First attempt at localising imperial accountancy: the case of the Institute of Chartered Accountants of Jamaica (ICAJ) (1950s–1970s)

Critical Perspectives on Accounting 16 (2005) 995–1018

First attempt at localising imperial accountancy: the case of the Institute of Chartered Accountants of Jamaica (ICAJ) (1950s–1970s)夽 Owolabi M. Bakre Department of Management Studies, University of the West Indies, Mona, Kingston 7, Jamaica, West Indies Received 26 January 2002; received in revised form 1 January 2004; accepted 12 February 2004

Abstract Within the context of capitalism and cultural imperialism, this paper will critically examine the postindependence aspirations of the Jamaican government and accountants, in establishing an independent professional body, devoid of any foreign influence, particularly from the former colonial power. This was attempted by forming the Institute of Chartered Accountants of Jamaica (ICAJ), which was expected to be capable of examining and credentialing future Jamaican accountants. These efforts, however, were not without conflicts among local capitalist elites and global capitalist elites, with each group representing various sets of interests. The paper examines, on the basis of available evidence, the nature of these conflicts, and the extent to which the Institute of Chartered Accounts of Jamaica (ICAJ) was able to achieve independence from former colonial accounting bodies such as the UKbased Association of Certified and Corporate Accountants (ACCA). © 2004 Elsevier Ltd. All rights reserved. Keywords: The Institute of Chartered Accountants of Jamaica; The UK-based Association of Certified Chartered Accountants; Capitalism; Cultural imperialism; Localisation; Internationalisation; Professionalisation; Conflict of identity; Global capitalist elite; Local capitalist elite

1. Introduction During the colonial era, the practice of accountancy in Jamaica was firmly under the control of some foreign professional bodies, in which those from the UK were dominant 夽 Revised article of a conference paper presented at “Critical Perspectives on Accounting”, New York, 25–28 April 2002. E-mail address: [email protected] (O.M. Bakre).

1045-2354/$ – see front matter © 2004 Elsevier Ltd. All rights reserved. doi:10.1016/j.cpa.2004.02.007

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(Salmon, 1998). The consequence of this development in colonial Jamaica was that the Black majority in the country had been denied the opportunity of becoming qualified accountants, let alone to practise as chartered accountants in their own country (Rattray, 1963a, 1963b). The existing colonial accounting firms refused to article Afro-Jamaicans, and advised them that the policies of their parent bodies in England required that they travel to England to get articled in order to become qualified accountants (Rattray, 1963a, 1963b). Paradoxically, the same parent bodies in England consistently refused to article ‘non-white’ students all over the world on the racial excuse that such students would not be acceptable to their London clients (Smith, 1962). As for the Jamaicans, the attitude of the colonial government made the matter worse, as it refused to employ even the few Afro-Jamaicans who were able to cross the hurdle and became qualified accountants (Nunes, 1962). In order to address this issue, at independence, it was the aspiration of the new Jamaican government and the Jamaican accountants to bring about radical changes in the island’s accounting profession. As a result, the new independent government of Jamaica and the Jamaican accountants sought to put in place a new Jamaican accounting professional body the Institute of Chartered Accountants of Jamaica (ICAJ), to replace all forms of colonial bodies operating in the island. It was further felt that the proposed Jamaican body, ICAJ, should set its own professional examinations and credential prospective Jamaican accountants. In order to achieve this post-independence national objective, it decided to enact a national accountancy law. The proposed national accountancy law was to incorporate a clause, which would guarantee the conduct of local examinations and also protect the interest of the Jamaican accountants against any external encroachments. While these two objectives were the main issues that led to the enactment of the national accountancy law of 1968, the finally enacted national accountancy law became silent on these same issues. Instead, the clause contained in the enacted national accountancy law of 1968, now effectively empowered the ICAJ, if it deems fit, to seek external examinations and credentialing of prospective Jamaican accountants (see the Public Accountancy Law, 1968). As the main purpose of the national accountancy law seemed to have been defeated by the clause, the majority accountants in Jamaica had no choice than to again, identify the UK-based ACCA out of many foreign professional bodies in the island to see them through to independence in the profession.1 At the initial stage of the negotiation between the newly established ICAJ and the ACCA, the ACCA had agreed in principle to see the ICAJ through to independence in the profession. However, having gained its full control over the institution of the ICAJ, the ACCA had to change its earlier commitments from a ‘caretaker’ of the ICAJ, to the ‘landlord’ of the ICAJ against the spirit of the establishment of the ICAJ. The ACCA’s inconsistency, continued to receive the support of the minority but powerful global capitalist elite members of the ICAJ who supported the internationalisation of the profession particularly under the control of the UK-based ACCA. On one hand, the position of the ACCA had attracted criticisms from the majority local capitalist elite members of the ICAJ, who supported the full localisation of the profession in Jamaica. This ‘controversial 1 This was against the spirit behind the enactment of the national accountancy law (see Minute No. 35 from the Committee of Proposed Accountancy Law, to the Honorable Minister, Ministry of Trade and Industry, February 5, 1963).

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clause’ in the finally enacted national accountancy law of 1968, has given the minority, the legal backing to continue to defend the status quo. This minority, comprising of a few but powerful and influential global capitalist elite members of the ICAJ, felt that the ICAJ should continue to adopt the ACCA’s examinations, since the ICAJ was formed over three decades ago. The next section, undertakes the analysis, by using capitalism and cultural imperialism as the ‘lens’ and the ‘map’ to guide the complexities surrounding the investigation. It then goes on to demonstrate the consequences of the nexus—capitalism and cultural imperialism on the colonised and how this brings about group conflict and affects identity formation, between elite groups of local and global capitalists in former colonised societies. Section 3 further links the consequences of capitalism and imperialism on the colonised societies, to the specific case of conflict of identity in colonial Jamaica. Section 4 carries the examination further to discuss the specific case of these kinds of conflicts while attempting to localise the accounting profession in Jamaica just before and after independence from England. These conflicts took place between the ‘certified’ and ‘chartered’ elite groups competing for the control of the ICAJ. Section 5, broadens the analysis by looking at prior studies conducted on several other former colonised countries. Sections 6 analyses the ICAJ’s attempts at proffesionalisation. While Section 7 analyses the problems found with the Public Accountancy Law that was established to protect the interests of Jamaican accountants. Here, an analysis of this law and its relationship with the ICAJ is undertaken, followed by the relationship of that same body and its level of influence incurred by the foreign ‘parent’ body, the UK-based ACCA. Focusing on the role played by the ACCA and the ICAEW, Section 8, pays particular attention to the nature of the colonial relationship in the ICAJ’s efforts at becoming an independent accounting body. Section 9 concludes the paper in the form of summary.

