Procedure for fill up casual vacancy of auditor

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This query is : Resolved

hemanta kumar nayak (Querist)

14 November 2014 Sir
Our Auditor has resigned from auditorship for FY 2013-2014, and also send us resignation letter, so what is the next procedure for ROC Filing with ROC.

CS Mitesh Mehta

CS Mitesh Mehta (Expert)

14 November 2014 Procedure – where casual vacancy arises due to resignation of existing auditor

1. Intimate the proposed auditor(s) regarding the intention of appointing him/it as auditor and ask whether he/ it is eligible and not disqualified to be appointed as auditor of the company.
2. Obtain consent & certificate from auditor.
3. If Audit Committee required to be constituted under section 177, then obtain its recommendation (Section 139(11)).
4. Call Board meeting for the purpose of following:-
•Appointment of auditor in casual vacancy.
•Considering that the qualification & experience are commensurate with the size & operations of the company.
•Recommending the members to approve the appointment.
•Calling of EGM(to be held within 3 months from date of Board meeting).
5. Intimate the Auditor and file with ROC form ADT-1 within 15 days of EGM(since the appointment is not final until approval of members).

As per section 140(2) the Auditor who has resigned from the company shall file within a period of 30 days from the date of resignation, a statement in the prescribed form with the company and ROC indicating the reasons and other facts as may be relevant with regard to his resignation in form ADT-3

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