30 companies

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Manoj (Querist)

16 January 2008

Example: A member has 20 public companies and 10 Private companies which is subsidiary of public company but functioning with constitution as private company. Can he beconme statutory auditor of 30 above companies?

my question is that whether private which is a subsidiary of public should be considered as public or private for calculating limit

Private company subsidiary of public company satisfying conditions stated in Section 3(1) of companies Act and has not converted itself into a public company.

R.V.RAO

R.V.RAO (Expert)

16 January 2008 ICAI has clearly stated that one practising member is allowed 30 companies including private and public company.
(SRI KAPIL THAKORE- OUR CA CLUB MEMBER HAS REPLIED TO AN EARLIER QUERY).
Hence PUBLIC AND PRIVATE ARE TREATED AS 2 separate companies .
R.V.RAO

Manoj

Manoj (Querist)

17 January 2008 Issue for consideration is that according to company law a member is allowed 20 public compnaies and as per definition given by company law public company includes private which is subsidiary of public now in such situation such private company should be counted in limit of 20 companies specified by company law or not.

Please the example given above whether a member can become statutory auditor in the given case of all companies or not

Sanjeev Kumar Sharma

Sanjeev Kumar Sharma (Expert)

01 March 2008 yes

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