2. Capitalism, imperialism and accountancy in colonised societies The requirements of capital accumulation and the resultant competition for capital inflow to smooth the part of capital development in the capitalist state, have led to colonisation and imperial tendencies of the colonialist and capitalists (Lenin, 1947). As a background to achieve the above exploitative objective by the colonialists and capitalists, cultural change becomes a dynamic tool to set the pace for other exploitative tendencies to follow (Alleyne, 1988). The above analysis suggests that colonialism and imperialism are all products of capitalism, while cultural change is the main roadmap that paves the way for the realisation of these exploitative objectives of the colonisers and the capitalists in the colonies. However, for capitalism to work as a system of accumulation in the colonies there is a need to have local capitalists who share the same worldview and ideology with the metropolitan capitalists (Petras et al., 1981). As a result, capitalism as a system within the colonies had two dominant classes: firstly the metropolitan capitalists or bourgeoisie who owned the major means of production and secondly their local collaborators. The tendency of capitalism from the colonisers and their capitalists’ perspectives was one of competition, elimination and monopoly (Johnson and Cargill, 1971). Therefore, when the imperialist stage was reached, the metropolitan capitalists had no intention of allowing rivals

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to arise in the dependencies. As a consequence, the intention of the metropolitan capitalists was for the dependencies capitalists to continue to defend the status quo in their respective colonies, even after the independence and not to be rivals at all. In this context, professional accounting bodies, accounting firms and accountants locally and internationally, watch over capital (Sikka, 2001). Accountants check and control the processes associated with the enlargement of capital (Johnson, 1980). In order to meet the above capitalistic objectives in the metropole, the professional bodies’ structures are legitimised by the state and seek to assure the public that capitalism is not corrupt. This metropolitan legitimacy gives these capitalist professional bodies the power to roam about the globe in search of local partners in the process of enlargement of capital (Lenin, 1947). On reaching their territory and in order for colonialism and capitalism to be regarded as normal for the primary purpose of capital accumulation, the capitalist colonisers introduces the use of its language in its colonies in many important sectors like education, administration and environment (Lindsay, 1981). The extent of linguistic colonisation can go from a marginal use to a total use of the coloniser/capitalist language in those three sectors of the colonised societies. With the wide diffusion of the coloniser’s language, the scene was set for an extensive spread of other cultural symbols among the people under occupation.2 The colonisers frequently tried to convey the impression that its own culture and institutions represented the ultimate culmination of a stream of human progress (Beckford, 1972). Consequently, to be socialised into the acceptance of beliefs proclaiming their own inferiority and insignificance, the colonised had first of all to experience waves of indoctrination. Such indoctrination promotes hero-images of European and Euro-American cultures, while at the same time establishing Afro-Asian cultures as the polar opposites of all that was good, desirable and useful (Biersteker, 1981). As Lindsay (1981) asserts: In all of this, it is clear that the inferiority complexes generated among non-western peoples from the use of “condensation symbol3 ” are part and parcel of the same processes, which produced the superiority complexes of metropolitan rulers and citizens. (p. 19) Thus, cultural imperialism was in part a rationalisation of domination of other peoples, often based on the perceived inferiority of the colonised “race” (Said, 1993). The ideology depicted the coloniser’s role as that of a mother caring for her children, and further emphasised that the survival of the child was very much dependent on the child’s association and reliance on the mother (Alleyne, 1988). This maternalism not only explained the coloniser’s dominance, but also guaranteed assistance to all the Empire’s subjects. As Fryer (1988), quoting from the book Black Jamaica written by an Englishman, reports: (The) black man . . . on the eve of emancipation was a child, ignorant, helpless, irresponsible. His mind was dark and stagnant, moving, if at all, to the blind impulses of superstition and fear, the advancement of the Negro is contingent on his association with the white race . . .. Without the stimulus of this factor he cannot better himself. (p. 6) 2 The colonised were also exposed through Christian missions to the Christian religious beliefs, which may lead to their eventual conversion (Rodney, 1982). 3 Devices, which evoke particular kinds of emotional responses to, prescribed objects or actions.

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Thus, maternalism was clearly a major factor in imperial ideology (Lindsay, 1981). Within this framework, the domination of the colonised could be justified, through its analogy to the pedagogical and necessarily inequitable nature of the mother–child relationship (Jackson, 1985). The most efficient method of ensuring obedient subordinates was through the latter’s consent, their acceptance of the moral authority and legitimacy of the very institutions that oppressed them (Fanon, 1967). As a result, maternalism was premised on the unquestioning acceptance by the colonised of the unequal relationship. Consequently, the colonised came to believe that the socio-political, economic and cultural attributes associated with people of European descent were inherently more valuable than those linked with those of their original descent (Anderson, 1998). The internalisation of the white supremacist mythology led to an appropriation of the coloniser’s ideology as that of the colonised (Anil, 1968). The original history of the colonised was internalised (Anderson, 1998), and the intellectual, cultural and social inferiority of the colonised generally accepted (Gosovic, 2000). The above colonial influence has resulted in the coloniser’s culture and life style being fully absorbed by the colonised. However, as the independence approached, the colonised that held critical administrative posts started gaining important place in the colonial administration. Given their political strength and their role in establishing the post-independence colony, they were able to force the Europeans to bargain with them for a share of power in the local socio-political and economic development (Keith and Keith, 1988). This development has placed these colonised people in positions of power, making them an influential elite group in a given colonised society, particularly after the independence. While these elite and the entire colonised may be united in their subordination to the cultural values of the colonisers during colonisation; the post-colonisation era has witnessed divergence and conflict of interest within this group and the entire colonised. This was due to the post-independence emergence of a nationalist elite group who did not favour the onslaught of the colonial and foreign capital on the local capital. As a consequence, capitalism and cultural imperialism have succeeded in producing two major opposing elite groups of conflicting identities in the post-independence socio-political and economic development of most former colonised societies (Hall and Du Gay, 1996). The first elite groups are those nationals whose lifestyle continued to be dictated by their colonial past and, therefore, would prefer to continue to defend the status quo, and would do anything possible to sustain their position within a given society, association, occupation or profession. This elite group mediates between ‘their people’ and the principal capitalist institutions, the colonial power bloc, and other foreign global capitalist group. This elite group was of the view that the societal culture ought to be shaped by the assimilation of the colonial, and other Western capitalist cultures and the identity ought to be a product of such negotiations. As Hall and Du Gay (1996) put it: The group is of the opinion that cultures that have provided the horizon of meaning for large numbers of human beings, of diverse characters and temperaments, over a long period of time . . . are almost certain to have something that deserves our admiration and respect. (p. 57) The second elite group is the opposing group in the society, association, occupation or profession, with the view that there was a need to find a new compromise. Such a compromise

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would not sacrifice the local culture, but would give the society a new identity in changing times. As Ozal (1992) puts it: This group is of the view that the days of imposing one’s own elitist values on the masses are over. Values, which have been borrowed in a wholesale manner in the guise of universalism and expressed in a foreign or at best in hybrid idiom . . .. In no way does this approach, deny the universal features of culture. It only emphasises that no people can be creative unless it draws its strength mainly from its own cultural heritage through an intensive updating and upgrading of effort. (p. 310) Thus, within a given society, association, occupation or profession, elite factions do exist. There are conflicts of policy and individual ambitions do clash (Mills, 1956). However, within this conflict, if an external capitalist pursuing its own global economic interest became a mediator between the groups in cultural conflict, the ingredients were available for the external capitalist to manipulate social categories and material resources of the entire society (Alleyne, 1988). This could give the mediator the opportunity to keep the entire population economically, culturally and professionally subordinate to, and dependent upon, its own cultural and professional institutions (Nettleford, 1978). Jamaica, being a former colonised nation, suggests that its socio-economic, political and cultural developments can be better located within neo-colonial processes. In this sense, Jamaica is no exception here. The next section therefore examines the consequences of capitalism and imperialism on the identity formation in colonial Jamaica.

