Adeola said the change in ICAN will improve it’s cooperation with both national and international regulatory agencies and other professional associations.
The Senate has passed to second reading, a bill seeking an increase of council members of the Institute of Chartered Accountants of Nigeria (ICAN).
This followed the adoption of a bill titled, “A bill for an act to amend the Institute of Chartered Accountants of Nigeria Act, CAP 15, 1965 and for Related Matters, 2023,” sponsored by Senator Solomon Adeola (APC, Ogun West) during Wednesday’s plenary.
In his lead debate, Adeola noted that the ICAN Act which came into effect on Sept 1, 1965, empowered the Institute to set standards and regulate the practice of Accountancy in Nigeria, in line with developments in the economy and changing needs of chartered accountants.
He claimed that to update the Act to reflect current situations, it has become necessary to change some of its provisions and add new ones over time. According to him, this advancement will guarantee that ICAN maintains its adaptability, forward-thinking, and awareness of national demands.
He noted that every section up for revision addresses matters on accounting practice and every area in which the Act permits a chartered accountant to practise.
“Corporate governance of modern professional accountancy organisations has evolved, hence the need to amend parts of Sections 2, 3, and 6 and insert new Sections 24 to 26.
“For instance, Section 3 of the Act is proposed for amendment because the Council of ICAN started with a twenty-member structure in 1965 when membership was just 250.
“The number was increased to twenty-five subsequently in accordance with the provisions of the Act with a membership strength of over 53,000 today.
“The need to increase the membership of the Council to 36 has become compelling,” he said.
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Adeola assured that the partnerships would promote cooperation, knowledge sharing, and standardisation, ensuring that Nigerian chartered accountants stay up to date with international best practices and their international peers.
The lawmaker stated that improving the Institute’s ability to fulfil its regulatory and compliance responsibility was necessary.
Supporting the bill, Senator Ibrahim Dankwambo (PDP, Gombe North) said the amendment would further help develop the accounting profession in Nigeria.
Senate President Godswill Akpiabio after the second reading of the bill referred it to the Committee on Establishment and Public Service for further legislative input and to report back in three weeks.
