Every Loan, Every Property, Every Public Asset Depends on a Valuation. Why Is There No Dedicated Statutory Regulator?

Petition to the Government of India, Ministry of Finance, Ministry of Corporate Affairs, Reserve Bank of India, and Members of Parliament.

Valuation is one of the most critical professional services in India's financial ecosystem. Every day, thousands of valuation reports influence lending decisions, insolvency proceedings, taxation matters, mergers and acquisitions, insurance claims, infrastructure projects, land acquisition, judicial proceedings, and public asset management.

Despite its enormous significance, India does not have a dedicated statutory body exclusively responsible for regulating the valuation profession, unlike several other professions that have well-established statutory regulators.

Professionals such as advocates are regulated through the Bar Council, chartered accountants through ICAI, company secretaries through ICSI, and cost accountants through ICMAI. These institutions establish educational standards, regulate professional conduct, enforce ethics, and protect public interest.

The valuation profession deserves similar institutional recognition.

Why This Matters

A valuation report is not merely an opinion—it often determines:

1. Whether a borrower receives a bank loan.
2. The amount of public money that is disbursed by financial institutions.
3. Fair compensation in acquisition cases.
4. Resolution values in insolvency proceedings.
5. Tax liabilities.
6. Business acquisition prices.
7. Investment decisions involving crores of rupees.
   
   Inaccurate or unethical valuations can lead to:

• Financial losses to banks and financial institutions.
• Increased Non-Performing Assets (NPAs).
• Fraudulent lending.
• Litigation.
• Loss of investor confidence.
• Misallocation of public resources.
• Reduced trust in financial markets.
• Because valuation directly influences the country's credit ecosystem, it ultimately impacts the stability of the Indian economy.

Current Challenges

Today, valuation professionals face several structural issues:

• Absence of a single statutory regulator exclusively representing the profession.
• Fragmented regulatory framework across different sectors.
• Lack of uniform professional standards for all valuation assignments.
• Limited institutional representation before the Government.
• Inconsistent disciplinary mechanisms.
• Insufficient continuing professional development.
• No unified voice for protecting the interests of valuation professionals while safeguarding public interest.
  
  
  Our Demand
  
  We respectfully request the Government of India to establish a Statutory Valuation Council of India (or an equivalent statutory regulatory authority) through an Act of Parliament.
  
  

The proposed body should be empowered to:

• Regulate the valuation profession across India.
• Prescribe minimum education and qualification standards.
• Register and license valuation professionals.
• Frame and enforce ethical standards.
• Conduct disciplinary proceedings where required.
• Promote research and innovation in valuation.
• Standardize valuation practices across sectors.
• Issue guidance notes and professional standards.
• Promote continuing professional education.
• Advise the Government on valuation-related policy matters.
• Coordinate with regulators, banks, courts, financial institutions, and public authorities.

Why India Needs This Reform

India is one of the world's fastest-growing economies. As infrastructure expands, real estate markets mature, financial markets deepen, and public assets increase in value, the demand for reliable and independent valuation continues to grow.

A dedicated statutory regulator would:

Strengthen confidence in India's financial system.
Improve transparency and accountability.
Enhance the quality and consistency of valuation reports.
Reduce the risk of fraud and financial misreporting.
Protect lenders, investors, taxpayers, and borrowers.
Elevate valuation as a recognized and respected profession.

This Is a Matter of Public Interest

This petition is not about benefiting a single profession.

It is about protecting the integrity of India's financial system.

Every citizen who takes a home loan, every entrepreneur seeking business finance, every bank that lends public money, every investor, every taxpayer, and every government authority depends—directly or indirectly—on credible valuation.

A strong statutory regulator will enhance public trust, improve governance, and contribute to the long-term stability of India's economy.

Our Appeal

We urge the Government of India to initiate consultations with valuation professionals, financial institutions, regulators, academic institutions, and other stakeholders to establish a dedicated statutory regulatory body for the valuation profession.

The time has come to recognize valuation as a profession of national economic importance.

Please sign this petition and support the creation of a Statutory Valuation Council of India. Together, we can strengthen transparency, accountability, and public confidence in India's financial and valuation ecosystem.