3. Capitalism, imperialism and the conflict of identity in colonial Jamaica The consequences of capitalism characteristic of imperial rule in colonial Jamaica, as with many other former colonies, was characterised by racially based social inequality, exploitation and oppression. A critical mechanism to manage these relations had involved selective co-option and grooming of a class ‘who may be interpreters between us and the millions whom we govern’ (Rodney, 1982). These were a class of persons, AfroJamaicans in blood and colour but British in tastes, in opinions, in morals and intellect. This ‘Afro-Saxon’ class needed to be educated and ultimately it was being educated to rule and in the process, to also continue to defend the status quo in the neo-colonialist socio-political and economic development in Jamaica (Hadley, 1949). As a result, this class was not only taught to read and write in English, but in the process it was also taught how to think in the best British critical traditions (Norris, 1966). Inevitably, this class discovered the contradictions between that which the great British thinkers had had to say about those fundamentals of the British society and culture: equality, liberty and brotherhood, and the hypothetical, oppressive, racist institutions of the British colonialism under which they were made to suffer (Garvey, 1916). They drew inspirations from the western political writings on democracy, nationhood and socialism (Norris, 1966). The above exploitative and oppressive colonial environment in Jamaica has given rise to the emergence of two sets of elites after the Jamaican independence. First, were, the colonial minded Jamaicans who continue to defend the old status quo. The second group were other Jamaicans, who were against colonisation and perpetrating of colonial ideas,

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especially in the post-independence Jamaica have risen to challenge the old colonial status quo. Consequently, the former colonial elites, as members of the global capitalist elites, tried to build Jamaica as a home away from home for Americans and Europeans, whereas, the local capitalist elite would have wanted Jamaica to be a comfortable place for Jamaicans. The global capitalist elite based their view of the world on the premise that Jamaicans are “deficient” and must learn to think, speak, dress, furnish their homes, and have industries like their rich relations and the ‘mother country’ (Norris, 1966). Anything less is uncivilised, crude, “not decent”, and “not right”. While, the local capitalist elite’s view is that Jamaica has the capacity for developing a unique and immensely rich civilisation of her own (Nettleford, 1989; Stone, 1989). The local capitalist elite is also of the opinion that the global capitalist elite view that Jamaica should strive away from her own potential and towards an imported standard, is often misunderstood and applied out of context. The contribution of a truly Jamaican global capitalist elite to the human experience lies in the culture and in the social mores they have developed through a long history of harsh economic circumstances and social alienation (Norris, 1966). The local capitalist elite, however, believes that such contribution is irrelevant to the developmental requirements of independent Jamaica (Stone, 1989). The antagonism between these two post-independence elite groups continued to be characterised by conflicts of interest (Gordon, 2000). These conflicts of interest have continued to give opportunity to some foreign global capitalists to penetrate and pursue their own economic interest in Jamaica at the expense of the two elite groups and the general interest of the society at large (Nettleford, 1989). The accounting profession in Jamaica did not develop in isolation of colonial and global political economy. Colonialism and its concurrent racial and socially stratified organisation had influenced the emergence of accounting education, training and the profession in colonial Jamaica, and had significant impact in the development of local accountancy after independence. These factors were critical in the nature of the struggle and conflicts, which developed among and between distinct groups of capitalists in Jamaica—the local capitalist elites and the global capitalist elites. A struggle ensued between the ‘certified’ and ‘chartered’ accountants, competing for control of the post-independence Institute of Chartered Accountants of Jamaica (ICAJ).

4. Localising the accounting profession in post-independence Jamaica: conflict and struggle for control between the chartered and certified elite group As mentioned earlier, the Institute of Chartered Accountants of Jamaica (ICAJ) was the first attempt at local accountants to structurally sever colonial ties and establish themselves independently. Prior to its formation in 1965, there was no single body to articulate the views of the profession (Gordon, 2000). Instead, there were three autonomous associations. While there were some Jamaicans who had sat the professional examinations in England, most of the qualified accountants were expatriates mostly from the United Kingdom or North America. The Society of Chartered Accountants represented the latter group. The second body, the Jamaican District Society of the Association of Certified and Corporate Accountants, comprised persons who had qualified locally, in some cases, while working

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under the supervision of a chartered accountant, in circumstances not unlike those of the now defunct legal system of article-ship. The third group, the Association of Accountants of Jamaica Incorporated (AAJI), was affiliated to a small English body. However, the locally qualified practitioners were divided into two major elite groups. The first of these elite groups was made up of those practitioners who wished to see total independence of the profession in terms of examination and credentialing.4 The other group was made up of those practitioners who felt the profession should continue to be an affiliate of the UK-based ACCA.5 As Gordon (2000) observes: Within the ranks of the Association of locally qualified practitioners, was a group known as the ‘Young Turks’. This group militantly opposed the idea of approaching independence, with a profession not only dependent, but divided, and having no local authority to impose discipline. (p. 12) When it was proposed to establish the ICAJ, which could unify the opposing groups, conflicts of interest and tension became apparent in meetings and negotiation between these two elite groups in the profession. The first president of the ICAJ, William Thwaites, recalled his experience in the first 25 years of the ICAJ, in a talk with John Jackson (Thwaites, 1990): It was the culmination of about four years of very solid and sometimes acrimonious arguments and discussion between the Association of Certified Accountants and the Society of Chartered Accountants, that is, the two bodies that were represented by members in the island. Needless to say, each one and each person who was in practice, or if not in practice, in business, in Jamaica had very strong ideas about how the thing should be formulated, what the rules should be. The whole gamut of things that went to do with it, which finally wound up with Phil Ogle and myself leading the ‘pack’. He on the ‘Certified’ Association side, and me from the ‘Chartered’ side and the two of us generally raised ‘holy hell’ with everybody until we got our way and had the Institute and its Constitution formed. (Emphasis added, p. 5) Thus, the 1998/99 ICAJ President, Gordon (2000) noted: The road to the establishment of the ICAJ was far from smooth, as the parties involved could not arrive at consensus as to how to proceed. The “Certified” group felt that new legislation was necessary, in the form of a Public Accountancy Act to regulate the practice of the profession. Conversely, the members of the ‘Chartered’ Association were in favour of the English model, which had a special section in the Companies Act to prescribe qualifications for auditors. (p. 12) In fact, to put in place the Public Accountancy Act (PAA) that could guide the operations of the proposed ICAJ, again, became a matter of conflict between the local and global capitalist elite groups. While the local capitalist elite wanted the PAA to guarantee professional independence in Jamaica, the global capitalist elite wanted the PAA to continue to defend the status quo. 4 5

The ‘Certified’ group represented by the local capitalist elite members of the ICAJ. The ‘Chartered’ group represented by the global capitalists elite members of the ICAJ.

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This situation of positioning accounting within colonial processes and the ensuing postindependence conflict of identity is not peculiar to the Jamaican situation alone. It has become a recurring situation in many colonised countries after independence. In this context examining some prior studies that have also adopted the above theories will give light to the positioning of accounting within colonial processes.

