Chartered Accountants’ body ICAI condemned for asking members to support demonetisation


The Institute of Chartered Accountants of India (ICAI) is facing considerable heat on social media for its controversial circular, issued to its members directing them to support the demonetisation move.

In a circular, signed by the body’s president, M. Devaraja Reddy, the ICAI wrote to members on Friday warning them to employ caution while commenting on or writing about the demonetisation move by Prime Minister Narendra Modi.

The circular said, “The recent move of Government of India to demonetize the high value denomination currency as announced by the Hon’ble Prime Minister Shri Narendra Modi is a welcome step which has given a definitive boost to the economic growth and dealt a lethal blow to the parallel economy that has cast its ugly shadow on the nation’s economy for long. This move, it is believed, will not only eliminate black money, but will also choke the activities of anti-nationals from across the border financed by fake currency, ensuring inclusive growth and national security in one go.”

Surprisingly, the ICAI chose to use black money as an argument in defence of demonetisation even though PM Modi and his cabinet colleagues have silently conceded that banning old notes had no impact on curbing illegal money.

A reply by the junior finance minister in the parliament recently followed by the Reserve Bank of India’s admission established that all currency notes in circulation prior to the demonetisation announcement were set to return in the system.

The so-called ‘advisory’ also added, “….The members are also advised not to share /write any negative personal views by way of an article or interview on any platform regarding demonetisation.

“All members are, once again, advised to be more cautious and careful while advising their clients, sharing/writing of their views on any platform regarding demonetisation and work towards the best interest of the nation in keeping with true spirit of the principle of ICAI – ‘Partner in Nation Building’.”


As expected the the move received instant condemnation by political parties and social media users, who slammed the body for having surrendered its independence to the central government.

Aam Aadmi Party’s spokesperson, Raghav Chadha called the move ‘shocking.’

Chadha, himself a CA, tweeted, “ICAI issues advisory to all chartered accountants to not make negative statements on Demonetization. Shocking !!”

Janta Ka Reporter made several attempts to reach Reddy’s office, but he was not available for comments.



  1. “employ caution while commenting on or writing about the demonetisation move”. Isn’t that a violation to their freedom of speech? They can’t even opposite this dick move? Even this week there was a news to punish admins for comments on Whatsapp. Looks like the government wants to control people to do things in their favour, pay more taxes and want people to think the way they want for their selfish benefits. This will lead to revolution. We got freedom from british raj. Now there is a need to fight freedom from the crimes of the government.


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