1337

Report
THE CHARTERED ACCOUNTANT

Interaction with Chairperson, NFRA

Dr. Ajay Bhushan Prasad Pandey, Chairman, NFRA along with CA. Ranjeet Kumar Agarwal, President, ICAI, CA. Charanjot Singh
Nanda, Vice-President, ICAI CA.(Dr.) Debashis Mitra, Past President and Central Council Members, ICAI during 431st meeting of ICAI
Central Council held at Delhi.

Recently Dr. Ajay Bhushan Prasad Pandey, Chairperson, NFRA addressed the ICAI Council on 25th April, 2024
sharing his experiences and learning from his rich experience across various portfolios. As Dr. Pandey brings
with him a wealth of experience, not just as an administrator, but also as a visionary reformist. His track record
speaks volumes – from his pivotal role as the chairman of the Goods and Services Tax Network (GSTN), where
he played a crucial part in stabilizing the newly introduced GST system across India in a mere three years, to his
tenure as the CEO of UIDAI (Unique Identification Authority of India), where he oversaw the monumental scaling
up of Aadhaar from its inception to its widespread adoption today. Dr. Pandey’s visionary leadership extended
even further during his tenure as the Finance Secretary of India, where he spearheaded a series of direct tax
reforms and championed a modern technological approach to their implementation. Under his guidance, the tax
administration embraced a revolutionary Faceless Assessment regime. His technological acumen is evident in
transformative initiatives such as GSTN, the Faceless Assessment scheme, and UIDAI, where he not only served
as an implementer but also as a catalyst for change and progress.

The profession looks forward to learn insights from Dr. Pandey as we move towards creating value, supporting
reforms, and achieving excellence and progress.

CA. Ranjeet Kumar Agarwal, President of ICAI,
warmly welcomed the Chairperson of NFRA, reflecting
on ICAI’s 75-year journey marked by resilience,
discipline, and dedication to national development. He
highlighted the remarkable growth of the profession
and Institute, with membership expanding from 1600 to
400,000 and students reaching 900,000 spread across
17000 pin codes out of 19000 pin code in the country
having 175 branches and presence in 81 global cities
through 50 Overseas Chapters and 31 Representative
Offices.
The President, ICAI emphasized the Institute’s
commitment to reimagine, redefine, and reinvent itself
to meet evolving demands, focusing on professionalism
excellence and global standards alignment. He
showcased ICAI’s embrace of technology and global
practices to enhance trust and quality, evident in
initiatives like UDIN. The institute’s role in formulating
standards and establishing best practices, such as Peer
Review and Financial Reporting Review Board, was
underscored.
He also highlighted ICAI’s support for research,
development, and government initiatives through
various entities. He outlined the current focus on
harnessing technological advancements, supporting
firms’ sustainability, and enhancing professional skill
development.
Through its efforts, ICAI continues to contribute
to economic development amidst technological
advancements and expansion, maintaining its
commitment to excellence and service to the nation.

MAY 2024 17 www.icai.org

1338

Report
THE CHARTERED ACCOUNTANT

Address by the Chairperson,

NFRA
Dr. Ajay Bhushan Prasad Pandey,
Chairperson, NFRA addressed the
431st meeting of the Council. In his
address, Dr. Pandey spoke about the
historical relevance of the accounting
profession, covered economic
developments, technological
advances, discussed the Current and
Future Indian economy and offered
suggestions for the development of
Dr. Ajay Bhushan Prasad Pandey, Chairman, NFRA being presented a memento by CA. Ranjeet
profession. Kumar Agarwal, President, ICAI and CA. Charanjot Singh Nanda, Vice- President, ICAI during
431st meeting of ICAI Central Council held at Delhi. (April 25th, 2024)
The Chairperson of NFRA emphasized
the historical significance of the
accounting profession in India, tracing its roots back
to the introduction of provisions of Audit & Accounts Furthermore, he discussed the 5 lines of defense in
vide Companies Act, 1913 and recommendation of corporate governance, which are very important. �e
establishment of bodies like the All India Institute of first line of defense consists of the Management. �e
Chartered Accountants in 1925. He underscored the second line of defense comprises the Audit Committees
importance of the title “Chartered Accountant” and and Independent Directors. �en, there’s the third line
its recognition of competence and qualification. He of defense, where the Profession and the reporting
highlighted the profession’s pivotal role in economic
framework, including high-quality standards and
development as envisioned in the enactment of the
Auditors, come into play. �e fourth line of defense
CA Act, even preceding the adoption of the Indian
Constitution. The profession’s contributions to the involves Investors and Shareholders, while the fi�th
development of a robust financial reporting framework includes standard setters like us and Regulators.
and taxation system were also noted, including its role �erefore, people must understand the clarity of
in ensuring revenue collection for the government. these lines of defense, and each line has to function
accordingly. He highlighted that we can’t a�ford to have
Moreover, the Chairperson discussed the profession’s
a system where only one line of defense works while
involvement in auditing and assurance, such as the
others don’t and emphasized that. If we want a foolproof
introduction of CARO in 1975 and the audit of certain
assesses under section 44AB of the Income Tax Act since system, each line of defense must operate e�fectively.
1984. He lauded the increasing number of professionals
and students in the field, envisioning India as a global In conclusion, he acknowledged the pivotal role of
talent hub in finance and accounting. accountancy profession in economic development of
The integration of technology and the expansion of the country and reiterated the collective responsibility
India’s economy were highlighted, particularly with of the profession in nation-building, expressing
initiatives like AADHAR and the JAM trinity, aiming confidence in exceeding the high expectations
for inclusive development. The exponential growth in placed upon them. He emphasized on the steadfast
market capitalization, income tax collections, and GST commitment of the profession which acts as the catalyst
collections demonstrated India’s economic potential. in fulfilling their role and thus contributing towards the
progress of the nation as Viksit Bharat.
Looking ahead, the Chairperson projected India’s
increasing contribution to the global GDP, aiming Vote of Thanks
for a $5 trillion economy within the next few years CA. Charanjot Singh Nanda, Vice President of ICAI,
and potentially becoming the third-largest economy commended Dr. Ajay Bhushan Prasad Pandey, NFRA
by 2047. He emphasized the importance of trust in Chairperson, for his insightful presentation bridging
financial reporting to attract domestic and international past, present, and future. He expressed gratitude for
investors, positioning the profession as pivotal partners Dr. Pandey’s dedication to sharing knowledge with the
in ensuring a strong financial reporting system. profession, acknowledging the profession’s historical
role in national development since its inception in 1949.
The Chairperson also addressed misconceptions
regarding auditor independence and urged the He assured the Council’s commitment to partnering
profession to specialize and innovate to meet in nation-building, ensuring all activities align with
emerging complexities and stakeholder expectations. national initiatives and serving the nation.

MAY 2024 18 www.icai.org