5. A look at prior studies The claim that the development of the British profession in general and accountancy in particular is linked to the capitalistic and imperial expansionist desire and aspiration of the British colonial administrators has been extensively discussed in the accounting literature (see, for example, Johnson and Cargill, 1971). This particular linkage between colonialism, capitalism and accounting techniques and practices has motivated many researchers on colonised countries in particular, to continue to conduct various investigations examining the positioning of accountancy within neo-colonial processes (see for example, Anisette, 1996; Bakre, 2001; Chua and Poullaos, 1998; Sikka, 2001). Anisette (1996) explains how imperialism, particularly for capital expansion have combined to make the ACCA products-dominated Institute of Chartered Accountants of Trinidad and Tobago (ICATT), to continue to discourage the localisation of the Accountancy profession with the use of local institutions in Trinidad and Tobago. This was in spite of the outcry from the business community that the British trained accountants have not contributed meaningfully to the economic development of the country, probably due to the fact that the training acquired by these accountants may not be relevant to the local requirements (see Ramlogan, 1985). It has therefore been suggested that some local institutions be established to train the required accountants for the socio-economic, political and cultural development of the country. However, this suggestion has continues to meet the resistance from the ACCA loyalists in the Institute of Chartered Accountants of Trinidad and Tobago. The study on Australia undertaken in 1998, by Chua and Poullaos (1998) explain how the activities of the Victoria Accounting Association, which was set up on the basis of openness were significantly shaped by multiple and changing division within the associations, as well as between it and the competing ‘colonial’ and ‘imperial’ associations. In this case, imperial discourses and institutions were mutated when transplanted from the metropolitan centre to the penal (then productive) periphery, were material in the development of the profession in Australia. Okike (1994) explains how deep influences of colonialism and capitalism have been responsible for the conflict of identity between the two major accounting professions that emerged in Nigeria after independence. The Institute of Chartered Accountants of Nigeria (ICAN), dominated by the ACCA products has continued to defend the status quo by strongly implementing the traditional method of accounting education and training, which has been consistently argued to be irrelevant to the economic need of independent Nigeria (see Ezejulue, 1976). While the Association of Accountants of Nigeria (ANAN), has advocated that the colonial legacy should be put behind and the Institute should continue to encourage methods that would be relevant for the profession required for modern Nigeria. According to Okike, the ICAN has continues to have an upper hand in the struggle.

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In Hong Kong and Malaysia, Sikka (2001) reports that the conflict of identity in the colonially-trained accountants dominated accountancy profession have been also shaped and influenced by—colonialism and imperialism. Many members of the accountancy profession in these countries have demanded the establishment of local profession relevant to their socio-economic, political and cultural environment. For example, members in Malaysia launched two rebel Internet sites against the domination of the ACCA in the profession. Johnson and Cargill (1971) also note that: The UK-based ACCA was formed in England with the primary objective of rigorously pursuing the empire market in professional life. In order to achieve its capitalistic objective in the Empire, the ACCA adopted ‘imperial’ policy to attract members, money and influence. (Emphasis added, p. 159) They further assert that: British professional bodies came to be characterized as imperial bodies with imperial interests, not only because of their distinct penchant for empire building, but also because of the very important empire management function which they served. (Emphasis added, p. 160) Johnson (1982) suggests that a symbiotic relationship between the development of the British profession, particularly accounting and the development of the British imperial capitalistic state to such an extent that some of the most noted peculiarities of the British profession derived from their unique articulation with the British state in the context of the Empire. However, organised professions such as accounting were the means by which the middle aristocrats exercised cultural control and established their social status (Bledstein, 1976). A typical response is that the professionalisation of accountancy was an outcome of the economic and organisational changes brought about by the capitalistic mode of production and the industrial revolution (MacDonald, 1990). It is to this professionalisation of accountancy as an outcome of economic and organisational changes and capitalistic interest in the case of Jamaica that we now turn.

6. The professionalisation project and the formation of the ICAJ: a negotiating influence of the powerful minority ICAJ members and the UK-based ACCA Before and at independence in 1962, the diverse group of accountants and accounting firms operating in Jamaica had formed themselves into three main accounting associations.6 Some of these newly formed associations, which were satellites of different foreign established professional accountancy bodies, particularly in the UK, employed racial discrimination policies to exclude Afro-Jamaicans from becoming members (Rattray, 1962). In addition to this situation, the predicament of prospective Jamaican accountants

6 The Association of Accountants of Jamaica Incorporated (founded 1946); the Jamaican branch of the Association of Certified and Corporate Accountants (founded 1947); and the Society of Chartered Accountants in Jamaica, founded at independence in 1962.

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became compounded by the discriminating attitude of the other members of Jamaican business community and the government in the employment market, particularly those who formed the local capitalist elite (Smith, 1962). Consequently, both the government of Jamaica and the Jamaican business community were accused of being guilty of practices that marginalised their own people (Smith, 1962). As Rattray (1963b) explains: As regards the attitude of business and indeed, of government, the combination of prejudice and ignorance have operated to deprive Jamaicans of their fair share of accountancy practice and experience. It would be interesting to examine the occasions on which the government over the past few years have employed the services of accountants, to note the firms that they have employed and to try to determine why these firms have been employed. (Emphasis added) He further elaborates: Another profitable exercise would be to try and find out just who has been assigned by these firms to do the work. I believe that it would become apparent that the main effect of this policy (dictated by ignorance and prejudice) is to deprive Jamaicans of their opportunities in the heart of their own land. (Emphasis added) Smith (1962) argues: It would, I think, be difficult to justify taking any drastic action against the Institute of Chartered Accountants of England and Wales, as a body, in the matter of colour discrimination, when it appears that individual members of government and the business community have in the past been guilty of the same practice. (Emphasis added) The above situation led to the belief that Jamaicans who became qualified in the accountancy profession hesitated to launch out on their own (Salmon, 1998). In light of the above, it was agreed to promote “nationalism” in the profession, so as to protect the professional interests of Jamaican accountants. Hence, it was decided that Jamaica should have a “national accountancy law” (the Public Accountancy Act). It was further agreed that the effect of the national accountancy law was to make the Jamaican accountancy profession respond effectively to the socio-political, economic and cultural environment of the island. Moreover, the national accountancy law should also be able to protect the interests of Jamaican accountants and the Jamaican accountancy profession from any global encroachment.7 Particularly, it should make the Jamaican accountancy profession independent of the British-based professional accountancy bodies.8 Paradoxically, the national accountancy law, which was finally enacted in 1968, seems to have been conspicuously silent on the above issues, which were said to have been the main reasons behind the enactment of the same law.9 In fulfilling the above requirements, the Ministry of Trade and Industry’s committee charged with the responsibility of drafting the national accountancy law, cautioned that:

7 8 9

See report of the Committee on a National Accountancy Law, 1963. Report of the Committee on a National Accountancy Law, 1963. See National Accountancy Law, 1968.

