In CA Sanjay Jain V. Institute of Chartered Accountants of India & Ors., Delhi High Court held that ICAI has the power to initiate disciplinary proceedings against its member even when there is no written complaint.

“A written complaint or allegation in writing cannot, in any manner, be understood to be a pre-requisite or a sine qua non for the initiation of action under Section 21,” the Court said.

The single-judge further stated “A newspaper report, as is well settled, cannot and does not constitute evidence per se. A report that may appear in the print media or on a visual news platform, can at best be understood as being an external source from which the Institute may gather or derive knowledge of a particular fact or incident”

The court also rejected the claim that the ICAI had never taken action on its own initiative before these proceedings began, noting that it is not enough for power to not have been used in the past to determine whether it is still valid or even exists.