Procedure for filing form 23b

Hi RUPESH,

In case of vacancy in the office of the auditors due to resignation of present auditors, a General Meeting is required for the appointment of new auditors in their place and thereafter Form 23 B is required to file again by the new auditors.

However the new auditors shall require no objection certificate from the present auditors for the same.

Regards

Whether EGM is required to be called? Whether CG approval is required? Can Form 23B be filed without penalty?

When Company removes the auditor then C.G approval is required but if auditor resigns himself and their is casual vacancy then C.G approval is not required. EGM is required.

Agree with Sneha.

Originally posted by : Sneha
	When Company removes the auditor then C.G approval is required but if auditor resigns himself and their is casual vacancy then C.G approval is not required. EGM is required.

Agree!!!! As regards to filing of Form 23B without penalty, it has to be filed within 30 days of the EGM date.....so you can avoid the additional fees if you file it within the due date!!

1. get resignation letter from the existing auditor

2. Get the approval letter from New Auditor to whom the copany want to appoint under section 224 (1)(b) of CA, 1956

2. conduct Board Meeting to hold EGM where the new auditor will be appointed

4. Hold the EGM and appoint the new Auditor with consent of shareholders.

5. Send an intimation to new auditor regarding his appointment within 7 days of his appointment.

6. The new auditor has to file Form 23 within 30 days of getting intimation letter that he has accepted or not the proposal of company.

7. If filed after 30 days of intimation, the penality will have to be born by Auditor.

In above case, no CG Approval is required as Auditor has resigned and has not been removed by the company. But if company want to remove the auditor, the prior approval of CG is required.

But does the previous auditor have to file any resignation form with the ROC. This is because the previous auditor has filed 23B and thus the new 23B filed by the new auditor is not being accepted at MCA Site. 

If yes; then what is the form number.