Delaying tactics of ICASL, says reader

The Institute of Chartered Accountants of Sri Lanka (ICASL) had been delaying an investigation into a complaint made on the professional conduct of Price Waterhouse Coopers and Ernst & Young in the privatization process of Sri Lanka Insurance Corporation causing a colossal loss to the public.

ICASL had failed to complete the investigation into the complaint against PwC and E&Y role in the privatization process as pointed out by the Supreme Court Judgement, says Amrit Mutucumaru in a letter to the Daily News.

He had written to the ICASL on July 29, 2009 by e-mail.

The ICASL had acknowledged receipt of Mutukumaru’s communication only on September 9.The original complaint Mutukumaru made to the ICASL was as far back as August 8, 2005 and in his letter to the Daily News he stated: “I make bold to affirm that the Institute of Chartered Accountants of Sri Lanka makes no small contribution to the appalling system of corruption in this country, if its disgraceful handling of its investigation into my ‘Compliant’ made as far back as 8 August 2005 is anything to go by it is outrageous that the ICASL has still not concluded its investigation.

Mutukumaru writing to the ICASL by e-mail stated:

“Subsequent to the ICASL ‘Ethics’ Committee endorsing the finding of its

investigation ‘Panel’ that a prima facie case of ‘Professional Misconduct’ had

been established among others against PwC and its senior partner Mr. Deva Rodrigo (now retired) and E&Y and its senior partner Mr. Asite Talwatte was appointed to the ‘Council’ of the institute after the unlawful removal of an existing ‘Council’ member Mr. Preethi Jayawardene.

“It is noted that your successor as President will soon be Mr. Sujeewa Mudalige – Partner PwC! It is not without significance that Mr.Mudalige was part of the Sri Lanka Team that comprised the PwC Indonesia Team that carried out the scandalous privatization of Sri Lanka Insurance Corporation causing colossal losses to the people of this country.

“The professional misconduct of PwC and F&Y has now been confirmed by the country’s highest judicial body the Supreme Court. Attached herewith is a certified copy of the SLIC judgment dated 8 June 2009

“As ICASL has reneged on its written undertaking to me which includes (a) complete investigation and early and transparency (b) After investigation is completed you will be informed of the determination and ( c) The rationale for the determination would be given. “I have now after some years at least received some response from ICASL. They have done so as per Registered letter dated 9 September 2009 from the Secretary to the ICASL (received by me on 12 September.)

“The secretary’s letter informs me as follows:

“Please note that the Council had complied with the due process with regard to the disciplinary procedures.”

“In the public and national interest I am forwarding this e-mail to the media,” Mutukumaru stated.