CVSRTA - REGISTERED VALUERS ASSOCIATION
A group of practicing valuers actively engaged in the profession, regularly attending seminars, conferences and fellowships on valuation came in contact with some practitioners and academicians from all over the globe by attending the World Valuation Congresses in Vancouver, Singapore and London.
While interacting with them, it was found that there was a difference in valuation practiced in India and that outside India. The practice developed outside India appealed to them mainly because the practitioners outside India, even in developing countries, could not practice without an academic qualification in valuation due to the Valuers' Act, regulating the valuation profession. Whereas, even today, in India there is no such Act to regulate the valuation profession.
This group studied the courses offered across the globe and developed a curriculum suitable to Indian requirements and approached BVM Engineering College, affiliated to Sardar Patel University (SPU), Vallabh Vidyanagar, Gujarat for introduction of the valuation courses and met late Dr B. P. Swadas, Principal of the college cum Dean faculty of engineering and technology SPU and late Dr D. D. Jadeja, Vice Chancellor, SPU. Dr Jadeja immediately agreed on following conditions:
- The course shall be leading to the post-graduate degree on similar line of business administration and environmental engineering which were first introduced at PG courses and subsequently undergraduate courses were introduced in these two disciplines. This is mainly because vice chancellor has power to introduce of PG courses and for introduction of degree courses there is a long process.
- The University will not be able to provide any finance.
- Someone has to take charge in honorary capacity until the core faculty is developed.
One of the members of the group agreed to take charge in honorary capacity until the core faculty is developed.
Dr C.L. Patel, Chairman, Charutar Vidya Mandal – a charitable trust managing more than 45 educational institutions in Vallabh Vidyanagar agreed to offer excellent support to run the courses.
SPU introduced following full-time courses in the year 1994:
Master of Valuation (real estate) - first time in India
Master of Valuation (plant and machinery) - first time in the whole world
Thus, the same group was involved right from the beginning - convincing the university for need of the courses, framing syllabi, selecting faculty, teaching and helping the university in offering the courses almost for 10 years (till 2003) absolutely in honorary capacity till the core faculty - Shri Nelson J. Macwan, Shri Amish Patel and Shri Rupesh T. Shah (the students of the first batch) was developed out of the students who completed the courses.
On introduction of the course group made representations to the Central Board of Direct Taxes, Ministry of Finance, GOI for amendment to Wealth Tax Rules 8A (2) and 8A (8) for registration as valuers of Immovable Property and Plant & Machinery so that the holders of these two degrees can be registered in respective disciplines with 2 years of experience instead of 10 years (for engineers and architects). through Sardar Patel University. The representation was accepted, and a Gazette Notification was issued on 5th March 1997.
The Royal Institution of Chartered Surveyors, U.K. (RICS) accredited the courses in Sept.1998 initially for an intake of students during 1996-2000 and now also admits applicants with above qualifications as their members.
The group of valuers who were instrumental in developing academic courses floated the idea of establishing a professional organization of academically qualified valuers in a meeting organized by Alumni of SPU Valuation courses in Dec. 2006 at Vallabh Vidyanagar, Gujarat and the same was readily accepted and Centre for Valuation Studies, Research and Training (CVSRT) was established. It was decided to carry out some professional activity before registering the organization. Accordingly, the conferences were organized on Valuation of Assets for safety and security of Banking Sector in Mumbai, Ahmedabad and Surat which were very well attended by executives from National Housing Bank (NHB), ICICI Bank, Kotak Mahindra Bank, Indian Banks' Association (IBA), State Bank of India, Bank of India, other private/ public sector banks and professional valuers from length and breadth of India.
Institution of Valuers (Kolhapur Branch) approached the CVSRT in Sept. 2007 for a help in introducing Master of Valuation (real estate) course under distance learning at Shivaji University, Kolhapur.
