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When first auditor remove

rajeev kumar, bcom ca-final (study) (196 Points)

16 October 2011

can first auditor removed by board of dirctor at statutory meeting.........

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CA Rachit Gupta (Chartered Accountant) (1315 Points)
Replied 16 October 2011

No Rajeev, at AGM first auditors can be removed only by passing ordinary resolution, board of directors has no power to remove the auditors (whether first of subsequent) at AGM.

SANJEEV (CA Final (B.COM)) (189 Points)
Replied 17 October 2011

Company can remove First Auditor in GM not in any other case..

Agree with

Rachit gupta

gillbates (student) (277 Points)
Replied 17 October 2011

Originally posted by : rajeev kumar, bcom ca-final
	can first auditor removed by board of dirctor at statutory meeting.........

Pradeep Singh (article) (65 Points)
Replied 17 October 2011

first auditor is appointed by board of director in, therefore only bod can remove first auditor by passing board resolution in board meeting. you can refer to sec 224(5) of companies act 1956.

CA Rachit Gupta (Chartered Accountant) (1315 Points)
Replied 17 October 2011

Dear pradeep

In section 224(5), it is clearly mentioned that for removal of first auditor ordinary resolution must to passed. Moreover, ordinary resolution is passed only by the shareholders in a general meeting.

So In my opinion board has no power to remove the auditors(whether first auditor or subsequent auditor)

CA Arindam Dey (Chartered Accountant) (117 Points)
Replied 17 October 2011

Although u/s 224(5), First Auditors are appointed by the Board but the authority to remove the First Auditors (before the first AGM) rests with the COMPANY by passing an ordinary resolution at a general meeting.