Understanding the Difference Between Code of Conduct For CA and Advocates:

Understanding the Difference Between Code of Conduct For CA and Advocates

Chartered Accountancy and Advocacy are considered two of the most prominent professions in India and are highly respected. These two are regulated by two different bodies:

• Chartered Accountancy: Institute of Chartered Accountants of India (ICAI)
• Advocacy: Bar Council of India (BCI)

Even though these two professions may share some commonality, there are many differences in numerous aspects.

Regulatory Bodies: ICAI vs BCI

1. The Institute of Chartered Accountants of India (ICAI)

• Founded under the Chartered Accountants Act, 1949.
• Responsible for the education, licensing, disciplinary proceedings and professional standards of CAs.
• Operated under the administrative control of the Ministry of Corporate Affairs.

2. The Bar Council of India (BCI)

• Established under the Advocates Act, 1961.
• Regulates the legal profession and legal education in the country.
• Works independently through State Bar Councils.

Code of Conduct

Institute of Chartered Accountants of India (ICAI) principles for CA

• Focuses upon integrity, confidentiality, professional behaviour, and objectivity.
• Enforces discipline via the Disciplinary Directorate, Board of Discipline, and Disciplinary Committee.

Restricts from:

• Solicitation and advertising.
• Accepting projects without communicating with the initial auditor.
• Sharing of fees with non-members.

BCI Ethics for Advocates

• Listed in Chapter 2 of part 6 of the BCI Rules.
• Advocates are obligated to be dutiful towards the court, opponent, client, and society.
• State Bar Councils handle disciplinary matters.

Major Provisions:

• Act fearlessly and independently in the best interest of the client.
• Obligated to maintain the client's confidentiality.
• Allowed to say no to a case unless it's required under legal aid obligations.

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Fee-Related Regulations

ICAI for CA:

• ICAI doesn't provide a fixed fee structure, but it expects CAs to charge reasonably and in a justifiable manner.
• Professional misconduct also accounts for charging fees based on a percentage of profit.
• Must maintain transparency and can't treat clients according to fee-based comparisons.

BCI for Advocates:

• No limits are imposed on the fees charged by advocates.
• Advocates are allowed to set their own fees, which can depend on factors such as experience, seniority, and the nature of the matter/case.
• In civil cases, contingent fees are not allowed, as they are accounted as against public policy.

Table of Comparison

Feature	Chartered Accountants (ICAI)	Advocates (BCI)
Regulating Law	Chartered Accountants Act, 1949	Advocates Act, 1961
Regulatory Body	ICAI (MCA)	BCI (Independent Statutory Body)
Code of Conduct	ICAI Code of Ethics, 2020	BCI Rules, Part VI
Solicitation	Prohibited	Prohibited (with minor exceptions)
Advertising	Not allowed	Not allowed (with limited personal/professional details)
Confidentiality	Ethical duty; not legally protected	Legally privileged (Sec 126, Evidence Act)
Law Legal representation
Fee Structure	Must be reasonable and ethical; no contingency fees	No cap; contingent fees barred in civil matters
Legal Privilege	Not available	Available under Evidence Act
Disciplinary Authority	ICAI Board of Discipline & Disciplinary Committee	State Bar Councils & BCI (Appellate)