At any time during his or her term of office, a company may remove an auditor from office and don’t re-appoint for further days. If a company wants to remove the auditor they must give the company 28 days notice period and purpose of removing or appointing someone else. A copy of the notice must be sent to the auditor who makes a written response. Other copies of the notice must be sent to shareholders of the company. An Auditor must deposit a statement at the company’s registered office whether an auditor ceases for any reason to hold office. The statement should be connected with his ceasing office that he or she considers should be the attention of the members and creditors of the company. Unless the company does not send the statement to the shareholders they can put the application into the court to stop. Déménageurs auditing has the law and the members to change.

Statutory Provisions Contained Under the Act:

If the auditor does not receive an application to the court within 21 days of depositing the statement with the company, he or she must within a further 7 days send the statement to the Companies House for the public record. The statement need not be circulated to the members. Under the 2013 Companies Act, many professionals have been raising questions on interpretation for the removal of the auditor. The removal of the auditor’s procedure is given in sub-section of Section 140 of the Act. The Company doesn’t satisfy auditors’ service, a removable process of auditor stated the process u/s 140(1). Under our company act,2013 relevant for our discussion, are stated. The auditor is appointed under section 139, as stated in Section 140(1). Removal of the auditor the application to the Central Government shall be made in Form ADT-2 and accompanied with fees as per Rule of Companies Rules, 2014, and within 30 days of the resolution passed by the Board. After getting approval from the Central Government Company requires the approval of shareholders as stated in Section 140(1) states. under sub-section (1) of Section 140 the power to make an application to the Central Government. Removal of Auditor the Company is required to pass a special resolution to make an application to the Regional Director as per e-form ADT 2 and help-kit provided by the Ministry of Corporate Affairs on its website and also inconsistent with provisions of Section 140(1).

Provision of the Act


Because of inconsistency between a provision of the Act and the requirements of the e-form ADT-2 some people have confusion in such situations for holding of EGM and SRN of MGT-14 and with a copy of Minutes of the general meeting. Removal of the auditor u /s 140, bypassing a special resolution company requires holding a general meeting and taking approval from the shareholders. The company will file ADT-2 and apply for the approval of the central government after the approval of shareholders. Under section 139, auditor removed from the office before the term “auditor appointed under section 139” would mean that the auditor(s) appointed by the shareholders. Under the erstwhile section 224A of the Companies Act, 1956 to note that requirement for general use. In conclusion, the removal of the auditor subject to the approval of the Central Government company would be required to hold a general meeting and pass a special resolution.