A scheduled hearing in India regarding the Big Four accounting firms' practise of law has been cancelled amid negotiations with regulators and the government that could lead to the auditors gaining permission to practise law in India.

In May, the Indian operations of Deloitte, EY, KPMG and PricewaterhouseCoopers all received letters from the Bar Council of Delhi, alleging that the auditors are illegally practising law in the country and informing them they are barred from doing so until further notice. All four said they had not been practising law in India.

A hearing was set for July 12 at the Delhi Bar Council but it was cancelled "at the last minute", said Lalit Bhasin, the New Delhi-based president of the Society of Indian Law Firms, a professional association representing the interests of law firms in India. A 2015 petition from Bhasin led to the directive barring the Big Four from practising law in India and the scheduling of the July hearing. Bhasin said no reason was given for cancelling the hearing. "[The] status quo remains," he said.