Pradeep Nandrajog, J.

1. A complaint dated December 26, 2000 was received by the Council from the Assistant General Manager, State Bank of India, New Delhi against G.S. Jauhar & Co. of which the respondent was a partner alleging that acting on behalf of the partnership firm which was the Statutory Auditor of M/s. Pertech Computers Ltd. (hereinafter referred to as PCL), while carrying out the audit the respondent was guilty of various acts of commission and omission and thus action needs to be taken against the respondent for professional misconduct. Respondent admitted being incharge of the audit team.

2. Briefly put, the complaint was to the effect that various financial institutions and banks, including the complainant bank (acting in a consortium), sanctioned and granted various capital facilities from time to time to PCL in respect of its business of marketing computers and software. That as per terms of the sanction of the capital it was incumbent upon PCL to ensure that drawings on the account were covered by the advance value of the stock hypothecated to the complainant bank. Various banks and financial institutions had also extended financial assistance to M/s. Alto