Board meeting

There is no time limit prescribed under companies act, 1956 for holding board meeting like prescribed for AGM etc. So no penaulty as far as time is concerned.

But as per section 285 you have to hold at last 4 board meeting in a year.

4 board meeting here means one meeting for each quarter.

RG

I am presuming that you are asking for an unlisted company. It is a good practice if internal audit report be considered by BOD.

Consideration of internal audit report by audit committee is dependent on the terms of reference of audit committee.

But one thing is sure there is no need to place internal audit report before the shareholders.

Sir

what you presumed is correct.The company is unlisted.the company is subject to provisions of 292A.

292A says that internal auditor has to be an invitee to meeting of audit commitee.The company is bound under Caro to appoint internal auditor.SO is it possible for audit commitee to consider the final accounts without actually receiving internal audit report if the terms of reference do not contain considering internal audit report.I am asking so because internal auditor has to be an invitee to meeting of audit commitee.

If the company fails  to hold one board meeting in each quarter will the company secretary be considered as an officer in default

Originally posted by : lakshmi
	If the company fails  to hold one board meeting in each quarter will the company secretary be considered as an officer in default

Yes he will be considered as OID. However penalty mentioned u/s 629A will be applicable i.e Rs. 5000 or Rs. 500 is default if a continuing one.

RG

Final authority to approve annual account is with Board. Hence there is no harm if audit committee considered the final accounts without actually referring to internal audit report and forward accounts to Board for final approval.

RG

Thank you sir for your kind reply