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Relating to auditors appointment

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(Querist)
29 January 2010 If a retiring auditor of a pvt. co. is not qualified further to be re appointed as the auditor of the company. What should be the entire procedure for appointing a new auditor in his place
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Rasesh

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Rasesh (Expert)
29 January 2010 Before the AGM, In the BM when the accounts are approved by the Board, pass a resolution noting that the existing auditor has expressed his inability to be re-appointed. Obtain a letter from the auditor to the effect.

Simultaneously, propose the name of some other auditor. Obtain a letter from him that his appointment, if made at the AGM will be in compliance of Section 224(1B).

The Notice of the AGM should clarify the above. At the AGM, appoint the new auditor in place of the existing auditor. Post AGM, sent apppointment letter to the auditor and request him to file the necessary intimation with the ROC.
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