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Removal of Auditor

The auditor may be removed from his office before expiry of his term only by a special resolution and after obtaining the previous approval of the Central Government. However, before taking any such action, the auditor concerned shall be given reasonable opportunity of being heard.

Google Review Rating

4.9/5

Market Price

25000/-

Instabizfilings Price

₹ 12711 excl. GST

₹ 14998 incl. GST

Complete Date

24-06-2024
  • You Save INR 10,000/- (50%) on the above Service.

    ROC Fees/Governemnt Fees will be charged at actuals

    Late fees if any will be beared by the Client/Customer.

Offers and Discount

No Cost EMI available available over Rs 3,000

10% Discount on your first purchase

18% GST Credit available

Scope of Work:

  • 1. Preparation of Board Meeting & General Meeting documents for Removal of auditor;

     

    2. Preparation of Petition to be submitted to Central Govt.

     

    3. Preparation of documents for attachment in e-forms;

     

    4. Preparation of e-forms;

     

    5. Arranging for Certification of e-forms;

     

    6. Resubmission of e-forms, if any.

FAQs

The members of a company may remove an auditor from office at any time.

Section 140 of the Companies Act provides the rule for removal of the auditors before the expiry of term. This has to be done by passing a special resolution and approval of the Board of Directors.

To remove an auditor from his position before the end of his term, a special resolution and prior consent from the Central Government are needed. Within 30 days of the Board Resolution's adoption, Form ADT-2 requests permission from the Central Government to remove auditors.

A casual vacancy gets created in the office of an Auditor due to reasons like resignation, death and/ or removal of the respective Auditor. In either of the scenario, company has to fill the casual vacancy so created by appointing a new Auditor.

If, however, it is learnt that the old auditor has not been informed, and the client is not willing to make the first move, it would be necessary to ask him the reason for the proposed change. If there is no valid reason for a change, it would be healthy practice not to accept the audit.

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