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The Jamaican situation is somewhat different and hence, we were determined to find an appropriate solution, which of course must be different from those adopted elsewhere. (Emphasis added, Minute Number 43 to the Honourable Minister, Ministry of Trade and Industry, June 11, 1963) Having made these nationalistic commitments, the same committee went further to obtain literature from the USA, UK, and Canada for use as the basis for finding their different solutions. This was done in spite of the earlier warning in the advice given by the same committee to the minister that: In a small country like Jamaica, there is probably no room for us to operate on the English system unless we are to be satisfied with abandoning the accountancy profession to overseas organizations. The only way to secure a square deal for our nationals and at the same time ensure protection of the public is to have a national accountancy law. (Emphasis added, Minute Number 35, from Committee of Proposed Accountancy Law, to the Honourable Minister, Ministry of Trade and Industry, February 5, 1963) In addition, the committee claimed that the effect of the Public Accountancy Act, 1968 was to create a truly Jamaican profession. Consequent upon this claim, the committee proposed that: The real answer to the problem is for Jamaica to have its own bodies of professional accountants who would set the examinations hitherto set by the parent bodies in the United Kingdom, and for the Articles to be served in Jamaica. (Emphasis added, Ministry of Trade and Industry, Minute Number 2, to the Permanent Secretary, March 29, 1962) It was, therefore, agreed that the proposal be discussed with the University of the West Indies (UWI), Mona, in order for the university to take up the responsibility for the education of Jamaican accountants. This agreement with the UWI, proposed since 1962, has not been implemented. This is due mainly to the criticisms that the minority, but influential, members of the ICAJ, who strongly believe in defending the status quo, continue to level against the proposal, that the UWI is not the appropriate institution to train professional accountants (see Thwaites, 1990). These critics further argue that the UWI and the professional institutions have different missions and yardsticks with which to measure the quality of their products (ICAC, 1998a). Consequently, these critics propose that: Such proposal of independent examination and credentialing, of Jamaican professional accountants was an impracticable solution in the short and even medium term, and one which would in fact continue for a considerable time, the foreign nature and control of Accountancy profession in Jamaica. (Emphasis added, the proposal of the influential members of the Association of Jamaican accountants, responding to the controversial issue of accountancy independent ambition in Jamaica, 1962) These critics were not indifferent to the allegation by other people regarding the imperial and racial problems faced by Jamaicans in their association with the established institutes in the island, particularly, those from the former colonial power. These members equally shared the view that the solution to the problem of professionalisation of accountancy had to be a

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Jamaican solution. However, they could not offer any solution, such as when and how the profession in Jamaica could become independent. What seemed to emerge as critical was the extent to which colonialism and the value-systems entrenched there in, affected the ability of the members to arrive at a consensus beneficial for themselves. Ambivalence seemed to define the approach and therefore the redefinition of the colonial relationship in the postindependence era continued to be directed by the accounting bodies of the former colonial power. Thus, the proposed national accountancy law, which was also backed by these critics, was to be an instrument to continue to safeguard the international mobility of capital, to the detriment of safeguarding the socio-political and economic interests of Jamaica. As a result of these criticisms, a bargain had to be struck between the majority members of the ICAJ who had opted for total professional independence, and the few powerful minority members who had opposed total professional independence. Consequently, section (ix) of the proposal, which was finally designed and agreed upon to achieve the objectives of the national accountancy law, states that: The Institute of Chartered Accountants in Jamaica would, of course, make provision for articles to be served here in Jamaica and this would be open to all Jamaicans who fulfil the educational requirements and who can arrange for being articled. (Ministry of Trade and Industry Minute Number 43, June 11, 1963) However, section (ix) of Minute Number 43, further clarified that: As regards examinations, these would in the first three years or so continue to be set by one of the two bodies—the UK bodies of the Association of Certified Accountants and Chartered Accountants—which would then be not parent bodies but sister, bodies. But it would be expected that in the meantime, arrangements would be worked out for examinations to be set locally, probably under the auspices of the University of the West Indies, or some other examining bodies established for that purpose. It would be expected that the Public Accountancy Law would seek to give effect to these arrangements. (Emphasis added, Ministry of Trade and Industry Minute Number 43, June 11, 1963) Considering these two clarifications, the final draft of the approved and enacted Public Accountancy Law, paradoxically, gives the following effect to such an arrangement: Any person who passes the prescribed examination held in Jamaica, i.e. the examinations specified by the Professional Accountancy Body incorporated under this Law as being the qualifying examinations for membership in the said professional accountancy body, and who fulfils such other conditions precedent to membership as that body prescribes. (Emphasis added, Part A section (2) sub-section (iv) of the Public Accountancy Law, 1968) Thus, the national accountancy law, the main purpose of which was to guarantee the conduct of local examinations, seems to be silent on the matter of conducting local examinations for the purposes of qualifying chartered accountants in Jamaica. Consequently, this clause seems to have effectively empowered the ICAJ, if it deems fit, to seek external examinations and credentialing of future Jamaican accountants. The implication of this development is that the national accountancy law that was enacted to protect the interests of Jamaican

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accountants seems to have been changed into an act that was incapable of protecting the Jamaican accountants who it sought to protect. The national accountancy law has, in fact, made the Jamaican national body (the ICAJ), which was formed for that purpose, a target for expanding the market of certain foreign accounting professional bodies, particularly, the UK-based ACCA. Consequent upon the failure of the PAL to meet its original objectives, the ICAJ, operating with the dominance of a few, powerful and influential ethnic minority members,10 who preferred to continue to defend the status quo, had to start searching for a new accountancy coloniser either temporarily, or permanently.

7. Discrepancies of the public accountancy law in defining and protecting Jamaican interests: the ICAJ search for a foreign coloniser Out of the three main professional bodies formed in Jamaica before the unification in 1965, the two leading bodies were the Institute of Chartered Accountants in England and Wales Branch, and the Association of Certified and Corporate Accountants Branch, both of the UK. The Institute of Chartered Accountants in England and Wales (ICAEW) on the one hand, is noted for its use of “racial” and “closure” policies in its professional activities wherever it operates (Johnson and Cargill, 1971). The Association of Chartered and Corporate Accountants (ACCA), on the other hand, has been a business-oriented body, which emerged with a vigorous overseas policy, oriented to increasing its membership and expanding its organisation in such a way as to create a widely based professional empire (Johnson and Cargill, 1971). As Johnson and Cargill (1971) described the two colonial bodies: In case of the Institute, the cost and length of obligatory articles in the offices of its Fellows and the severity of its examinations soon became high barriers to entrance. This relative closure of the established profession created conditions for the emergence of new and competing associations catering for those who worked as accountants but were unable to gain admittance to the Institute. While the Institute effectively blocked from entry many who held responsible positions in industry and public practice, the accountancy student and practitioner in the Empire was even more disadvantaged by the Institute’s Charter as articles could only be served with Chartered Accountants in England and only British residents could become Fellows. The Association on the other hand, adopted ‘Imperial’ policy in an effort to attract members, money and influence”. (Emphasis added, p. 157) These characteristics of the “Institute” and the “Association”, as described by Johnson and Cargill, were also demonstrated by the ICAEW, and the ACCA, in their ambitions to become the chosen permanent parent body of the accountancy profession of the island of Jamaica (ICAJ). As the Jamaican accountancy profession considered unification, and the main purpose of the National Accountancy Act had been defeated, the next option considered by the Jamaican accountants was to identify one of the overseas professional organizations that could act as a sister body for the proposed ICAJ. However, when the ICAEW and 10

In the case of Jamaica, Jamaicans of European, Indian and Syrian heritage would be the ethnic minorities.

