Dca Told To Submit Report On Cos Bill

Finance minister P Chidambaram has directed the department of company affairs to submit a section-by-section analysis of the draft companies bill, in the wake of objections by professional groups, industry organisations and investor protection forums. The minister has set a month's deadline for submission of the report.

One of the most vocal detractors of the report is the Institute of Cost and Works Accountants of India which has convened two press conferences so far to protest against removal of the mandatory provision for cost audits.

The draft bill provides for maintenance of cost (of production) data, but cost accountants argue that no company would maintain such data (for which a company would be required to hire a cost auditor) unless they know that there is a possibility that such data could be demanded by the government.