29 November 2023
I am running a private limited company and the statutory auditor appointed 3 years back with whom I am not satisfied requested him to resign in the month of August 2023. He immediately raised a bill for Rs.17000.00 as audit fees for the AY 2023-24 though he had not audited for the current year and sent me. I assured him that the payment would be settled once he shared the SRN number but he not only refused but also demanded the same amount for the current AY 2024-25. What should I do? Is there any guideline with the ICAI that the compliance should not be completed till payment is made? Can I move legally against the auditor and claim the MCA penalty from him? Please guide
30 November 2023
As per sub-section (1) of section 140, the auditor appointed under section 139 may be removed from his office before the expiry of his term only by a special resolution of the company, after obtaining the previous approval of the Central Government in that behalf.