28 August 2016
As per section 142, remuneration shall be fixed by company in GM
and in case of 1st auditor by BOD.
now my query is 'in case of casual vacancy who will fix the remuneration?'
because appointment is made by BOD
but after appointment of auditor as per section 139(8) of the company..their is no requirement of conducting any EGM where members can fix the remuneration
and BOD can fix remuneration of 1st auditor only as provided in section 142
what will be the answer to above query..please give your views
28 August 2016
In case of a casual vacancy, the appointment is made by BOD/CAG but such appointment is also required to be approved at a general meeting to be called within 3 months of the recommendation made by BOD. So, at GM the company can approve the remuneration set by BOD.
28 August 2016
Dear Amar Kumar, thanks for your response. as per your answer this would apply only in the case where auditor himself resigns from the company(BOD approval with EGM approval both required). But what we do in other cases?
May be I would be wrong but as per me in the absence of specific provision in the act 'company should conduct a EGM for this matter'
or may be BOD can do so...
CAclubindia
