THE INSTITUTE of Certified Public Accountants of Cyprus (ICPAC) has told its members to defy the law and continue submitting documents to the Registrar of Companies.
Despite a ruling by the Attorney-general three weeks ago stating that all amendments and changes made to documents of registered companies was the exclusive responsibility of lawyers and should not be carried out by accountants, the ICPAC informed its members that they should ignore this change.
“Regarding the submission of documents to the Registrar of Companies, we inform you that the position of the Institute is that you continue to submit them as before, without the use of lawyers,” an email circulated by the institute said.
The relations between the ICPAC and the Cyprus Bar Association have been uneasy for a number of years over the issue, but relations hit crisis point after this new interpretation of existing legislation. Accountants are concerned that the change will adversely affect their turnover as well as increase the time needed for registering companies, which already takes long due to the cumbersome red tape of existing rules.
Two weeks ago the institute declared its disapproval at the decision, claiming that was not only impractical but also a “sign that Cyprus was going backward instead of forward”.
The ICPAC has made clear that it is not prepared to allow the status quo, warning that if the situation remained the same, they would take the matter to court.
“The Institute is carrying out the necessary provisions to deal with the issue. If they do not succeed, then we will go to court for an appeal. It should also be noted that neither KEVE (Chamber of Commerce and Industry) nor OEV (Employers’ and Industrialists’ Federation) agree with the Registrar’s announcement,” the statement said.
ICPAC are reportedly confident of winning the case, basing this on the outcome of a similar case more than a decade ago, where the court ruled in favour of the accountants.
The Cyprus Bar Association have defended the new interpretation of the law that cites that these actions related to the lawyers right ‘of exercising the legal practice’, because they believe “they are professionally trained to deal with such issues”.
According President of the Association, Doros Ioannides, it was beyond belief how someone could ask for the law not to be implemented.
“I cannot imagine that someone in this country would call for the existing legislation not to be implemented. I really cannot believe that someone is offended by the enforcement of the law, unless their interests are being affected,” he told the Cyprus Mail.
Ioannides added that the he was happy with the current situation, confirming that the Registrar was implementing the new interpretation of the law.
The Attorney-general’s office could not be reached for comment yesterday.
