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Why Is ICSI, a Messenger of Good Corporate Governance, Indulging in Misgovernance?

·3 mins
B Vinay Reddy
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B Vinay Reddy
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It is deeply concerning that ICSI, an institution that positions itself as a messenger and guardian of good corporate governance, is itself indulging in practices that raise serious questions of misgovernance and lack of transparency.


Background of the RTI Application
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Mr. Prashanth Rangu filed an application under the Right to Information Act, 2005, seeking specific information relating to the revenue figures of ICSI, particularly revenue generated through certified copies provided to students over the last 10 years.

The request was:

  • Record-based
  • Financial in nature
  • Sought in the manner the information is maintained by ICSI

Denial by the CPIO
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The Central Public Information Officer (CPIO) of ICSI denied the information on the ground that:

“The information is not available in the form/content as desired by the applicant.”

This response is troubling because:

  • The applicant had explicitly requested information in the manner maintained by ICSI
  • No request was made for creation or compilation of new data
  • The denial defeats the very spirit of the RTI Act

First Appeal and FAA Order
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Aggrieved by the denial, the applicant preferred a First Appeal before the First Appellate Authority (FAA) of ICSI.

The appellant was represented by Advocate Abhinav Singh during the hearing.

As expected, the FAA mechanically concurred with the submissions of the CPIO, without independently examining:

  • Availability of financial records
  • Statutory obligations under the RTI Act
  • The inconsistency with disclosures made by peer institutions

A copy of the FAA order is attached for reference.


Serious Questions That Arise
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This case raises important and unavoidable questions:

1️⃣ Availability of Revenue Data
#

When ICSI operates on a digital accounting system and receives payments primarily through online modes, how can such basic revenue information not be available with the public authority?

2️⃣ Unequal Transparency Among Professional Bodies
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When similar information is being disclosed by fellow professional bodies such as ICAI and ICMAI, on what legal or administrative basis is ICSI denying the same information?


Pattern of Denial by ICSI
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This is not an isolated instance.

ICSI has denied information in reply to at least five other RTI applications, which sought data relating to:

  • Verification of marks
  • Inspection of certified copies
  • Examination-related transparency

Such repeated denials point towards a systemic resistance to transparency, rather than an isolated lapse.


Conclusion
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An institution that teaches and promotes good corporate governance must itself adhere to:

  • Transparency
  • Accountability
  • Statutory compliance

Denial of basic financial and examination-related information under the RTI Act undermines not only the credibility of ICSI, but also the confidence of students and stakeholders.

If professional bodies are allowed to selectively disclose information, the very objective of the RTI Act, 2005 stands diluted.


Good governance cannot be preached without being practiced.

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