Comment on the following with reference to the Chartered Accountants Act, 1949 and Schedules thereto:
- Mr. S, a Chartered Accountant published a book and gave his personal details as the author. These details also mentioned his professional experience and his present association as partner with M/s RST, a firm.
- Mr. C accepted the Statutory audit of M/s PSU Ltd., whose net worth is negative for the year 2003-04. The audit was to be conducted for the year 2004-05. The audited accounts for the year 2004-05 showed liability for payment of tax audit fees of Rs. 15,000 in favour of Mr. E, the previous auditor.
- M/s PQR, a firm of Chartered Accountants with 5 partners has accepted the audit of ABC Pvt. Ltd. for 2004-05 at, an audit fee of Rs. 2,500. ABC Pvt. Ltd. was incorporated in April, 2002, but had commenced operations in January, 2005.
- Mr. P, a Chartered Accountant in practice entered into a partnership with Mr. L, an advocate for sharing of fees for work sent by one to the other. However, due to some disputes, the partnership was dissolved after 1 month without any fees having been received.