Post on 17-Mar-2020
transcript
Chairman Message
The world and our profession are changing rapidly in
today’s digital age. But critical characteristics such as ethics and
values never change as these are the foundations upon which the
rest of the world is created. These are the guiding lights to
humanity because ethical values function as inner voices
providing the right direction and decisions in life.
“Open your arms to change but don’t let go of your values.” Dalai Lama
Ethics form the foundation upon which our great profession has been built and valued across
the globe. Professionally and personally, ethics can be thought of as a set of principles that help
in differentiating between right and wrong for an individual, a group, or an organization. It is
easy to do right out of fear, but it is better to do right because right is right. One needs to
appreciate that when one has a right to do something, do what is right. Values are like
fingerprints. Nobody has the same but you leave them all over everything you do. Hence,
professional ethics play a crucial role in everyone’s life. It would be difficult for an individual
without personal ethics to follow professional or business ethics; hence, our alma mater has
stressed this aspect from the beginning.
I look forward to our Branch moving ahead with a common goal of believing passionately in
what we do, and never compromising our standards and values. By observing legends like
Mahatma Gandhi and APJ Abdul Kalam we see that great people have great values and ethics
and they work hard to reinforce their values. Let us always remember Mahatma Gandhi’s
words, “Keep your thoughts positive because your thoughts become your words. Keep your
words positive because your words become your behavior. Keep your behavior positive
because your behavior becomes your habits. Keep your habits positive because your habits
become your values. Keep your values positive because your values become your destiny.”
Thanking You,
“Coming together is a beginning; keeping together is
progress; Working together is success”.
The role of Accounting, Auditing and Taxation has
assumed increasing significance in the globalized
economy and has caused new challenges and
opportunities to the Accounting and Auditing
Professionals. It is necessary that the professionals in this field keep pace with the
new challenges and come with common solution.
I am pleased to share that Meeting on “Implication on Real Estate and others
issues due to recent amendments in GST” held in branch. Amongst other
programs, we also organized Campus Placement Program(24.4.2019 & 26.4.19)
for newly qualified chartered accountants.
Lastly, I would like to wish “Happy Studying” to all the students who will be giving
their examination this summer. Remember dear students “ITS AN EXAM, NOT AN
ATTEMPT.”
With best regards
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1. Meeting on "Implication on Real Estate and others issues due to recent amendments in GST" (13.04.2019-2CPE)
Jaipur Branch of CIRC of ICAI organized a SC Meeting on Implication on Real Estate and others
issues due to recent amendments in GST on 13.04.2019 at ICAI Bhawan, Jaipur. Adv. (CA.)
Rahul Lakhwani was the eminent speaker. During the programme CA. Prakash Sharma, CCM,
ICAI, CA. Lokesh Kasat, Chairman, CA. Kuldeep Gupta, Secretary & other Managing Committee
members felicitated CA. Akshay Kabra for being selected in UPSC Civil Services Exam 2018
(Rank-207) in the presence of CA. Shivani Maheshwari, Assistant Director, CGST (Audit)
Commissionerate, Jaipur, Department of Revenue, Govt. of India. CA. Aashish Sachdev was the
convenor of this programme.
2. Visit of Jaipur Branch By CA. Veni Thapar-Independent Director-Bank of India & CA. Satish Sareen, State Convenor BJP Economic Cell (15.04.19)
Jaipur Branch of CIRC of ICAI was visited by CA. Veni Thapar, Independent Director, Bank of
India and CA. Satish Sareen, State Convenor BJP Economic Cell on 15.04.2019. CA. Sachin
Kumar Jain, Regional Council Member, CIRC and CA. Kuldeep Gupta, Secretary, Jaipur Branch
welcomed them with a floral greeting & memento.
3. Discussion on “Graduate Insolvency Programme: Introducing Insolvency to the World of
Education”
Jaipur branch hosted a panel discussion on “Graduate Insolvency Programme: Introducing
Insolvency to the World of Education” on 19.4.2019 at ICAI Bhawan, Jaipur. The programme
was organized under the aegis of Indian Institute of Corporate Affairs. In this discussion CA.
Prakash Sharma, CCM, ICAI, Mr. Dinkar Venkatasubramaniam, Restructuring Partner Ernst &
Young and Dr. Neeti Shikha, Head, Centre for Insolvency and Bankruptcy, Indian Institute of
Corporate Affairs were the eminent speakers.
4. Pre-Campus Talk-(20.4.2019)
Jaipur Branch of CIRC of ICAI organized a Pre-Campus Talk for newly qualified Chartered
Accountants on 20.4.2019 at ICAI Bhawan, Jaipur for batter preparation of 2nd round Campus
Placement in April 2019. CA. Pawan Bhatia & CA. Purva Somani Mittal were the eminent
speakers. Both the speakers gave valuable tips to the participants for getting better placements.
5. Campus Placement Programme (24.4.2019 & 26.4.19)
Jaipur Branch of CIRC of ICAI participated in the second round campus placement programme
for the newly qualified chartered accountants under the aegis of ICAI, New Delhi on 24.4.2019
& 26.4.2019. From Jaipur campus 02 companies participated in this campus placement
programme. The companies which participated in this campus are as follows:-
S.No Company Name
1 Desai Haribhakti & Co.
2 Uma Polymers Ltd.
BRANCH ACTIVITY DURING THE MONTH OF APRIL-2019
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6. Full Day Seminar on Practical Discussion on GST Audit & Annual Return
(27.04.2019 – 6CPE)
Jaipur Branch of CIRC of ICAI organized Full Day Seminar on Practical Discussion on GST Audit
& Annual Return on 27th April, 2019 at ICAI Bhawan, Jaipur under the aegis of Committee for
Capacity Building of Members in Practice (CCBMP).
