ICAI CHIEF-STRICTURES

NAGPUR: The fact-finding team of Institute of Chartered Accountants of India (ICAI), which is investigating a Rs100 crore land deal involving its president, is said to be divided over the action to be recommended to the central governing body. City-based CA Jaideep Shah is the current president and embroiled in a controversy over purchase of land on the city's outskirts.

Shah had approved a Rs100 crore deal for a 2 lakh square feet property in Luxora Township at Pipla on Nagpur's outskirts. An advance of Rs10 crore has been paid. But the cost raised several eyebrows, leading to a six-member fact-finding team being set up.


The report to be submitted by the committee has already been delayed by a fortnight. It is learnt that the team is divided into two camps. One of the groups is pressing for harsh strictures against Shah, including cancellation of the deal and action against the ICAI president, whose term is expiring next month. The other group, however, wants to go soft on him. This group may limit its action to mere cancellation of the deal, said a source closely following the affair.

A member of the team confirmed the division in the team, but refused to divulge anything more, saying that the matter is being sorted out.

The brother of Mahesh Sarda, convener of the fact finding team, is a partner in a firm facing a disciplinary action for non-compliance of ICAI's rules. Shah, as ICAI president, has a major say in such proceedings. This matter had come up during the last central council meeting, with a member accusing Sarda of deliberately going soft on Shah. However, the statements were not included in the minutes due to a collective decision of the council.

Hectic parleys took place on January 24 and 25 on this matter, with another meeting planned on Tuesday. The matter is to be taken up in the ICAI central council meeting on January 30, where a final decision will be taken.

Sources close to the affair says there are chances two reports may be put up before the council on January 30. However, both groups are still trying to convince each other.