Procedure to changa auditor in a company

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Querist : Anonymous

Querist : Anonymous (Querist)

22 March 2012 I am a article assistent my auditor ask this question.

What is the procedure to change auditor in a company ie.,(auditor wants to come out from a company) what procedure auditor should make and which section it covers in company law 1956

Ajay Mishra

Ajay Mishra (Expert)
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22 March 2012 Hi

Section 224 of the Companies Act, 1956 deal with appointment, remuneration and resignation of auditor of the company.

Procedure for change of auditor of the company by resignation:

1. After receiving resignation letter from statutory auditor, call a Board Meeting for calling Extra Ordinary General Meeting.
2. Hold an Extra Ordinary General Meeting and appoint an auditor.
3. Send a letter of appointment to concern statutory auditor.
4. Receive letter of acceptance of appointment from auditor.
5. Make entry in the concern minutes.

Please take into account that in the case of appointment of statutory auditor to fill up casual vacancy, there is no need to file any form with ROC.

Regards

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