Will ICWAI now be called ICAI and CWA’s use CA Designation?
The following is the letter which has been sent by the President of ICWAI to the Ministry of Corporate Affairs stating that if ICWAI is not renamed as ICMAI but rather named as Institute of Cost Accountants of India, the Institute should also be known as ICAI and its members be logically and rightfully entitled to use the descripttion of FCA/ACA as the case may be.
Copy of the Letter sent by ICWAI President to Ministry of Corporate Affairs
August 10, 2011
Shri M Veerappa Moily
Hon’ble Minister of Corporate Affairs
Government of India
Room No. 436
Shastri Bhawan
New Delhi – 110001
Subject: Name Change of ICWAI to ICMAI/ICAI
Dear Sir
The Institute of Cost and Works Accountants of India (ICWAI) was established under an act of Parliament in 1959, under a name that was prevalent at that time for similar bodies across the Globe. Over the years, the role and function of cost and works accountants has undergone sea change andnomenclature of “Cost Accounting” has changed world over to “Cost and Management Accounting”,with other cost accounting bodies also effecting the change in their name. The ICWAI has been appealing to the Govt to change its name from the “Institute of Cost and Works Accountants of India” to Institute of Cost and Management Accountants of India” in line with the global practice and to make its members known by its true functions they are performing in line with the changing role of professionals known earlier as cost and works accountants of similar institutes in
developed and developing countries such as UK, USA, Canada, Pakistan, Bangladesh, Sri Lanka etc. The appeal was also considered by the Standing Committee in 2004-05 which strongly recommended the name change, in spite of the objections only from ICAI.
Being convinced about the legitimate demand of the ICWAI, the Ministry of Corporate Affairs proposed change of the name of the institute to ICMAI and placed the Cost and Works Accountants Bill 2010 before the Parliament. The bill was referred to the Parliamentary Standing Committee on Finance which in its 25th Report on the Bill submitted on August 31, 2010, after recording the need for the change in the name, noted that due to the “vehement opposition expressed by ICAI to the proposal in particular” has prompted a rethink in the matter and was of the view that “it would be preferable to rename the Institute as “Institute of Cost Accountants”; it may, however, be noted that the Standing Committee in their entirereport recorded arguments in favour of change of name from ICWAI to ICMAI.
The final call based upon purely political exigencies and “vehement opposition expressed by ICAI to the proposal in particular” to the name change from the ICWAI to ICMAI is left to be taken by the Ministry of Corporate Affairs/Cabinet/Parliament of India. We have complete faith in the political leadership of the country and manipulations of the ICAI to suppress fellow countrymen to benefit foreign bodies should not be allowed. On behalf of the council of the ICWAI, 56000 Members of the Institute and 4,50,000 Students, we would like to state that from the point of equity, justice and fair play, the ICWAI should be allowed to change its name to enable it to have a level playing field in the global market and compete with other similar professionals. I request you to make your considered decision most suitable in national nterest
With kind regards
Your’s Sincerely
(M. Gopalakirshnan)
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