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Auditor

Sudhir Todkar (CS Professional) (1021 Points)

23 November 2017

X ltd in which Y is an independent director. Can son (CA) of Independent Director can be appointed as a statutory auditor as per 141.

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Banti Meghwal (student) (31 Points)
Replied 23 November 2017

director is a deemed officer in company, so a relative of officer should not be a auditor of that company

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CA PRADEEP C B (Prop: Pradeep C & Company Chartered Accountant Palakkad Kerala) (166 Points)
Replied 23 November 2017

As per Section 141 (3)(f):
a person's relative is a director or is in the employment of the company as a director or key managerial personnel, such person cannot be appointed as statutory auditor.

here the term "director" stands for ordinary directors.
Generally even if an independent director satisfies the criteria of independence specified in section 149 (6), he is also a director. Hence a CA, son of an independent director, is disqualified.

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