30 April 2013
Please Guide me in following issue Sir I have a query regarding the responsibility of a Chartered Accountant in following issue.
Matter:- If a CA issue 5 certificates having different firm name to 3 persons for the purpose of opening an Bank Account. In support of their ID proof CA has taken photocopy of PAN card as well as verified the PAN No. on the website of Income Tax. CA has verified original copy of CERTIFICATE OF "DISTRICT INDUSTRIES CENTER" and taken the photocopy of that for record purpose as an address proof. I want to clarify that the address of all the firm is same.
Now, If after opening a Bank a/c if the party commits fraud then whether CA can be held responsible for forgery or issue of Wrong certificates?
I want to mention that on asking by CA regarding same address the party has given explanation that the earlier firms could not be continued due to some difficulty so we are starting a new Firm.
Can CA be arrested for the reason of issue of just certificates?
30 April 2013
One CA is not responsible for any fraud committed by any one, if he acted on his capacity with all supporting and taken all steps to ensure that the data given by clients are correct. In this case, what CA has ensured for address proof to give address of the firms to banks, registered partnership deed or any other proof showing address proof not clear in your query. Arresting CA on account of fraud by other is out of question, unless he also involved directly or indirectly on this fraud as per my personal opinion.
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