Sections 24 and 24A explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Sections 24 and 24A are the penal provisions that protect the title and the name of the Institute. Section 24 punishes anyone who falsely claims to be a member, uses the designation Chartered Accountant without being one, or holds himself out as in practice without a certificate of practice. Section 24A punishes misuse of the Institute's name or seal, awarding look-alike qualifications and trying to regulate the profession. This article follows the text as per the Act as printed in the ICAI edition of 2022 (amended up to the Chartered Accountants, the Cost and Works Accountants and the Company Secretaries (Amendment) Act, 2022).
Under section 24, a non-member who claims membership or uses the designation Chartered Accountant, and a member without a certificate of practice who represents that he is in practice, is punishable on first conviction with a fine up to one lakh rupees, and on a later conviction with imprisonment up to six months, or fine up to five lakh rupees, or both. Section 24A punishes name or seal misuse, look-alike degrees and attempts to regulate the profession with imprisonment up to six months, or a fine of not less than one lakh and up to five lakh rupees, or both, on first conviction. The higher fines are in force from 10 May 2022.
Why these sections matter
A chartered accountant's title, and the right to practise, are protected by the Act. Section 24 protects the title and the practising status. Section 24A protects the Institute's identity and its place as the regulator. Together they reach the unqualified person who calls himself a CA, the member who practises without a certificate, and the body that issues certificates that sound like the Institute's own.
A prosecution under the Act needs a complaint by, or under the order of, the Council or the Central Government (section 28), explained in our article on sections 27 and 28. If you have received a notice alleging misuse of the title, or need to send one, our legal notice drafting team can help you frame it against the text of the Act.
Section 24: who is caught
Section 24 covers two groups.
Group (i): a person who is not a member of the Institute and:
- (a) represents that he is a member of the Institute; or
- (b) uses the designation Chartered Accountant.
Group (ii): a member of the Institute who does not have a certificate of practice and represents that he is in practice or practises as a chartered accountant.
The second group is the one members overlook. A person who has passed and holds membership but has not obtained a certificate of practice cannot say he is in practice. Our article on section 6 and the certificate of practice explains the certificate, and the one on section 2(2) explains when a member is deemed to be in practice.
The punishment under section 24
| Conviction | Punishment |
|---|---|
| First | Fine which may extend to one lakh rupees |
| Any subsequent | Imprisonment which may extend to six months, or fine which may extend to five lakh rupees, or both |
The fine amounts were raised by the 2022 Amendment Act and the change is in force from 10 May 2022. Note that on first conviction the section prescribes a fine only, not imprisonment.
Section 24A: using the Institute's name, awarding degrees
Section 24A(1). Save as otherwise provided in the Act, no person shall:
- use a name or the common seal which is identical with the name or the common seal of the Institute, or so nearly resembles it as to deceive or as is likely to deceive the public;
- award any degree, diploma or certificate, or bestow any designation, which indicates or purports to indicate the position or attainment of any qualification or competence similar to that of a member of the Institute; or
- seek to regulate in any manner whatsoever the profession of chartered accountants.
Section 24A(2): punishment. A person who contravenes sub-section (1) shall, without prejudice to any other proceedings that may be taken against him:
| Conviction | Punishment |
|---|---|
| First | Imprisonment up to six months, or fine of not less than one lakh rupees and up to five lakh rupees, or both |
| Second or subsequent | Imprisonment up to one year, or fine of not less than two lakh rupees and up to ten lakh rupees, or both |
The minimum fine and the imprisonment option are new in the sense that the 2022 Act substituted the earlier wording, in force from 10 May 2022. Sub-section (3) is printed in the edition as an omitted blank.
Note the difference from section 24: section 24A carries a floor on the fine, and a first conviction can mean imprisonment.
Examples
A non-member. Rakesh Bansal has not qualified. He prints visiting cards saying "Chartered Accountant" and tells a client he is a member. Section 24(i)(a) and (b) are both in play. On first conviction the section prescribes a fine which may extend to one lakh rupees.
A member without a certificate. CA Neha Joshi is a member but has no certificate of practice. She signs a proposal letter as "practising Chartered Accountant". Section 24(ii) applies to a member who represents that he is in practice without a certificate.
A look-alike body. An institute that is not connected to the Institute awards a "Certified Accounting Professional" diploma and uses a seal closely resembling the Institute's. Section 24A(1)(i) and (ii) deal with the resembling seal and with a designation indicating competence similar to a member's. The text gives no checklist for when a name "so nearly resembles" the Institute's as to deceive; it uses the test of deceiving or being likely to deceive the public.
Disciplinary action is separate
A member who falls under section 24(ii) may also face proceedings under the disciplinary chapter, since contravening the Act is an item in Part II of the Second Schedule. The criminal route and the disciplinary route are separate; section 24A(2) itself says it is without prejudice to other proceedings. Our article on section 22 and what misconduct means explains the link to the Schedules.
Commencement note
Sections 24 and 24A are in force as printed, including the 2022 fines from 10 May 2022. Later amendments and notifications should be checked.
Need help with a notice on misuse of the title?
If someone is using the title or the Institute's name without entitlement, or you have been accused of it, the wording of the notice and the reply matter. Our legal notice drafting service can prepare or review the notice against the sections explained above.
Key takeaways
- Section 24 punishes false claims of membership, use of the designation Chartered Accountant by a non-member, and claiming to be in practice without a certificate.
- First conviction under section 24: fine up to one lakh rupees. Later: imprisonment up to six months, or fine up to five lakh rupees, or both.
- Section 24A covers name or seal misuse, look-alike degrees and regulating the profession, with a minimum fine of one lakh rupees on first conviction.
- Both sets of higher fines are in force from 10 May 2022.
Read next
- Section 25: companies not to engage in accountancy
- Section 26: unqualified persons not to sign documents
- Section 6: certificate of practice
- Cost Accountants Act, 1959: sections 23 to 25
Disclaimer: Based on the Chartered Accountants Act, 1949 as printed in the ICAI edition of 2022 (amended up to Act 12 of 2022), read with S.O. 2184(E) dated 10 May 2022, which brought only part of the 2022 amendments into force, as consulted on 3 October 2026. Regulations, rules, Council guidelines, later amendments and commencement notifications should be checked. This article is general information, not legal advice; check the official text before acting.