Audit ethics

Somebody pls help me on ths audit questn Mr A,a CA is a tax consultant of Agni ltd.for the current fiscal year.For this service he has to visit the company daily from 11 am to 3 pm and has been paid monthly salary of rs.80000.The company intends to appoint him as its statutory auditor at the AGM. What opinion can we give for this situation? a co. was in d proces of incorporatn.promoters of the co signed an agreement 4 d purchase of certain furniture 4 d company n payment was 2 be made 2 d suplier by d company after incorporatn.shortly,after incorporation d company went into liquidation n d debt cud nt b paid by d company 2 d suplier.as a result suplier sued d promoter of d co 4 d recovery of money.Examine whethr promoters can b held liable 4 payment undr folowing situations: 1.whn d co. had already adoptd d contract aftr incorporatn. 2.whn d co. makes a fresh contract wid d suplier in terms of pre-incorporation contract.