TMI Blog2000 (10) TMI 907X X X X Extracts X X X X X X X X Extracts X X X X ..... alleging that the certificate issued by Shri S.K. Jain (hereinafter referred to be respondent) was erroneous and he had issued the certificate without proper verifica-tion of books of account. Subramanian Company had furnished a Statement of Export of leather goods including those of other manufac-turers for the years 1976-77 and 1977-78, which were certified by the respondent along with their letter dated 5-12-1979. On the basis of Export Statement, the Export House Certificate was issued to Subramanian Co. on 4-1-1980. The respondent had certified that he had checked and verified the particulars of exports from the books/documents of the firm and found them to be correct. When the complainant wrote a letter to said concern to produce ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and goods were partially manufactured by them and part of it was got finished by them on job basis by certain manufacturers. The certificate issued was correct and complete and was based on the basis of the documents produced by the concerned parties. The statements signed by him were not financial statements. Disciplinary Committee of the Institute held that the export policy, which was prevalent at the relevant point of time required that 20 per cent of the total export goods should be manufactured by others to get Export House Benefits and the only dispute was that the figures were not correct because Subramanian Co. had not been able to show any export of the goods manufactured by others. Accordingly, Disciplinary Committee was of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ve been verified and there was nothing on record to show that without verification of records, the Certificates had been issued. 5. In order to appreciate rival submissions, it is necessary to take note of the examination of the respondent by the Disciplinary Committee. The respondent admitted not to have known the policy, which was prevalent at the relevant point of time. Even there is an admission to the effect that it had not verified as to whether some of the units, he had certified as cottage industries to be really so. To a pointed query made by the President as to for what purpose the certificate was issued, the respondent stated that they related to the purchase of raw skins; that the position of the parties had been indicated a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on is the expertise possessed by its members, in the matters of accountancy and auditing amongst others. Correctness is a matter of rule in a certificate issued by a Chartered Accountant. He is supposed to have tested correctness of the figures certified. If he puts his signature, without proper verification, in any certificate, it certainly is a serious matter. Such conduct does not befit a Chartered Accountant, and is unbecoming of him. In such a case, he fails to do what is the minimum required to be done by him. He does something in the pursuit of his profession which is not only unethical, but also disgraceful or dishonourable. Above being a position, we are of the view that respondent has been rightly found to be guilty of gross neg ..... X X X X Extracts X X X X X X X X Extracts X X X X
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