AN OPEN LETTER BY CA VENKATA SHIVA KUMAR TO MR.NARYANA SWAMY CA AND PROFESSOR IIMB BANGALORE-A MUST READ BY ALL INDIAN CAs

02/08/2017
To
Mr. Naryana swamy
Chartered Accountant,
Professor
IIMB Bangalore.

Subject : Refer to your article in Hindu business line,

Dear Sir,

I had never expected that you inspite of being a Chartered Accountant wrote such an article spitting deadly venom against your own mother body / fraternity without any basis. Whenever an article is written it is necessary to give views of both sides but yours appears to be a one sided imagination.

Please read my rejoinder which will prove your ignorance and confirm that it is full of irrational, illogical statements based on false conclusions published in such a reputed news paper “Business line”

About ICAI (Institute Of Chartered Accountants of India)

1. Let me start by giving you an instance –

a) My schoolmate, who is now the judge of Honorable High court of Andhra Pradesh, justice Ramasubramaniyanwas earlier distinguished himself as one of the best ever judges of the Madras High Court , when he was in charge of conducting exams for district judges all over Tamilnadu, he made a detailed research of all the examination systems in India and across the world and he told me “ The examination system of ICAI is the best ever on all the parameters. (You must note we have 1.1 million students taking the exam twice in a year.)
b) GST was the dream of modiji’s government. The contribution of ICAI has been praised by modiji, arun jaitliji and the top bureaucracy in the smooth implementation. Do you know in just few months ICAI has trained more than 1,50,000 members in GST allover India by activating all its regions such a mammoth job was ignored by you for your own convenience.
c) Demonetization: No one including you seemed to know the money that came into Reserve Bank post demonetization. No doubt that the Honorable Prime minister with all good intentions trying his best to eradicate the menace of corruption which is plaguing the entire body politics of our nation and we should all support his initiatives but your article gives impression that the black money holders gave their black money in thousands of crores to Chartered Accountants who went to banks and deposited the funds, made all the necessary entries in the books of banks and defeated the government initiative while all the bank officials including the Reserve bank, other regulators and premiere investigating agencies were watching helplessly!!!!

Now let’s get into Para wise rejoinder

Para – 1

Im not able to understand in what way CA day on July 1st can be compared with BC Roy birthday? Legends are there in every profession just as clowns like us. It just shows your evil intentions and predetermined mind to belittle the CA profession.

Para - 2

The Honorable prime minister in his address on CA Day profusely praised CA's saying that their signature is more powerful than that of PM's. he was rational enough to say that only few CA’s were indulging in such mal practices. For your information the Bar council had more than 7 lakhs fake lawyers practicing in various courts for years removed from roles only recently Does this mean entire BCI & judiciary are inefficient and fake ?

Para - 3

Your confusion and ignorance appears to be at its peak. What vodaphone case has got to do with your example? Tax planning is considered to be legal even by the Honorable Supreme Court and tax laws will go for strict interpretation if one applies your ignorant logic then all criminal laws and eminent Criminal lawyers can also be branded as anti national.

Para - 4

Your madness seems to be at its best when you say that Non Performing Assets arising because of CA’s and not due to the bank officials who are responsible for lending and monitoring the exposure. Please read the directives of RBI which clearly emphasizes that the concurrent audit has to be done following the procedures laid down and the CCA should not comment on the decisions on the bank management. I must point out that many IIMB ians were the advisors for Malaya and were the top consultants of E & Y who rated Satyam computers for best corporate governance practices awarding golden peacock for several years before Ramalinga Raju confession.

Para - 5

You seems to be living in a fool’s paradise when you mentioned that CA’s are only responsible for protecting the investors and society when there are so many regulators like RBI, SEBI, MCA, SFIO Etc….., in deep slumber. A system can never be effective when the team members doesn’t perform.

Para - 6

I’m sure you are aware being a co-opted member of various committees of ICAI for several years the council has eight government nominees which means the government is actively involving in the affairs of ICAI, if you still feel the ICAI is not functioning then the blame must go to the government also.

What is the point in you suggesting that the government should take over / do surgical strike etc…?

Please note when you evaluate an institutions performance on a scale of ten ICAI will certainly be on seven and not three like RBI or IIMB which means there is nothing alarming with ICAI but there is a scope for improvement.

Other Para’s

I don’t want to expose your ignorance further on what you have written as you are a Chartered Accountant and my own fraternity. I suggest and request you not to write your articles on the basis of vague and unverifiable data searching only at the negative points.

With best Regards

Venkata Siva Kumar, B.Sc, FCA, DISA, RP, LLM (Constitutional Law)