Professional services firms may be allowed in PMIS: ICAI president

ICAI has set up a special team to fast-track high public-interest cases, including Gensol Engineering and IndusInd Bank, while pushing reforms in skilling and audits

The government is expected to allow professional services — chartered accountants (CAs), cost accountants, and company secretaries — to participate in the Prime Minister’s Internship Scheme (PMIS), said Prasanna Kumar D, newly elected president of The Institute of Chartered Accountants of India (ICAI), on Wednesday.

 

“Currently, only companies can use their corporate social responsibility (CSR) funds for PMIS. Since CA firms want to participate without such funds, the ministry may grant an exception,” Kumar said.

 

ICAI will set criteria for which CA firms can join the scheme and the maximum number of interns they may recruit, he added. “ICAI is coordinating with the Ministry of Corporate Affairs (MCA) and corporates to facilitate placements for interns who complete the programme, supporting the government’s national skilling initiatives and building a sustainable workforce across the country,” Kumar said.

 

The ICAI has reviewed the CSR implications of trainee absorption and recommended that vocational training expenses qualify as CSR, while costs incurred after employment be treated as standard business expenses. “This clarification aligns CSR implementation with Section 135 and Schedule VII, preventing divergent interpretations,” the Institute said in a statement.

 

Under PMIS, interns receive ₹6,000 via direct benefit transfer and coverage under the Pradhan Mantri Jeevan Jyoti Bima Yojana and Pradhan Mantri Suraksha Bima Yojana. They also receive ₹5,000 per month, of which ₹4,500 comes from the government and ₹500 from the company’s CSR funds. Firms may contribute extra funds if they wish.

 

Graduates step in: ‘Corporate Mitras’ for MSMEs

 

ICAI plans to launch the Corporate Mitra initiative, announced by Finance Minister Nirmala Sitharaman in the Budget, by May 31. The programme will train graduates for nine months, including six to seven months of practical experience at ICAI branches, to assist micro, small and medium enterprises (MSMEs) with compliance requirements.

 

Graduates will be trained in bookkeeping and later provide affordable services to MSMEs, Kumar said. “We are finalising the curriculum,” he added.

 

Sitharaman had said the government would support professional institutions like ICAI, The Institute of Company Secretaries of India, and The Institute of Cost Accountants of India to design short-term courses and practical tools to develop a cadre of Corporate Mitras, especially in Tier-II and Tier-III towns. “These accredited paraprofessionals will help MSMEs meet compliance requirements at affordable costs,” she said.

 

ICAI has also finalised guidelines for “system audits” to standardise audits of processes like cybersecurity. Initially recommended for six months, the guidelines will later become mandatory for CAs.

 

“ICAI is the first professional body to introduce such guidelines. While traditional audits have standards, information technology systems audits do not. Digital outcomes require reliable processes and reasonable assurance,” Kumar said.

 

He added that artificial intelligence (AI) won’t replace CAs but will become indispensable. “AI can’t replace the human touch, but it enhances the quality of work,” he added.

 

Gensol, IndusInd under ICAI close watch

 

The Institute of Chartered Accountants of India (ICAI) has formed a special team to review the top 10–15 public interest cases, including Gensol Engineering and IndusInd Bank. These cases are currently examined by ICAI’s Financial Reporting Review Board and may be referred to the disciplinary committee if adverse findings emerge.

  ICAI began reviewing Gensol’s books suo motu after the Securities and Exchange Board of India flagged a sharp promoter stake decline as allegedly orchestrated through false disclosures and sham transactions. Last year, ICAI also examined IndusInd Bank’s financial statements and statutory auditor reports for 2023–24 and 2024–25.