18 October 2010
ONE OF THE DIRECTOR RESIGN ON 15TH JUNE 2010 FROM A PVT. LTD COMPANY.PLZZZZZZZZ TELL ME WHAT WILL BE ITS EFFECT ON FINANCIAL STATEMENTS AND AUDIT REPORT OF COMPANY FOR THE YEAR ENDED 31ST MARCH 2011???????FINANCIAL STATEMENTS WILL BE PREPARED FOR WHOLE YEAR ONLY??????
18 October 2010
Dear upjeet company is an artificial legal person appointment and resignation of director does not effect any way to company nor it's accounting policies , but if after resignation of that director , total number of directors fall below the minimum statutory limit than of course that should be mentioned in the audit report .
You have not given how many directors are there in the company . If there are more than two directors , then resignation will not have any effect.
If the company has only two directors , then if the company has a company secretary , balance sheet can be signed by company secretary and one director.
Resignation of a director does not have any impact on approval of audited accounts.
R.V.Seckar
Pl do visit my blogs :http://rvsekar.blogspot.com/
19 October 2010
Daer rvsekar can you please clarify that either a company can run by only a director , is it legally valid , it is not a matter of signing on the annual report , there are a minimum number of director for the every type of company thanks
CAclubindia