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ACCA were approached concerning the decision of the Jamaican government to enact the national accountancy law, the reactions put forward by the two organizations were unacceptable to the Jamaican accountants (Rattray, 1961). In this respect, the committee on Public Accountancy Law complained to the Honourable Minister that: It will be recalled that the Institute of Chartered Accountants of England and Wales, had expressed themselves forcibly against the Public Accountancy Law. Whereas, the Association of Certified and Corporate Accountants had put forward proposals for such a law. The attitude of the former was of course, reactionary; while the proposals of the latter, although conforming with our objectives, were not acceptable as put forward. (Ministry of Trade and Industry Minute 43, Section 5 of June 11, 1963) Despite the acclaimed unacceptability of the proposal put forward by the ACCA towards the enactment of the national accountancy law, the ACCA was still favoured over the ICAEW as the likely sister body of the proposed ICAJ. Another advantage that the ACCA had over its rival, the ICAEW, was the issue of professional article-ship. While the ICAEW’s policy in this respect stipulates that article-ship must be served before qualifying, the ACCA allowed article-ship to be served after qualifying. The latter position appeared to be more suitable for the purposes of Jamaican students. As Rattray (1963b) observes: One point to bear in mind, and I emphasize this, is that there is great ignorance, even among those who one would think ought to know about this question, of accountancy status and qualifications. One used to be led to think that article-ship was the hallmark of proper training. It is now known that it is largely a device for cheap labour, that very little training, if any, over and above purely clerical functions flows from such articleship and that the real training comes from study and later application. (Emphasis added, Ministry of Trade and Industry Minute Number 21, Section 8, from Mr. Alfred Rattray, to the Honourable Minister of Trade and Industry, February 5, 1963) The above observation, again, gave the ACCA a higher rating over the ICAEW. In this context, the last statement that seemed to finally guarantee the ACCA’s appointment as the sister body of the ICAJ came when, in the discussion with the local representatives of ICAEW (as part of the Public Accountancy Law Proposal deliberations), the committee on the Public Accountancy Law declared: It would be extremely unlikely that any government could continue to give recognition to a body that discriminated against its nationals. (Emphasis added, Ministry of Trade and Industry Minute Number 43 Section 4, February 5, 1963) Apart from the fact that the ACCA had been able to provide education to about 70% of the qualified accountants in Jamaica at the time of the unification, the above flexible policies were an added advantage in favour of the appointment of the ACCA. As a result, it was unanimously declared that: Based on the available information, many people feel that the arrangements of the Association of Certified and Corporate Accountants, which require practice after qualification as a condition precedent to associate membership is much more meaningful than article-ship before the completion of examination followed automatically

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by professional status. What we have been doing over these years is to deprive our own people of opportunities in the name of a purely illusory concept, which is the result of our own snobbery. (Emphasis added, Committee on Public Accountancy Law Recommendation to the Honourable Minister, Ministry of Trade and Industry, February 5, 1963) Thus, the Jamaica government and accountants decided that the only way forward for the accounting profession was to embrace the UK-based ACCA. The ICAJ therefore chose to become one of the post-independence “empire markets” of the ACCA. Moreover, the term of the agreement with the ACCA was not for the ACCA to be the sister body of the ICAJ, as stipulated in the Public Accountancy Law (1968), but for the ACCA to be the parent body of the ICAJ, contrary to the provision in the PAL (1968). The UK-based ACCA thus emerged as the popularly identified parent body of the proposed Institute of Chartered Accountants of Jamaica (ICAJ). 8. Redefining colonial relations: the role of the ACCA in the post-independence ICAJ Immediately the negotiations for unification had started in the island, negotiations started simultaneously with the ACCA, based on the unanimously agreed proposal put forward earlier by the members of the Jamaica District Society of the ACCA towards the unification of the profession in Jamaica. The proposal states (inter alia) that: To fill the needs of government, society, commerce and practice suitability, qualified accountants are needed in greater numbers. Training should include expert knowledge of Jamaican financial and mercantile laws and institutions. Qualifying, as accountants by means of training and examinations written in Jamaica are the ones most likely to acquire such knowledge and responsiveness. In due course, examination questions should be framed and students’ answers marked in Jamaica. This should not completely take place until such qualifications granted by a Jamaican examining body can be assured first class status in the eyes of the world. (Emphasis added, Proposal of ACCA Jamaica Branch, to the committee on Public Accountancy Law, August 1, 1962) The requirements and hence, the clarifications went further to specifically state that: Such an examining body should follow the pattern set by the University College of the West Indies in its progress towards being, as it is today, the University of the West Indies. (Emphasis added, Proposal of ACCA Jamaica Branch, to the committee on Public Accountancy Law, August 1, 1962) As this proposal had already received the unanimous approval of the Jamaican Branch of the ACCA, it is therefore reasonable to assume that such a proposal may also have received the approval of the parent body (ACCA) in England. Above all, this proposal was quite in agreement with the overall understanding and the unanimous agreement of the entire body of qualified accountants in Jamaica in general, towards the unification of the profession in the country, as contained in the Public Accountancy Law proposal.

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During the unification process, the Jamaican Branch wrote to the ACCA that they had tentatively agreed to merge with the representatives of the Jamaican Branch of the ICAEW. The letter further indicated that there was also some tentative agreement that legislation along the lines of a public accountancy law should be sought after the merger. The letter further emphasised that in the matter of a merger, the present thinking of the District Society’s Committee was to have an Institute of Chartered Accountants in Jamaica which would adopt the code of ethics of the English Institute, and the basis of qualifications of the ACCA including that association’s syllabus. The letter indicated (inter alia) that: After these ideas are mutually agreed upon, the ACCA will be asked to set examinations in Jamaica on behalf of the proposed Institute of Chartered Accountants of Jamaica for a number of years. (Emphasis added, Letter of integration of the profession in Jamaica from the Secretary of the ACCA, Jamaican Branch, to the Secretary, ACCA in England, April 11, 1963, AAJ—Archival Records) The letter specifically clarified that: During this time, a panel of Examiners in Jamaica would mark the examination papers and the ACCA Examiners in London would review these markings. After a number of years, the Jamaican Institute will set its own examinations. (Emphasis added, Letter of integration of the profession in Jamaica from the Secretary of the ACCA, Jamaican Branch, to the Secretary, ACCA in England, April 11, 1963, AAJ—Archival Records) In its initial response to the demands from the proposed ICAJ objectives, the ACCA did not show any sign of disagreement with any part of the proposal. Some ICAJ members interviewed by the author for the purpose of this paper were of the opinion that any initial disagreement on the part of the ACCA might possibly have denied the ACCA the parent-ship of the proposed ICAJ. However, such a denial could be against the ACCA’s desire of vigorous empire market-driven objectives (Johnson and Cargill, 1971). More importantly, the ACCA did not also show any indication to the negotiating team and individuals from Jamaica that it would not in any way be able to meet the specific demand of the clause dealing with the handing over of the examination and credentialing after a certain mutually agreed period. This period, according to the proposal presented by the ICAJ, and duly accepted by the ACCA, should be between 2 and 3 years. Instead, the ACCA seems to have re-employed its marketing strategies at the initial stage of the negotiation, by showing—signs of compromise and readiness to do business with the proposed unified Jamaican body, the ICAJ. The ACCA also enthusiastically indicated its readiness to co-operate in all the demands put forward to it by the proposed ICAJ.11 Interestingly, the ACCA had even suggested some other areas for further improvements in the contents contained in the public accountancy law proposal presented to it by the ICAJ.12 This seemingly initial enthusiasm of the ACCA towards the ICAJ’s demands—engendered in the Jamaican negotiators a measure of confidence in their business relationship with the ACCA, that the relationship would be a mutual one. 11 See report of the meeting between the ACCA Secretary, and the Executive Members of the proposed ICAJ in New York, September 1962 for details. 12 See report of the meeting between ACCA Secretary, and the Executive Members of the proposed ICAJ in New York, September 1962.

