Institute of Chartered Accountants of Jamaica
Encyclopedia
The Institute of Chartered Accountants of Jamaica (ICAJ) is a professional accountancy
body in Jamaica
. It is the sole organisation in Jamaica with the right to award the Chartered Accountant
designation.
The 1968 Public Accountancy Act was the statute for the incorporation of the ICAJ.
In July 1980 the institute bought its property at 8 Ruthven Road, Kingston
for the ICAJ headquarters.
The ICAJ Secretariat facilities were formally opened on 18 January 1995.
The ICAJ Code of Ethics was approved by Council in July 2000.
ICAJ was designated the sole official agent of the Public Accountancy Board by the Ministry of Finance on 7 March 2001.
In the early 2000s there were well-publicized failures of companies such as Enron
and Worldcom in the United States, and Parmalat
in Europe. ICAJ came under pressure to ensure that Jamaican companies could not have similar problems, which should have been caught by auditors. In October 2002 ICAJ announced that is was embarking on a financial system improvement project that would strengthen the enforcement and compliance framework of the accountancy profession in Jamaica and ensure that investors received accurate information.
In November 2004 there was a proposal to make changes to the Money Laundering Act.
According to the opposition, these would give the minister of finance the right to "violate the secrecy laws without any reference to the courts which is the only saving grace between individuals, companies and the overwhelming power of the state".
ICAJ president Linroy Marshall said his organization had not been consulted on the proposal, but expressed serious concern about any move to violate confidentiality between an accountant and their client.
In June 2003, and again in June 2011, ICAJ hosted the ICAC annual meeting. Attendance grew from 300 in 2003 to over 900 in 2011.
(IFRS) as Jamaica's national accounting and auditing standards.
The Inter-American Development Bank
(IDB) provided funding for a three-year program to implement and ensure compliance with these standards.
The move brought Jamaica in line with European standards, but at first meant that companies filing their financial reports with the U.S. Securities and Exchange Commission (SEC) would have to reconcile their figures to Generally Accepted Accounting Practices (GAAP) and highlight the differences from IFRS. In June 2007 the SEC allowed companies to file using IFRS, removing the burden of reconciliation.
(ACCA) allows ICAJ to administer local examinations for the ACCA qualifications.
In October 2001 ICAJ signed an agreement with the Association of Accounting Technicians
(AAT) for ICAJ to provide services to AAT students locally.
In January 2005, ICAJ and the University of the West Indies
(Mona Campus) signed an agreement to review and monitor the university's MSc Accounting program to ensure it meets international standards.
In June 2006, ICAJ signed an agreement with Certified General Accountants of Canada to recognize the CGA designation as an entry qualification for accounting students. This was in line with ICAJ's goal for accountants to be mobile within the region and for Jamaica to stay competitive within the Caribbean Single Market.
The CARICOM Single Market and Economy agreement would allow Jamaicans to work in other member states, but not to transfer their pensions. The ICAJ was involved in discussions on how to make pensions portable.
ICAJ is a member of the International Federation of Accountants
(IFAC).
ICAJ is also a member of the Institute of Chartered Accountants of the Caribbean
(ICAC).
Accountancy
Accountancy is the process of communicating financial information about a business entity to users such as shareholders and managers. The communication is generally in the form of financial statements that show in money terms the economic resources under the control of management; the art lies in...
body in Jamaica
Jamaica
Jamaica is an island nation of the Greater Antilles, in length, up to in width and 10,990 square kilometres in area. It is situated in the Caribbean Sea, about south of Cuba, and west of Hispaniola, the island harbouring the nation-states Haiti and the Dominican Republic...
. It is the sole organisation in Jamaica with the right to award the Chartered Accountant
Chartered Accountant
Chartered Accountants were the first accountants to form a professional body, initially established in Britain in 1854. The Edinburgh Society of Accountants , the Glasgow Institute of Accountants and Actuaries and the Aberdeen Society of Accountants were each granted a royal charter almost from...
designation.
History
ICAJ was established in 1965, three years after Jamaica gained its independence.The 1968 Public Accountancy Act was the statute for the incorporation of the ICAJ.
In July 1980 the institute bought its property at 8 Ruthven Road, Kingston
Kingston, Jamaica
Kingston is the capital and largest city of Jamaica, located on the southeastern coast of the island. It faces a natural harbour protected by the Palisadoes, a long sand spit which connects the town of Port Royal and the Norman Manley International Airport to the rest of the island...
for the ICAJ headquarters.
The ICAJ Secretariat facilities were formally opened on 18 January 1995.
The ICAJ Code of Ethics was approved by Council in July 2000.
ICAJ was designated the sole official agent of the Public Accountancy Board by the Ministry of Finance on 7 March 2001.
