The Institute of Cost and Works Accountants of India (ICWAI) will now be known the Institute of Cost Accountants of India (ICAI). A bill to change ICWAI to ICAI was passed in Lok Sabha on December 19. The Rajya Sabha had passed the same bill on December 12.
The new name has,however,not gone down well with those working in the field of cost accountancy. The ICWAI experts pointed out that their continuous effort to change the name of the institute to the Institute of Cost and Management Accountants of India has not found favour with the government.
This is mainly on account of the recommendations of the standing committee of Parliament,which considered the issue. The committee,while recognising that world over the Cost Accounting bodies are known as Institute of Cost and Management Accountants,seems to have taken cognisance of the vehement opposition by the Institute of Chartered Accountants of India (ICAI) to renaming the institute as demanded by ICWAI, said M Gopalakrishnan,president,ICWAI,who was in the city for a seminar last week.
However,the ICWAI pointed out the likely confusion arising out of two similar names. As per the new name,our institute will also be known as ICAI. This may also lead to a situation where foreign management accounting bodies operating in India,under international agreements,will be known as management accounting bodies,whereas the Indian professional body will be denied that opportunity. In addition,the Indian professionals working abroad will also face problems of recognition as cost and management accountants,whereas others from neighbouring countries will be recognised as cost and management accountants, Gopakrishnan said.