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Appointment of auditor

Sreeram (Article) (169 Points)

07 August 2014

As per Companies Act 2013, Auditor shall be appointed from the conclusion of First AGM till the conclusion of Sixth AGM. So can a First Auditor, who is appointed before First AGM by BOD or by Shareholders in an EGM, be appointed till the conclusion of Sixth AGM which allows him to serve for Six consecutive years?

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4 Replies

Avneesh Mishra (CS Trainee) (502 Points)
Replied 11 August 2014

Dear Sreeram,

Please read the Rule 6 of Chapter X (Attached herewith for your ready reference) and do read the tables given below to the rule 6.

Trust it would suffice your query.

Regards,
Avneesh Mishra.

Attached File : 1179043 1351874 ncarules chapter10.pdf downloaded: 203 times

Sreeram (Article) (169 Points)
Replied 02 June 2015

Originally posted by : Avneesh Mishra
	Dear Sreeram, Please read the Rule 6 of Chapter X (Attached herewith for your ready reference) and do read the tables given below to the rule 6. Trust it would suffice your query. Regards, Avneesh Mishra.

I am asking in the case of New company. For example, first auditor for a company incorporated on 20/05/2015 will be appointed till 31/03/2016 by BOD or Members in EGM.Then in the first AGM can the same auditor be appointed for five years i.e.from 01/04/2016 to 31/03/2021 in which case, he will be functioning as auditor for more than 5 years continuously?

dig vijay (ok) (151 Points)
Replied 04 June 2015

No, only the one appointed in first AGM or sixth AGM shall hold his office for five years. In your case he shall retire at first AGM

Sreeram (Article) (169 Points)
Replied 26 June 2015

Originally posted by : dig vijay
	No, only the one appointed in first AGM or sixth AGM shall hold his office for five years. In your case he shall retire at first AGM

So do you mean that first auditor appointed by Board cannot be appointed in first AGM for 5 years?

Can you substantiate it?