Auditor appointment

Auditor should be appointed for 5 Years but it  need ratification in every AGM

No listed company or

1. All unlisted companies having a paid up capital of rupees 10 crores or more
2. All private companies having a paid up capital of rupees 10 crores or more
3. All companies having paid up share capital of below threshold limit mentioned above but having public borrowing from financial institutions, banks or public deposits or rupees 50 crores or more ,

shall appoint or re-appoint—

(a) an individual as auditor for more than one term of five consecutive years; and

(b) an audit firm as auditor for more than two terms of five consecutive years:

Provided that—

(i) an individual auditor who has completed his term under clause (a) shall not be eligible for re - appointment as auditor in the same company for five years from the completion of his term;

(ii) an audit firm which has completed its term under clause (b), shall not

be eligible for re- appointment as auditor in the same company for five years from the completion of such term

What I reiterate from the Section 139(2) of the Companies Act 2013, if your company fall in the above mentioned parameter, in that case five consecutive tenure conditions is applicable otherwise not. You can appoint him every year in every AGM.

Other views are solicited