13 October 2010
The reappointment of auditors at the AGM is one of the items of ordinary business to be transacted at such a meeting. However, a retiring auditor shall not be reappointed in the four situations mentioned in section 224(2) of the Companies Act,1956.
Step 1:an intimation letter has to be given to the statutory auditors of the company, telling that they have been proposed to be re-appointed as the statutory auditors, WELL BEFORE THE DATE FIXED FOR AGM.
Step 2:The auditors will send the confirmation letter, confirming their willingness to be re-appointed as per sec 2241B.
Step 3:The company will then pass an ordinary resolution in the AGM and also give him the appointment letter at the time of AGM or later, but not before AGM.
Step 4:Then the auditors will be required to file form 23B with ROC within 30 days of the receipt of the appointment letter from the Company
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