Friday, October 10, 2014

Procedure For Appointment of Company Auditor

Section 139 of the Companies act 2013 govern the procedure for appointment of auditor. 139. Section 139 stipulates that Subject to the provisions of this Chapter every company must appoint at its first annual general meeting an individual Chartered Accountant or a firm of Chartered Accountant as an auditor and who shall hold position as an auditor from the conclusion of first AGM till the conclusion of its 6th annual general meeting and thereafter until the conclusion of every 6th meeting and the way and the procedure for selection of the auditors by the members of the company at such meeting as may be prescribed

Provided that the company can place the matter relating appointment of Company Auditor for ratification by its members at each annual general meeting:
Provided further that before Appointment Company auditor is made there need written consent of the proposed auditor for such appointment and there need to get a certificate from proposed auditor for appointment.

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