Legal principles relevant in adjudicating cases where subordinate legislation (Rules/Regulations) are challenged on the ground of being ultra vires the parent Act | Rule 9(3)(b) of CA (Procedure of Investigation of Professional and Other Misconduct and Conduct of Cases) Rules, 2007 falls within the scope of the general delegation of power under Sec. 29A of ICAI Act, 1949 – Naresh Chandra Agrawal Vs. The Institute of Chartered Accountants of India and Others – Supreme Court

In this, important judgment on challenging Rules/Regulations ultra virus of main Act, Hon’ble Supreme Court has listed 8 points for adjudicating cases where subordinate legislation (Rules/Regulations) are challenged on the ground of being ‘ultra vires’ the parent Act. Also, Hon’ble Court holds that Rule 9(3)(b) of the Chartered Accountants’ (Procedure of Investigation of Professional and Other Misconduct and Conduct of Cases) Rules, 2007 is not inconsistent with and beyond the rule-making power of the Central Government under Section 29A(1) of ICAI Act, 1949. In this case, the Court also explains the principle of ‘generality vs enumeration’, Section 21 and 21A of ICAI Act, 1949, Rule 9 etc.

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