In the early 2000s there were well-publicized failures of companies such as Enron
Enron
Enron Corporation was an American energy, commodities, and services company based in Houston, Texas. Before its bankruptcy on December 2, 2001, Enron employed approximately 22,000 staff and was one of the world's leading electricity, natural gas, communications, and pulp and paper companies, with...
and Worldcom in the United States, and Parmalat
Parmalat
Parmalat SpA is a multinational Italian dairy and food corporation. Having become the leading global company in the production of ultra high temperature milk, the company collapsed in 2003 with a €14 billion hole in its accounts in what remains Europe's biggest bankruptcy...
in Europe. ICAJ came under pressure to ensure that Jamaican companies could not have similar problems, which should have been caught by auditors. In October 2002 ICAJ announced that is was embarking on a financial system improvement project that would strengthen the enforcement and compliance framework of the accountancy profession in Jamaica and ensure that investors received accurate information.
In November 2004 there was a proposal to make changes to the Money Laundering Act.
According to the opposition, these would give the minister of finance the right to "violate the secrecy laws without any reference to the courts which is the only saving grace between individuals, companies and the overwhelming power of the state".
ICAJ president Linroy Marshall said his organization had not been consulted on the proposal, but expressed serious concern about any move to violate confidentiality between an accountant and their client.
In June 2003, and again in June 2011, ICAJ hosted the ICAC annual meeting. Attendance grew from 300 in 2003 to over 900 in 2011.
Standards
On 1 July 2002 ICAJ adopted International Accounting Standards (IAS) and International Financial Reporting StandardsInternational Financial Reporting Standards
International Financial Reporting Standards are principles-based standards, interpretations and the framework adopted by the International Accounting Standards Board ....
(IFRS) as Jamaica's national accounting and auditing standards.
The Inter-American Development Bank
Inter-American Development Bank
The Inter-American Development Bank is the largest source of development financing for Latin America and the Caribbean...
(IDB) provided funding for a three-year program to implement and ensure compliance with these standards.
The move brought Jamaica in line with European standards, but at first meant that companies filing their financial reports with the U.S. Securities and Exchange Commission (SEC) would have to reconcile their figures to Generally Accepted Accounting Practices (GAAP) and highlight the differences from IFRS. In June 2007 the SEC allowed companies to file using IFRS, removing the burden of reconciliation.
Agreements with other organizations
A long-standing agreement with the Association of Chartered Certified AccountantsAssociation of Chartered Certified Accountants
Founded in 1904, the Association of Chartered Certified Accountants is the global body for professional accountants offering the Chartered Certified Accountant qualification . it is one of the largest and fastest-growing global accountancy bodies with 147,000 members and 424,000 students in 170...
(ACCA) allows ICAJ to administer local examinations for the ACCA qualifications.
In October 2001 ICAJ signed an agreement with the Association of Accounting Technicians
Association of Accounting Technicians
The Association of Accounting Technicians, or AAT, is an accountancy organisation with over 120,000 members worldwide. The AAT is a technician level qualification which entitles those who have completed the exams and obtained relevant supervised work experience to call themselves associate...
(AAT) for ICAJ to provide services to AAT students locally.
In January 2005, ICAJ and the University of the West Indies
University of the West Indies
The University of the West Indies , is an autonomous regional institution supported by and serving 17 English-speaking countries and territories in the Caribbean: Anguilla, Antigua and Barbuda, The Bahamas, Barbados, Belize, Bermuda, the British Virgin Islands, the Cayman Islands, Dominica,...
(Mona Campus) signed an agreement to review and monitor the university's MSc Accounting program to ensure it meets international standards.
In June 2006, ICAJ signed an agreement with Certified General Accountants of Canada to recognize the CGA designation as an entry qualification for accounting students. This was in line with ICAJ's goal for accountants to be mobile within the region and for Jamaica to stay competitive within the Caribbean Single Market.
The CARICOM Single Market and Economy agreement would allow Jamaicans to work in other member states, but not to transfer their pensions. The ICAJ was involved in discussions on how to make pensions portable.
ICAJ is a member of the International Federation of Accountants
International Federation of Accountants
International Federation of Accountants is the global organization for the accountancy profession. IFAC has 164 member and associates in 124 countries and jurisdictions, representing more than 2.5 million accountants employed in public practice, industry and commerce, government, and academe...
(IFAC).
ICAJ is also a member of the Institute of Chartered Accountants of the Caribbean
Institute of Chartered Accountants of the Caribbean
The Institute of Chartered Accountants of the Caribbean is an association of accounting organizations in the Caribbean region that promotes professionalism and standards of best practice in the region.-Purpose:...
(ICAC).