Synopsis

Two chartered accountants were found guilty of professional misconduct by the Board of Discipline of the Institute of Chartered Accountants of India (icai) based on a sting operation. Their appeals to the Appellate Authority were dismissed. The petitioners challenged the appellate order before the delhi high court primarily on the ground that the appellate judgment was delivered by a bench that included a member who had not heard the final arguments. The high court found merit in this contention. Relying on the settled principle that “the one who hears must decide” (a core facet of natural justice), the court set aside the impugned order and remanded the matter for a fresh hearing by the same members who heard the arguments. The court did not express any opinion on the merits of the misconduct allegations.

Court: High Court of Delhi at New Delhi

Coram: Hon’ble Mr. Justice Purushaindra Kumar Kaurav (Single Judge)

Date of Decision: 25th April 2026

Citation: 2026:DHC:4216

Core Law: Service Law / Professional Discipline – Chartered Accountants Act, 1949; Principles of Natural Justice (Audi Alteram Partem); Quorum and composition of Appellate Authority.

1. Heading of the judgment

High court of delhi at new delhi

Writ petition (civil) no. 16324/2023 & connected matter

Anil kumar aggarwal (petitioner) vs. Board of discipline icai thr secretary and ors. (respondents)

Coram: hon’ble mr. justice purushaindra kumar kaurav

Date of decision: 25th april, 2026

2. Legal framework

Major laws and provisions involved:

• Chartered accountants act, 1949 – section 22 (misconduct), section 22d (appellate authority), rules framed thereunder

• Chartered accountants (procedure of investigation of professional misconduct and other misconduct and conduct of the cases) rules – rule 7 (information)

• Procedure to be followed for appeals by the appellate authority, 2013 – rule 13 (quorum for hearing appeals)

• Constitution of india, 1950 – article 226 (writ jurisdiction)

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