Authority to appoint joint auditor

This query is : Resolved

vishwas (Querist)
Follow

11 November 2010 Can a company appoint joint auditors during mid of the financial year. Moreover, who has authority to appoint the same i.e. whether BOD can appoint the joint auditor or only members in general meeting can appoint the joint auditor?
Please quote the relevant section or case laws.

udit sharma

udit sharma (Expert)
Follow

12 November 2010 Hi....

In my opinion the Company can appoint Joint Auditor in the mid of the financial year but can be appointed only by the members in the General Meeting. The Board of Directors do not have the authoirty to appoint Statutory Auditor/s of the Company except filling the casual vacancy other than the vacancy caused due to the resignation of the Auditor.

Please refer section 224 of the Companies Act, 1956 pertaining to appointment of Auditors.

This is my opinion and views of other experts are welcome:-)

Best Regards

Udit Sharma

vishwas

vishwas (Querist)
Follow

16 November 2010 Dear Udit,

Thanks for your opion.
I also referred section 224 and according to that directors have authority to appoint auditors only in two cases:
1) First Auditors; and
2) Casual vacancy other than caused due to resignation.

udit sharma

udit sharma (Expert)
Follow

16 November 2010 Dear Vishwas

So what should i interpret from ur reply??????

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now