Satyam case: ICAI approaches CBI, Sebi

Posted By: Teronpi
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New Delhi, Apr 25: Accounting regulator ICAI has asked the investigation agencies CBI and SFIO to come forward with evidences against the PriceWaterhouse auditor Srinivas Talluri in the Satyam case during the upcoming disciplinary committee proceedings

"We require help of the CBI and SFIO. We have written to them. We have written to Sebi also. We have requested them to be our witness. They have the records so we have asked them to be witnesses for us," Institute of Chartered Accountants of India (ICAI) president Amarjit Chopra said in a news agency report.

The ICAI has already started proceedings against two PW auditors Talluri and S Gopalakrishnan for their role in in the Satyam accounting fraud, which is estimated to around Rs 10,000 crore.

The ICAI is facing difficulty in hearing Gopalakrishnan before pronouncing a verdict against him as he still behind bars.

Though a summon was issued Talluri, who is released on bail, he failed to appear before disciplinary committee. The next hearing has been scheduled for early next month.

The displinary proceedings against auditors were initiated by the ICAI following the disclosure of the fraud case in Jan 2009. The auditors who were in jail were also interrogated by the ICAI.

During their interrogation, Talluri and Gopalakrishnan informed the ICAI that had depended on the documents provided by the management and followed the accounting procedures set down by the Institute.

The two pronounced "prima facie guilty" of professional misconduct.

Under the ICAI Act, those found guilty of professional misconduct could be banned from practice for up to five years or could be imposed a fine of up to Rs 5 lakh.

OneIndia News

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