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However, from the outset, while the Jamaican ACCA qualified accountants (the Jamaican District Society of ACCA) had the belief that they had an autonomous professional body in Jamaica, the ACCA had not at any time been at ease with this independent ambition of the Jamaican branch. In fact, the series of letters which the Jamaican branch had written to the ACCA, using its own letterhead—portraying them as an autonomous body (unknowingly to the Jamaican branch) seems to have posed a threat to the ACCA’s ambition of colonisation in the accountancy market in Jamaica. In order to remedy this situation, which the ACCA regarded as an oversight on the part of the Jamaican Branch—the ACCA had somehow felt compelled to call the Jamaican branch to order. Thus, in 1963, Jamaica was made to realise that it was just an enlarged market of the imperial body in England (ACCA) and not an autonomous body, as it had been portraying itself. An ACCA letter to the Jamaican branch reads: There has all along been one somewhat curious oversight on your part, namely, that you have always referred to it as ‘the Jamaica District Society’ whereas; it has from its inception been a Branch, which is a slightly superior type of organisation. (Emphasis added, ACCA Letter of August 27, 1963, to the Jamaican Branch) However, there was no evidence so far, which suggests that the Jamaican accountants reacted to this corrective letter from the ACCA. This suggests, that they did not see the letter as a threat to their aspiration of professional independence. The Jamaican accountants therefore, continued to pursue their ambition of professional independence, hence their request to the ACCA, as stipulated in the public accountancy law proposal. In September 1962, four members of the local executive of the proposed ICAJ from Jamaica attended the Eighth International Congress of Accountants held in New York. There, they held discussions with the ACCA representatives. The Jamaican executive officials, again, specifically reiterated their earlier position that: This scheme as laid down in the proposed Jamaican Public Accountancy Law, would eventually lead to examinations being ‘entirely’ taken over from the Association (ACCA) by a Jamaican body to be formed for that purpose in due course. (Emphasis added, Jamaican Executives to the ACCA Secretary, Mr. F.C. Osbourne, in New York, September 1962) In his response, the secretary of ACCA was of the opinion that: The Association (ACCA) would be willing to set special examination questions in certain subjects for Jamaican students. Examiners in Jamaica could mark the answer papers. The council would have to approve the examinations. The council would accept Chartered Accountants as examiners, if nominated by the District Society. The marked papers would be reviewed in the United Kingdom. (Emphasis added, Mr. Osbourne, Secretary of ACCA to an ICAJ Executive in a meeting in New York, September 1962) But, Osbourne evaded the question of the entire examination being taken over by a Jamaican body in any foreseeable future, which was specifically stated in the original proposal and was earlier agreed upon by both parties. As no response was given to this important omission by any of the Jamaican representatives, this non-response seemed to convey the impression

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that the ICAJ was accepting the new position of the ACCA, which seemed to be contrary to the provisions contained in the Jamaican public accountancy law. Again, in August 1963, one of the executive members of the Jamaican branch of the ACCA visited England and held discussions with the ACCA secretary. As this executive again emphasised the Jamaican position on the aspiration for independence, Osbourne responded this time around with a reactionary counter view to his second opinion in New York thus: As a result of developing countries such as Jamaica, the Association’s (ACCA) sources of membership would be dwindling. He therefore asked the Jamaican executives to consider the possibility of enabling persons sitting the ACCA’s examinations and obtaining the Jamaica qualification automatically being entitled to be members of the Association. (Emphasis added, ACCA, Jamaican Branch, Memorandum of August 6, 1963) Although the Jamaican executive argued that such a third proposal might not be well received and in addition, might generally be misinterpreted by his colleagues in Jamaica, it was this position of the ACCA that was finally accepted in Jamaica, and has been absorbed uncritically, up to the present time. In continuation of their negotiations on the issue of the independence of the Jamaican accountancy profession from the ACCA, the Jamaican branch reminded the ACCA in London (in a letter dated March 10, 1964), of its previous request. The Jamaican branch, in the letter, further reminded the ACCA’s secretary of his earlier opinion and commitment in that direction. Specifically, the secretary of the Jamaican branch said he had mentioned to the ACCA secretary in New York in 1962 that there was a possibility of the Association’s examinations being used as the qualifying examinations under the public accountancy law being proposed for the profession in Jamaica. He further informed the ACCA’s secretary that as the essence of such a law was now embodied in the proposed Chartered Accountants Act, the Jamaican branch of the ACCA and the ICAEW had agreed on a common goal. Such a goal, he explained, was that the proposed Jamaican Institute, subject to the approval of the Association, employs the Association’s examinations as a means of qualifying applicants for membership in the Jamaican Institute, for a number of years. However, the number of years was not in any way specified in the letter to the ACCA secretary. He further reminded him on the matter of having a local Board of Examiners comprising certified and chartered accountants who would mark the examination papers of Jamaican students, subject to the markings being considered in London. He concluded by reminding him that the ACCA secretary was then of the opinion that, what the Jamaican executives had contemplated could be arranged with the ACCA. This seems to suggest that the ACCA secretary had earlier agreed in principle to the requests of the Jamaican executives. On the basis of this understanding, therefore, he then asked the ACCA secretary to obtain from the council an explanation of the principle involved. The above understanding and the agreements that follow between the Jamaican proposed body and the ACCA seem to suggest that the ACCA knew what the Jamaican body actually wanted. Even though the ACCA had agreed in principle to such a request, it was unwilling to put it into effect. The position of the ACCA regarding its post-independence colonial professional relationship with the ICAJ was made known to the newly formed body (the ICAJ), at an ICAJ