CA Prakash Sharma, Central Council Member-ICAI, CA. Abhishek Sharma, Treasurer-CIRC, CA.
Sachin Jain Regional Council Member & Member CICASA, CIRC, CA. Lokesh Kasat, Chairman-
Jaipur Branch, CA. Kuldeep Gupta, Secretary of Jaipur Branch & and other Managing Committee
Members of Jaipur Branch inaugurated the programme by lighting the lamp.
First Technical Session In this session CA. Jatin Harjai was the eminent Speaker and he delivered the lecture on
"Approach & Critical Aspects of GST Audit."
Second Technical Session In this session CA. Ashu Dalmia from New Delhi was the eminent speaker and he delivered the lecture on "Annual Return: Clause by Clause Analysis."
Third Technical Session In this session CA. Avinash Poddar from Surat was the eminent speaker. who delivered his lecture on "Audit Return (GSTR 9C)."
Fourth Technical Session In this session a panel discussion was held. CA. Ashu Dalmia, CA. Avinash Poddar, CA. Virendra
Parwal & CA. Mukesh Khandelwal were the panel experts. CA. Akash Bargoti, Managing
Committee Member, Jaipur Branch was the moderator of the session.
Designed & Compiled by : ITT Faculties of Jaipur Branch of ICAI
Sanjay Kishore Karni Singh Rathore
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THE BANNING OF UNREGULATED DEPOSIT
SCHEMES (UDS) ORDINANCE, 2019
CA. Rachit Jain
Before starting it, there are few questions which come to the common mind-
1. What is an Ordinance?
2. Who can issue Ordinance?
3. What is the Validity of Ordinance?
Let’s understand these questions quickly-
An Ordinance is a temporary law. Legally, an ordinance is the equivalent of an Act; but is not passed by
the legislature. When Parliament is not in session, and 'immediate action' is needed, the President can
issue an ordinance. An ordinance is valid till its expiry or till it is repealed or it is approved by the
legislature & if not approved, it expires after 6 weeks once both houses of the Parliament are in
session.
Need for UDS Ordinance: The ordinance has been issued to safeguard the Interests of Depositors.
To curb Ponzi Schemes.
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Ponzi scheme: A Ponzi scheme is a form of fraud that lures investors and
pays profits to earlier investors with funds from more recent investors. The
scheme leads victims to believe that
profits are coming from product sales or other means, and they remain unaware
that other investors are the source of funds.
Recent Scams/Cases:
1. Saradha Chit Fund Scam
2. Rose Valley Chit Fund Scam
3. Freedom 251
4. Social Trading etc.
Step by Step Process:
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Effect of UDS:
Activity Punishment Section 3: Any deposit taker who, directly or indirectly, promote, operate, Issue any advertisement soliciting participation or enrolment in or accept deposits in pursuance of an UDS.
1. Any deposit taker who solicits deposits in contravention of section 3- Imprisonment: [1-5] Years and Fine: [2-10]Lakhs
2. Any deposit taker who accepts
deposits in contravention of section 3- Imprisonment: [2-7] Years and Fine: [3-10]Lakhs
3. Any deposit taker who accepts deposits in contravention of section 3 and fraudulently defaults in repayment of such deposit or rending any specified service- Imprisonment: [3-10] Years and Fine: [5 Lakhs-2 times of amount collected]
Section 4: Any deposit taker, while accepting deposits pursuant to a Regulated Deposit Scheme, commit any fraudulent default in-
1. the repayment or 2. return of deposit on maturity or 3. In rendering any specified service
promised against such deposit.
Imprisonment: up to 7 Years and Fine: [5 Lakhs- 25 Cr or 3 times of
profit, whichever is higher]
Section 5: Any person who knowingly makes any statement, promise or forecast which is false, deceptive or misleading in material facts or deliberately conceal any material facts, to induce another person to invest in, or become a member or participant of any UDS. Note: Any person other than the deposit taker is covered in this section.
Imprisonment: [1-5] Years and Fine: up to Rs. 10 Lakhs
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Currently, 9 regulators oversee and regulate various deposit-taking schemes as explained in Schedule I:
(i) RBI, (vi) National Housing Bank,
(ii) SEBI, (vii) PFRDA,
(iii) MCA, (viii) EPFO,
(iv) State and union territory governments, (ix) IRDA,
(v) Central Registrar, Multi-State Co-operative Societies
Important Points:
1. There is no ban on any amount received in the course of or for the purpose of business. For example-If a Proprietor in business e.g., “A” accepts deposit/unsecured loan from “B”, this ordinance is not applicable.
2. This ordinance is also not applicable in the following cases: a. Capital Contribution by partners. b. The amount received by an individual by way of loan from his relatives, or by any firm by way of
loan from relatives of any of its partners. c. The amount received as a loan from a scheduled bank, co-operative society, NBFC, PFI or any
Indian/ foreign government. d. Amount received as credit by a buyer from a seller on the sale of any property (movable or
immovable). e. The amount received by Asset Reconstruction Co. which is registered with RBI. f. The amount accepted by a Political Party. g. Any periodic payments made by a member of SHGs.
3. There must be a scheme or arrangement (whether oral or written) of accepting deposits. 4. Amount received as Unsecured Loan is not banned as clarified by the Department of Financial
Services on tweeter. 5. It is applicable on Deposit taker and not on depositor. 6. Since the ordinance is passed on 21st Feb 2019; hence deposits accepted on or after 21st Feb 2019
are covered under this.
Disclaimer:-
The views expressed in this article are strictly personal and for general information purpose only. A multitude of factors including changes
and subsequent amendments in law can cause a reason for the change in the information provided in this article. It is suggested to take
specific Professional advice and cross- check before relying on the content & information.
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