF COST AND WORKS ACCOUNTANTS OF

INDIA

To

The Secretary to the Council of

The Institute of Cost and Works Accountants of India,

12, Sudder Street, Calcutta-16.

Sir,

I beg to apply for Registration as a Student of the Institute of Cost

and Works Accountants of India. The required particulars are

furnished below:

1. Name in full (in Block Letters)

2. Address

3. Age and date of birth13

4. Occupation in full.

5. Educational Qualifications14

6. Father's Name.

7. In case the applicant was previously admitted as a Registered

Student of the Institute or of the dissolved company, and if at any

time such Registration was cancelled, discontinued or otherwise

terminated:-

(a) The date of previous Registration.

(b) The former Registration Number.

(c) The reasons for cancellation, discontinuance, etc.

II I hereby declare that the particulars furnished above are true to

the best of my knowledge and belief and should it at any time be

proved that the said particulars were untrue, I agree to my

Registration being cancelled without any obligation on the part of

the Institute to refund any fee or subscription paid by me to the

Institute. I also hereby undertake that, if enrolled as a Registered

Student of the Institute, I will be bound by the provisions of the

Cost and Works Accountants Act, 1959, and the Regulations

framed thereunder or that may hereafter from time to time be

made pursuant to the said Act.

III I also send herewith a sum of 19[Rs. ............ ] being the Student

Registration Fee.

Place: Yours faithfully,

Date: Signature

FORM J : EXAMINATION CERTIFICATE

[See Regulation 40 & 51]

THE INSTITUTE OF COST AND WORKS ACCOUNTANTS OF

INDIA

This is to certify that .......... of .......... has passed (............. )

the .............. Examination held by the Institute of Cost and Works

Accountants of India in the month of .............. 19.

Given under the Common Seal of the Institute of Cost and Works

Accountants of India, this ......... day of ......... 19.......

SEAL Secretary

FORM K : NOMINATION OF A CANDIDATE FOR ELECTION TO

THE COUNCIL OF THE INSTITUTE OF COST AND WORKS

ACCOUNTANTS OF INDIA

[See regulation 57]

THE INSTITUTE OF COST AND WORKS ACCOUNTANTS OF

INDIA

We, the undersigned Members of the Institute of Cost and Works

Accountants of India, being qualified to vote in the election of

members to the Council of the Institute by the ..........constituency

, do hereby nominate ........... who is a Fellow Member of the

Institute belonging to that constituency, as a candidate for the

election to be held on the ........... 19.

(1) Signature of proposer

Enrolment No.

Address

(2) Signature of seconder

Enrolment No.

Address

I, ............... being a Fellow Member of the Institute belonging to

the constituency, agree to stand for the election by the

constituency to be held on the ............ 19.

I send herewith the fee of Rs. 300 to the Council by Cash/Demand

Draft on ...............

Signature of candidate

Address

Dated this ........... day of ..............

FORM L : PARTICULARS OF OFFICES AND FIRMS

[See Regulation 108]

THE INSTITUTE OF COST AND WORKS ACCOUNTANTS OF

INDIA

1. Name of Firm / Cost Accountant's trade name.

2. Name(s) of the Proprietor / Partners of the firm with his / their

Membership Number (s).

3. Date from which the partnership was entered into.

4. Address of the Head Office of the Firm / Cost Accountant.

5. Addresses of the Branch Offices of the Firm / Cost Accountant,

if any.

6. Name of the member with the Membership Number who is in

charge of each of the offices.

7. Names of the members of the Institute (with their Membership

Numbers) who are working as paid assistants in the Firm/ under

the Cost Accountant.

Place: Signature of the Cost Accountant/Firm of Cost Accountants.

Date: