General rule-making power under the Chartered Accountants Act sustains disciplinary procedure rules as ancillary and intra vires.

Rule 9(3)(b) of the Chartered Accountants (Procedure of Investigation of Professional and Other Misconduct and Conduct of Cases) Rules, 2007 was upheld as within the rule-making power under the Chartered Accountants Act, 1949. The Court held that Section 29A(1) confers a general power to make rules for carrying out the Act, while Section 29A(2) is only an illustrative list of specific matters and does not limit that general delegation. Applying the principle that specific enumeration does not curtail a general enabling power, the Court found Rule 9(3) to be ancillary to the disciplinary scheme and consistent with the statute's object, rather than an independent substantive power.

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Issues: Whether Rule 9(3)(b) of the Chartered Accountants' (Procedure of Investigation of Professional and Other Misconduct and Conduct of Cases) Rules, 2007 was inconsistent with, or beyond, the rule-making power conferred by the Chartered Accountants Act, 1949.

Analysis: The statutory scheme under Sections 21, 21A, 21B and 29A of the Act was examined. The Court held that the rule-making power under Section 29A(1) is a general power to carry out the provisions of the Act, while Section 29A(2) is an illustrative list of specific matters and does not restrict the wider general power. Applying the settled principle that specific enumeration does not cut down a general delegation, the Court found that Rule 9(3), which permits the Board of Discipline to close the matter, advise further investigation, proceed under the relevant chapter, or refer the matter to the Disciplinary Committee, is aligned with the object of the disciplinary mechanism and does not create any substantive power outside the Act.

Conclusion: Rule 9(3)(b) was held to be intra vires the Act and within the scope of the Central Government's rule-making power.

Ratio Decidendi: Where an enactment confers a general power to make rules for carrying out its provisions, a subsequent list of specific matters framed "without prejudice to the generality" of that power is illustrative and not restrictive, and a rule will be valid if it remains ancillary to, and consistent with, the parent statute's object.

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