Appointment of auditor in case of resignation

Call a Board Meeting on 24.11.2012 or later and pass a resolution to hold EGM. If Board Meeting is held on 24.11.2012 then date of EGM can be 17.12.2012 or later (23 clear days difference should be there between the date of Board Meeting and EGM ). 

Pass this resolution as ordinary resolution in the Board Meeting.

Resolution to be passed at Board Meeting calling EGM

APPOINTMENT OF M/S. __________, CHARTERED ACCOUNTANTS AS THE  AUDITORS OF THE COMPANY TO FILL THE VACANCY CAUSED BY THE RESIGNATION OF _________, CHARTERED ACCOUNTANT, THE PRESENT AUDITORS OF THE COMPANY

The Chairman informed the Board that M/s. _________, Chartered Accountants resigned from their office as auditors of the Company. Therefore the Chairman expressed his opinion to appoint another auditor in place of M/s. ___________, subject to the approval of shareholders in General Meeting.     

The Board expressed its satisfaction to the matter discussed and passed the following Resolution.

“RESOLVED that an Extra Ordinary General Meeting of the shareholders be called on (Day, Date and Time) for the appointment of Auditors of the Company. The draft notice along with explanatory statement thereto as placed before the Board be and is hereby approved and the same be sent to the shareholders whose name appear in the register of members as on (Date of this Board Meeting).”

“RESOLVED further that in the said Extra Ordinary General Meeting of the Company the following resolution be moved:

After EGM when appointment of Auditor is approved by shareholders, the auditor have to file Form 23B within 30days from thje date of such appointment.

Please feel free to ask for any further clarification.

Reappointment  of  auditor basically  takes place a fter the  first auditor  appointed  under sec.224 of the companies Act  has completed his  term or  tenure or if he  resigns  from his  office  before  completing hs term. Moreover, a uditors  can be reappointed by the board or shareholders in the extraordinary general  meeting to fill the vacancy caused by resignation. After being apponted as auditor , he should inform  the company  that  he has  accepted the appointment and is willing to work.

Regards

Tanveer mohammad Masood

Originally posted by : Tanveer Md Masood
	Reappointment  of  auditor basically  takes place a fter the  first auditor  appointed  under sec.224 of the companies Act  has completed his  term or  tenure or if he  resigns  from his  office  before  completing hs term. Moreover, auditors  can be reappointed by the board or shareholders in the extraordinary general  meeting to fill the vacancy caused by resignation. After being apponted as auditor , he should inform  the company  that  he has  accepted the appointment and is willing to work.   Regards Tanveer mohammad Masood

Auditors cant be appointed or re-appointed by the Board (except first auditors). Only shareholders can appoint or reappoint the auditors.

Nicely expalined by Sneha.

Regards,

Well explained by CS.Sneha Binani.

Thanx for the appreciation.