Silf complaint vs CAs doing law illegally putters on before BCD: Big 4 served, KPMG, Deloitte contest jurisdiction

CA firms ponder response to BCI show cause
CA firms ponder response to BCI show cause

The Bar Council of Delhi (BCD) has issued notice to the Big Four accounting firms in a complaint filed by Society of Indian Law Firms (Silf) president Lalit Bhasin (read order below).

Bhasin told us last week that it was not a new complaint, but that the BCD had only now taken it up. We had reported way back in 2015 that Silf had served written notice on the Big 4, and had lodged a complaint with the Delhi bar council, shortly as the successor-cause to Silf’s fight against foreign law firms.

Silf and Bhasin allege, as they have for a long time, that the CA firms have been practising law illegally.

The BCD has been served with KPMG and Deloitte having filed responses.

E&Y and PwC have six and four weeks respectively to file replies.

Bhasin said that KPMG and Deloitte had responded, inter alia, that the BCD had no jurisdiction to regulate them, because they were not lawyers.

BCD has directed the four firms to supply it with a list of advocates “engaged by them, in any capacity, in any of their offices at any place”, and, cryptically, in the same sentence, “they are also directed to refrain themselves from indulging in any such practice until further orders”.

The next hearing is scheduled for 12 July 2019.

For more, read:

Correction 00:28: The initially published version of this story had erroneously stated that the Bar Council of India (BCI) passed the order, when it was, in fact, the Delhi bar council.

BCI serves show cause on Big 4

Comments

Kal Tak 2 May 2019, 18:51
+4 -0
Is it the BCI which has taken this up or the Bar Council of Delhi (as reported by Bar and Bench)? Please clarify.
kianganz 2 May 2019, 18:57
+1 -1
Thanks for pointing out, that was a typo on our behalf - is definitely BC Delhi, not BCI. Correcting.
Guest 2 May 2019, 21:55
+14 -0
Easy solution for CAs: pay 2 lakhs and buy a law degree from the thousands of shady law colleges that have been granted recognition under the tenure of BCI Chairman Mr Manan Mishra, Mr Lalit Bhasin's good friend. In fact, all MBAs, CAs, science-trained patent agents and politicians should do this.
amc 3 May 2019, 05:47
+5 -1
lot of my CA friends ask me to recommend 'faltu' law colleges in Mumbai where attendance isn't compulsory!
Faltu CA 5 May 2019, 09:21
+0 -4
..wow! are you an expert in faltu law schools?
Guest 3 May 2019, 04:28
+6 -2
Every person in this world involved in advising others many times it involves advising on law of land. Like property dealers advise on property matters, doctors advise on abortion Law, immigration agents advise on immigration law, parents to their children on offenses, Cricket Control Board to cricketer on match fixing , Political Parties to their members on Code of Conduct during election, anti defection law, .......

Just wanted to know are they also practising law?
Feku Doctor 3 May 2019, 07:19
+5 -0
....and what about every Indian citizen practicing Medicine ?
but 3 May 2019, 04:50
+5 -0
Under the indirect tax law and the income tax law, a chartered accountant is allowed to appear before authorities at different fora, including the ITAT and the CESTAT. This ban should be of no consequence.
Guest 3 May 2019, 05:36
+3 -0
i guess what you are referring to may save individual CAs, etc.
but what about those where the client signs the big4 and no individual as such is named? is that a valid point
FYI 3 May 2019, 05:57
+1 -0
When an authorization to appear is given, it is not a blanket one authorizing the entire firm to appear. It names specific individuals to appear.

By the way, not just individual CA's, even those employed in the BIG 4 do not appear to be hit.
Ca llb 7 May 2019, 10:04
+0 -0
The act you are referring to allows practicing CA's to appear.. not employed ones..

All the lawyers and cas appointed by big 4 are salaried.. they are not allowed to appear under any law... the authorisations obtained from client are invalid.
Not really 7 May 2019, 13:59
+0 -0
Not really.
hm 3 May 2019, 05:19
+4 -0
This is going to be a tumultuous time for some of the Big 4s like EY and PWC which have started doing legal DDs and corporate legal advisory services as a mainstream business line.
Big4 alumnus 3 May 2019, 07:38
+4 -0
..so does my firm need to report to BCD if a partner has engaged a lawyer as a wife or fiancee?
Zz 3 May 2019, 10:54
+0 -1
Can you clarify your question?

Partner has engaged his wife/finacee as a lawyer you surely mean?
No 3 May 2019, 11:15
+3 -0
Don't ruin the joke, it's a play on "engaged in any capacity"
Bhasin Bhasout 3 May 2019, 12:29
+1 -1
I wonder if the Bar Council of Delhi has any jurisdiction in this? Also, how can they pass an order to law firms not to engage any of the big 4? Absurd. We all know that this will be challenged in the courts by the CA firms and ultimately the courts will decide. BCD is just trying to make themselves look important
Pds boi 4 May 2019, 22:20
+0 -0
What will happen to PDS Legal? It's the legal wing of E&Y if I'm not wrong.
René Higuita 5 May 2019, 07:30
+2 -0
Nope. Not the legal wing. Sort of best friend law firm relationship.

Similarly Advaita- KPMG.
Rene2 7 May 2019, 05:17
+0 -1
But Advaita is being wound up for precisely these reasons. Anyone have information on future of PDS?
? 7 May 2019, 06:34
+1 -0
Being wound up ? I am suprised to know this.
Ca llb 7 May 2019, 10:07
+1 -0
Lol.. please correct ur facts.. all retainers of advaita have equivalent designation in kpmg like kpmg employees... Associate for assistant manager, senior associate for Manager, .... check their reKonnect, they all are on kpmg india payroll.. mockery of indian law and lawyers made by big 4... its just a window dressing... visit their office, it kpmg set up.