CVSRT prepared the study material for all the 21 subjects of the course and also rendered full help for two years in running the course. Now also members of CVSRT are rendering help. It is note-worthy to mention here that the students of the distance learning course at Shivaji University, Kolhapur include:
- Govt. registered valuers with more than 20 years' experience
- Officers in the bank
- Assessor and Tax Collector, Kolkata Municipal Corporation
- Senior executive of big 4 accounting firm
- Chairmen of Institution of Valuers, Chennai and Hyderabad branches.
Annamalai University, Chennai introduced the valuation course in the year 2010 and CVSRT also helped Annamalai University.
Thus, some of the members of CVSRT have been the focal point of expertise in valuation to fill up a gap that exists in this area of felt need. It is unique in the sense that it does not survive by strength of membership but by the critical role it plays in providing intellectual inputs in the field of valuation. The CVSRT has prepared the study material for following subjects for distance learning courses introduced by various universities:
- Principles of Economics
- Book keeping and accountancy
- Elementary surveying
- Introduction to statistics
- Principles of valuation
- Town and regional planning
- Elements of laws and jurisprudence
- Engineering drawing
- Principles of insurance & loss assessment
- Building technology-I
- Building technology-II
- Law – I
- Law – II
- Principles of rating
- Valuation of real estate-I
- Valuation of real estate-II
- Urban land economics
- Environmental impact assessment
- Maintenance & repairs of building & dilapidation
- Building technology
- Real estate management
- Report writing
It is also in constant touch with organizations that are relevant in the field of practicing valuers and at the same time remains hands in gloves with the expertise that have matured the world over.
It is noteworthy to mention here that the Royal Institution of Chartered Surveyors U.K. assigned the job of preparing Indian version of (Valuation Information Paper) VIP 10 and VIP 12 of their Manual of Appraisal and Valuation to CVSRT.
CVSRT took a lead in preparing a document on vital issues concerning banking sector like – Qualifications and experiences of valuers, Check-list for bankers, format for valuers and circulated to all the professional valuation societies who attended the meeting convened by NHB on 20th Feb.2008 at Delhi for their views and also suggested that in USA there is an organization -Appraisal Foundation which is supported by all the valuation societies; similarly, there is a need to establish Federation of Valuation Societies supported by all the valuation societies of the country. In US, Appraisal Foundation plays vital role in the matters of qualifications, standards and framing guide lines etc.
Centre for Valuation Studies, Research and Training as stated hereto before was ultimately registered as Centre for Valuation Studies, Research and Training Association (CVSRTA) under Society's Registration Act, 1860 vide no. 816/2010 G.B.B.S.D. dtd. 30th March 2010 at Mumbai to have an independent status and avoid control by individual members.
Outstanding contribution at international and national levels:
The past and some of the present office bearers of CVSRTA are instrumental in following:
Helping International Valuation Standards Committee (IVSC) in framing basic document in the year 1994 for International Valuation Standards on:
- Valuation of plant & machinery
- Consideration of environmental factors in valuation
In order to collect literature for preparing study material for the students for the plant and machinery course – Kirit P. Budhbhatti one of the office bearers of CVSRT visited R.I.C.S. Library at their headquarters in London in 1994 but did not find all the books prescribed for examinations conducted by them in the discipline of valuation of plant and machinery and brought to the notice of Bill Carr Chair – plant and machinery committee RICS. He also visited the libraries of the American society of Appraisers in California and Washington D.C. and also the Library of Congress in Washington D.C. He did not find the books dealing with all the aspects that pertinently arise in the field of valuation of plant and machinery so as to serve the purpose of a text book for the university students and the practitioners. Then he authored a book. The forward and Introduction to the book are from Chris Derry-Former Chairman Plant and Machinery Committee RICS and Les Miles – Former President (2006-07) ASA and chairman machinery and equipment committee respectively and same are attached.
As there was a dearth of literature in the field of plant & machinery valuation it became essential to create literature by extracting from minds of outstanding plant & machinery valuers of the world. For this purpose, did pioneering work in the field of plant & machinery valuation and organized first, ever plant & machinery valuation conference at Anand, Gujarat, in India during 2-8 February 1998, which created tremendous interest in the international arena.