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executive meeting in 1965 in Jamaica. The ACCA president and secretary from London were both present at the meeting. The secretary of the Jamaican branch of the ACCA outlined the events leading up to the formation of the unified ICAJ, and particularly, he stated that: The By-laws of the Institute included the examination syllabus of the Association. He emphasized that it was further agreed in the preliminary discussions, that the Association would be asked to set examination questions. (Jamaican Branch of ACCA Secretary, to the visiting ACCA President and Secretary, August 19, 1965, in Jamaica) Again, the statement did not specify the timetable contemplated for the ACCA for conducting the examinations on behalf of the ICAJ, before the hand over to the Jamaican body (ICAJ). The president of the Jamaican branch in his own address however, specifically points to this omission: It would help us in our negotiations, if we were able to give details of the examination assistance, which the Association would render. For a year or two, the same pattern as now existed would continue. (Emphasis added, Jamaican Branch of ACCA President, to the visiting ACCA President and Secretary, August 19, 1965, in Jamaica) This suggests that in the second or third year as the case may be, Jamaica would take over the functions of setting and marking the examinations from the ACCA. However, this clarification, which was nothing more than what had earlier on been agreed upon by both parties, seemed to have meant a sort of threat to the ACCA’s position. Consequently, the ACCA’s secretary Mr. Osbourne, again voiced his disagreement the fourth time thus: With regard to your request for examination facilities, I assume that what you require is access to the examination, which we now provide in Jamaica, with or without certain substitute papers. In other words, that you are not asking for a special set of papers, but in general will be satisfied to make use of our standard examination. If this is correct, then we shall be very glad to accede to your request. (Emphasis added, Mr. Osbourne, the ACCA’s Secretary, to the Executive Members of ICAJ in Jamaica on August 19, 1965) This inconsistent attitude of the ACCA’s secretary effectively curtailed the ambition of the accountancy profession in Jamaica to achieve independence. As a result, the Jamaican body (the ICAJ) became an enlarged empire market of the UK-based ACCA, with the full support of the global capitalist members of the ICAJ who supported internationalisation, but against the dream and ambitions of the local capitalist members of the ICAJ who supported localisation. As the local capitalist elite continued to absorb the situation uncritically, the accountancy profession in Jamaica has continued to be under the firm control of the UKbased ACCA since independence in 1962. However, given the entrenched position of the ACCA in Jamaica, making fundamental change in the status quo will be difficult. 9. Summary and conclusion The nature of the attempts at fully severing links from a former colonial power hindered—the aspirations of the Jamaican government and accountants, at the time of

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Jamaica’s independence, to develop an accountancy profession devoid of any foreign influence. The impact of colonialism on the identity and vision of the colonised, as demonstrated here, also manifests in the accountancy. Even where aspirations for independence have existed, ambivalence appears to have dominated the methods and the outcome. Lindsay (1981) argued that one of the imperial strategies was to diffuse any form of collective action among the colonised that was not in any way directed by the coloniser, with the implication that the citizens of the former colonised society were incapable of independent thought and action. Aspirations of Jamaican accountants to put in place a profession devoid of imperial foreign influence have been constrained by its impact on some of the members of the ICAJ. Thus we find the consequent conflict between the two elite groups of global and local capitalists that emerged in the profession after Jamaica’s independence. This conflict of identity among the ICAJ members was linked, however, to the struggle between the elite groups in the Jamaican society, as the activities of any profession may not be properly understood in isolation of the socio-political and social history that gave rise to the profession. Capitalism and Cultural imperialism influenced and subsequently shaped the worldviews of some of these elite groups. As a result, the two elite groups have competed, and continue to compete, for the control of the ICAJ, to the detriment of the profession and the Jamaican society at large. While the first elites are those members of the ICAJ who advocated and continue to advocate for the internationalisation of the profession, the other elites are those who had favoured and continued to support the localisation of the profession. This struggle for the control of the ICAJ, brought about by the influence of colonialism became an instrument, employed in the professionalisation project and the formation of the Institute of Chartered Accountants of Jamaica (ICAJ). The professionalisation project had resulted into the enactment of the Public Accountancy Law, which (inter alia) was to protect the interest of the Jamaican accountants against external encroachments by foreign accounting firms and accountants, particularly, from the UK. However, the influence of colonialism had resulted in the same law becoming a legal instrument that again, started giving legal backing to foreign accounting firms and Accountants it sought to check their intrusion into Jamaica. Upon the consequent failure of the Public Accountancy Law to meet its main objective of protecting the interest of the Jamaican accountants and the accounting profession, the ICAJ felt the need to search for a foreign parent body. The search eventually gave opportunity to the UK-based ACCA to emerge as the identified parent body of the ICAJ, in a keen competition with other foreign professional bodies, particularly its close rival, the ICAEW. The basis upon which the majority of accountants in Jamaica selected the ACCA as the parent body of the proposed ICAJ, over its close rival the ICAEW, was that the ACCA had initially yielded positively to all the demands of the ICAJ members during the discussions on unification of the profession. The most crucial of these demands was that the ICAJ members had told the ACCA repeatedly that they wanted the ACCA to set and mark the ICAJ examinations for 2–3 years, after which the ICAJ would take over the responsibility of setting and marking its own examinations. The ACCA did not indicate to the ICAJ members that it would not be able to meet this particular demand. Instead, the ACCA promised to co-operate with the ICAJ members in all their demands, and even suggested further areas for the development of the profession in Jamaica. However, on the assumption of the parenthood of the ICAJ, the ACCA in its subsequent discussions about the future of the

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profession with the ICAJ Council and representatives, particularly on the crucial issue of professional independence, started deviating from its earlier promises to the ICAJ representatives. Despite the continuous pressure mounted on the ACCA to honour the commitments it made to the ICAJ members, the imperial relationship continued, and been strengthened by the support it receives from its local capitalist collaborator-members of the ICAJ. This support continues to encourage the ACCA to rigorously pursue its objective of dominating the accountancy market in Jamaica, and even use Jamaica to penetrate and dominate the profession in the Caribbean. The above analyses have again, given credence to the influence of colonialism on the part of the Jamaican accountants, and imperialism on the part of the UK-based ACCA continued to be the ingredients which support the struggle between the supporters of internationalisation and those of localisation. This influence of cultural imperialism continues to impede the ICAJ ability to achieve its main objectives for coming into existence: developing accounting education and a syllabus relevant to the Jamaican economic situation, setting its own examinations, and credentialing of Jamaican accountants. The struggle between the supporters of internationalisation and those of localisation for the control of the ICAJ were analysed using the specific case of the development of a relevant accounting syllabus and education for the Caribbean economic environment. The evidence shows that the desire for localisation of the accounting syllabus and education still enjoys popular support from accountants in Jamaica and the Caribbean. Since capitalism and cultural imperialism have largely affected the Jamaican aspiration for an independent accountancy profession it has significantly determined the nature of the relationship in the post-independence order. Consequently, UK-based accountancy organisations have continued to exert dominance over the profession, in Jamaica and to different degrees, in other Caribbean countries as well. Moreover, Jamaica itself is a relatively small island in which capitalism and imperialism have made the few powerful and influential global capitalist elite members of the ICAJ, who support internationalisation feel it could only enhance the economy by continuing its links with the Western capitalist world-based accountancy organisations, particularly the ACCA. The relationship of capitalism and imperialism have also encouraged the parent body, the ACCA to prefer to continue to enjoy its uninterrupted access to the accountancy market in Jamaica as it used when it was a colony. Thus, the support of the global capitalist elite members of the ICAJ, who favour internationalisation, continues to guarantee the ACCA its continued control of the ICAJ, and the accountancy market in Jamaica, and indeed, the entire Caribbean. At the same time, the power and influence of the global capitalist elite, although in a minority, continue to have the ability to direct the outcome of the post-independence accountancy profession in Jamaica along the path of continued—imperial control. In the final analysis, the ability of the Institute of Chartered Accountants of Jamaica to effectively achieve professional independence particularly, from the UK-based ACCA, without strong and meaningful legislative support from the government of Jamaica is constrained. References Alleyne M. Roots of Jamaican culture. London: Pluto Press; 1988. Anderson M. Imperial ideology: subjects, objectivity and the use of Empires in the 1918–1919 Banana Workers’ strike in Costa Rica and Panama. Mona: Institute of Social and Economic Research; 1998.

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