CPT-PCC: Was it a failure???

In September 2006, when PE I was replaced by CPT (a course which required just two months after 10+2 when compared to ten months of PEI), it was clear that ICAI wanted to make CA as competitve as other courses. If a candidate cleared all levels in first attempt, he could qualify CA in four years after 10+2 when compared to 5 years for an MBA. It was a good vision indeed and the response was equally good. Last December itself there were about 95000 candidates appearing for CPT while hardly 30000 candidated appeared for PEI. The reason for increasing student intake was clear- meeting the excessive demand for Chartered Accountants.

The first batch of CPT produced astonishing results. With about pass percentage touching a never before seen 60, ICAI must have patted its back. The enrolments increased and ICAI had to increase the number of articles a CA could train in order to accomodate the increasing number students being eligible for articles.

What made ICAI rethink and almost roll back to previous scheme?

No doubt the student intake increased and probably the demand supply gap would have been met. When the CPT regime began, ICAI had assured that Quality would not be compromised. But why a shift again in just two years??

The prima facie reason seems to be the inability of most of CPT passed candidates to deliver results expected out of them. A PE II qualified student is supposed to be much mature and has a greater knowledge quotient then a CPT passed student. This may not be true for all cases but for 95% of cases it is.

They presumably did not deliver what was expected of them and many CAs did reject them. Given the fact that CPT syllabus mostly comprised of 10+2 Syllabus, the students cannot be expected to deliver more than what they are trained for.

Suddenly all fresh articles had to be CPT students and there was a dearth of articles who could perform equally good as PE II students. This meant much of a firm's resource had to be diverted in guiding fresh students. No doubt CPT students required more guidance and attention than PE II students.

After much thought ICAI almost rolled back to erstwhile scheme within two years of introduction of New Scheme. The latest scheme requires that a candidate must pass Group I of IPCC (Integrated Professional Compentency Course) to be eligible for articles. It also requires 9 months of study period after CPT. This means a candidate will roughly have one year and three months after his 10+2 before he joins articleship. Also the subjects of Group I ( Accounts, Audit and Law) shall equip students better for audits.

The scheme is still attractive. The course will take a little over four years. Hopefully this scheme works out for ICAI and we dont see such ad hoc changes again.


Accounting Technician Course
Getting into CA is easy but getting out is not. Keeping this in mind probably ICAI launched Accounting Technician Course for those students who unluckily could not see their dreams coming true. A ATC passed student may again enrol for final for which he has to clear Group II of IPCC and Articleship requirements.