The main idea behind organizing the conference was to create a literature in the discipline of plant & machinery valuation. This was essential for offering academic programme. The excellent literature was created through conference due to active participation by stalwarts from advanced and developing countries like:
- Chairman, International Valuation Standards Committee,
- President, American Society of Appraisers (ASA),
- Prof. from Sheffield University UK,
- Former - Chairman, Machinery and Equipment Committee ASA,
- Superintendent Valuer, Her Majesty's Valuation Office, London,
- Former - Chairman, Central Valuation Board, Kolkata, India,
- Executive Vice President, American Appraisals, Milwaukee, USA
- Head, Rating Valuation - British Telecommunication, London
- CEO, BC Assessment, Victoria Canada.
- Member, Machinery and Equipment Committee ASA,
- Former - Chairman, Plant & Machinery Committee the Royal
- Institution of Chartered Surveyors (RICS) and
- from UK, USA, Canada, France, Malaysia, Fiji, Philippines, Nigeria, Kenya, Zimbabwe, Botswana, Mauritius, Ecuador, Thailand, and from length and breadth of India.
This was followed by a regular biennial international conference of meaningful nature. On success of the conference a committee was formed and founder Secretary CVSRT became Founder Chairman (1998-2007) of International Plant & Machinery Valuation Conference Committee (IPMVCC). IPMVCC organized conferences in KL, Sydney, Hong Kong, London, San Francisco, Beijing, St. Petersburg, Japan and again Sydney in 2000, 2002, 2005, 2007, 2009, 2011,2013,2015 and 2017 respectively. CVSRT brought three-word renowned societies RICS, ASA and API together as since 2007 these conferences are jointly organized by these three organizations.
The first conference was inaugurated by Chairman Public Sector Enterprises Selection Board, Chairmen Insurance Regulatory and Development Authority and Dis-investment Commission chaired the sessions on valuation for insurance and dis-investment respectively.
High Commissioner of India in Malaysia inaugurated the conference in Kuala Lumpur in 2000 and Consul Generals of India in Sydney and Hong Kong were the Chief Guests in the concluding sessions in Sydney and Hong Kong conferences.
The past and some of the present office bearers of the centre are also instrumental for:
- Two training programmes of four-day duration for Senior executives of Bharat Heavy Electricals Ltd.(BHEL) at the National Institute of Financial Management, Faridabad and at Hyderabad in April and May 1998 respectively.
- Presentation to the officers in the office of Comptroller and Auditor General of India regarding relevance of valuation in public audit and disclosure of value of public assets for the sake of public accountability in May 1998 which was attended by Dy. Comptroller and Auditor General of India.
- Half a day programme in office of Comptroller and Auditor General of India regarding relevance of valuation on 3rd Sept.2001, which was attended by Dy. Comptroller and Auditor General of India.
- Training programme in valuation for the Officers of the rank of Dy. Accountant General and Directors in the office of Comptroller and Auditor General of India at International Training Centre at Ghaziabad during 4-6 September 2001.
- Conference on valuation for safety and security of banking sector organized jointly by Indian Banks' Association and ISTAR in July 2001 and April 2002 attended by officers in the rank of Dy. GM and AGM from various public and private sector banks from length and breadth of India.
- 5 days Training programme in Valuation for officers of Stamp Duty Department of the Government of Gujarat, in June 1996.
- Continuing education programme for professional valuers at Anand, Mumbai, Ahmedabad, Surat and Chennai
- 5 days Training programme for 'Appraisal Team' of HUDCO at New Delhi.
CVSRTA submitted exhaustive suggestions on Valuation Professional Bill and for registration as valuers u/s 247 of Companies Act, 2013.
In 2015, CVSRTA published Guidelines on Valuation of real estate as well as plant and machinery.