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The Council considered the matter of 'Issues relating to taking on record the particulars of merged/merging firms of chartered accountants including that of date(s) of joining partner(s) of merging firm(s)' at its 250th meeting held from 19th to 22nd April, 2005 and decided as under :-

In order to bring clarity for the purpose of removing doubts over the issues relating to taking on record the particulars of merged/merging firms of chartered accountants including the date(s) of joining of partner(s) of merging firm(s), the Council unanimously decided to accept the recommendation of the Executive Committee as under :-

(1) The first two examples approved by the Council at its 198th meeting, in order to elucidate the nature of merger/amalgamation as given hereunder be retained as they are.

Name of firm Name of firm Name of new firm Seniority
1. A & Co., 1966 B & Co., 1980 A & Co Date of establishment will be 1966
2. A & Co., 1966 B & Co., 1980 B & Co Date of establishment will be 1980



(2) The third example approved by the Council in its 198th meeting as given under be deleted altogether.

Name of firm Name of firm Name of new firm Seniority
1. A & Co., 1966 B & Co., 1980 Y & Co Date of establishment will be date of approval of Y & Co. by the Institute or constitution of the Partnership firm, whichever is later.



(3) As far as the fourth example approved by the Council in its 223rd meeting given below, is concerned, the same needed modification to the effect that without restricting the new name of the firm as either "AB & Co." or "BA & Co" and the like, complete flexibility be given so as to permit any other name but subject to compliance with the condition(s) prescribed under Regulation 190(2).

Name of firm Name of firm Name of new firm Seniority
1. A & Co., 1966 B & Co., 1980 Either AB & Co. or BA & Co Date of establishment will be 1966

While, in the constitution certificate, the actual date(s) of joining (of partner(s) the merging firm(s) would continue to be the respective date(s) of joining the merged firm, however against each such entry the clarificatory words "deemed date of joining" should be mentioned without fail.

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