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Appointment of new statutory auditor

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Kavita R

Service

162 Points Posted on 17 December 2022

Dear Sir/ Mam,

In case of Pvt. Ltd. company, the statutory auditor's term has already expired in the AGM of 2022 and we have not appointed the new auditor. We were ready to replace him with another auditor through EGM. But now the earlier auditor is ready to continue the company with 1 year appointment (every year). My query is: 1. can the earlier auditor appointed? 2. Can he be appointed with EGM or how ? 3. Can he be appointed every year as it is his request or is it mandatory to appoint him for 5 years?

Kindly urgently reply.

Thank you in advance.

Replies (2)

Quick Summary

This discussion addresses the appointment of a new statutory auditor for a Pvt. Ltd. company where the previous auditor's term expired at the 2022 AGM. The key question is whether the previous auditor can be re-appointed, potentially through an EGM, and if their tenure can be fixed at one year annually. Guidance suggests the previous auditor may continue under Section 139(10) of the Companies Act 2013, with annual re-appointment possible.

Guest

Posted on 19 December 2022

the earlier auditor continues to be the auditor as per sec. 139(10) of the Companies Act 2013. tenure can be fixed as 1 year also and be reappointed in next agm and so on.

sabyasachi mukherjee

Profession

19978 Points Posted on 19 December 2022

Generally appointment of auditor takes place at AGM UNLESS OTHWERWISE DISQUALIFIED.sec 139(10) states that if no auditor is seperately appointed then the auditor can be appointed.
any changes icai guidelines has to be followed.