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change of auditor in pvt ltd company

This query is : Resolved 

when the auditor filed returns on march 2006 b/s of pvt ltd co,as the practice he will obtain /retain his appointment for next FA yr,in this condition company would like to change auditor for resons best known to company,
1.what compliance by company
2,what stand in company secratary acts
3.any other compulstions
pl advise

Hi Srinivas,

Your query is What is the procedure to change the auditor of the company.


To know the procedure to appoint/ remove the auditor, Refer Sec.225 of the Companies Act, 1956.

SEC.225 of the Companies Act, 1956
(1) Special notice shall be required for a resolution at an annual general meeting appointing as
auditor a person other than a retiring auditor, or providing expressly that a retiring auditor shall
not be re-appointed.
(2) On receipt of notice of such a resolution, the company shall forthwith send a copy thereof to
the retiring auditor.
(3) Where notice is given of such a resolution and the retiring auditor makes with respect thereto
representations in writing to the company (not exceeding a reasonable length) and requests their
notification to members of the company, the company shall, unless the representations are
received by it too late for it to do so, -
(a) in any notice of the resolution given to members of the company, state the fact of the
representations having been made; and
(b) send a copy of the representations to every member of the company to whom notice of the
is sent, whether before or after the receipt of the representations by the company; and if a copy of
the representations is not sent as aforesaid because they were received too late or because of
the company's default the auditor may (without prejudice to his right to be heard orally) require
that the representations shall be read out at the meeting :
Provided that copies of the representations need not be sent out and the representations need
not be read out at the meeting if, on the application either of the company or of any other person
who claims to be aggrieved, the Company Law Board is satisfied that the rights conferred by this
sub-section are being abused to secure needless publicity for defamatory matter; and the
Company Law Board may order the company's costs on such an application to be paid in whole
or in part by the auditor, notwithstanding that he is not a party to the application.
(4) Sub-sections (2) and (3) shall apply to a resolution to remove the first auditors or any of them
under sub-section (5) of section 224 or to the removal of any auditor or auditors under subsection
(7) of that section, as they apply in relation to a resolution that a retiring auditor shall not
be re-appointed.


Hi srinivas,

What is 10?

10 was mis typed
in continuation i posted to your mail detils
as the auditor to be changed in pvt ltd
central governament permisstion to be obtained or not is the specific issue
thanks and regards


company returns are due on oct 31st,is it possible to inform roc and pass agm for change and adharing sec 224,225 as guided by mr mani,finally tax auditing to file retuns with changed auditor by last date

advisable to delay the filing date,meantime inform old auditor and time for new auditor to comply pl guide

CG permission is not required.

There is no rule that tax audit should be done by statutory auditor.

It can be done by some other chartered accountant.

Statutory auditor can be changed by following procedure U/s.225.

thanks and action started

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