Page 383 - CA Final Audit Titanium Full Book. (With Cover Pages)

CA Ravi Taori

Sharing Firm Profile with prospective Client:
Profile-Sharing: Sharing the firm's profile with a prospective client is not allowed unless it is in response to a
specific query from the prospective client and there is no other Law which Prohibits Profile Sharing.
Television or Movie Credits:
Credits: When a member or Chartered Accountant firm's name is included in television or movie credits, it
should not be displayed differently compared to other entries in the credits.
Soliciting professional work by making roving enquiries
Solicitation: A member is not allowed to send letters, emails, or circulars to individuals who might need the
services of a Chartered Accountant. This is considered as advertising.
Seeking work from Professional Colleagues:
Seeking work: Issuing an advertisement or a circular by a Chartered Accountant to seek work from professional
colleagues is a violation, except as mentioned previously.
Scope of representation which an auditor is entitled to make under Section 225(3) of the Companies Act,
1956 (Section 140(4) of the Companies Act, 2013):
Representation: Under Section 225(3) of the Companies Act, 1956 (Section 140(4) of the Companies Act, 2013),
an auditor's right to make representation doesn't equate to a prescriptive right or a lien to an audit. The
representation must not be used for unnecessary publicity or solicitation. It should only state the auditor's
independence and conscientiousness (Due care & attention) during their term, and optionally, their willingness
to continue if reappointed.
Acceptance of original professional work by a member emanating from the client introduced to him by
another member:
Acceptance: A member should not accept original professional work from a client introduced by another
member. If such work comes directly to him, he should direct the client to come through the original member.
Giving Public Interviews: (TV/Radio)
Public Interviews: When giving interviews or sharing details about themselves or their firms, members should
ensure it does not result in publicity or highlight their professional achievements. Any shared details should be
factual and in response to specific questions. (Giving Firm name is allowed).
Members and/or firms who publish advertisements under Box numbers:
Box Numbers: Members or firms are not allowed to place advertisements for soliciting clients or professional
work under box numbers in newspapers. This practice is a violation.
Educational Videos:
Allowed with Conditions: Members can upload educational videos on the internet, but these should not
reference the Chartered Accountants Firm where the member is a partner or proprietor. The videos should also
not contain any contact details or website addresses.

Note: Some Concepts & Clarification are covered with Council guidelines & recent decisions of Ethical Standard Board
given at the end of the Chapter

(CNO-PE.1180) CLAUSE 7
Clause (7) Advertises his professional attainments or services, or uses any designation or expressions other than
the Chartered Accountant on professional documents, visiting cards, letter heads or sign boards unless it be a
degree of a University established by law in India or recognized by the Central Government or a title indicating
membership of the Institute of Chartered Accountants or of any other institution that has been recognized by
the Central Government or may be recognized by the Council.

Provided that a member in practice may advertise through a write up, setting out the service provided by him or
his firm and particulars of his firm subject to such guidelines as may be issued by the Council.

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