Indore (Madhya Pradesh): When stronger banks are collapsing in USA and Europe, how do Indian banks remain strong? The prime reason for their strong position is that different CA firms carry out audit of the banks. The demand of Indian CAs will increase in the world in the years to come. This was stated by
CA Ranjit Agrawal, national vice president of the Institute of Chartered Accountants of India (ICAI) while addressing the inaugural session of the two-day national conference on bank audit that began at ICAI’s Indore branch on Saturday.
CA Agrawal said that CA is a profession which has made significant contribution to nation-building. We are the youngest country in the world and are also the 5th largest economy. Forty per cent of the total digital transactions of the world happen in India. At present the demand for CA jobs has increased a lot and that's why 85% new CAs are in jobs and 15% CAs are serving outside India, this shows that the demand for Indian CAs is increasing in the world. He said that there are many functions like valuation, insolvency, setting up of new company, tax audit and consultancy for which CA is required. The duties and responsibilities of CAs are increasing with the passage of time. He also said that proper reporting of any financial irregularities that come to notice during the bank audit is very important and also its unique identification is very important whenever any MOC is issued.
CA Kirti Joshi, regional council secretary said that branch audit of public banks is important because they are moving towards digitalisation but there are still many functions where manual intervention exists. In many cases, stock statements compulsorily taken into stock credit (CC) accounts in banks, mismatch in price of stock shown in monthly statement and audited balance sheet are noticed and thus many red flags are caught during an audit.
Earlier, CA Mausam Rathi, chairman, Indore CA Branch delivered the welcome speech. He said that Silicon Valley Bank was a very prestigious bank, whose financial statements as on 31st December 2022 were showing its strong position and in three months it has fallen into bankruptcy. We have not had such a situation in a single public sector bank in the country so far.
