Appointment, Removal & Role of an Auditor of a Private Limited CompanyPosted by Enterslice on February 12th, 2018 Appointment of Auditor: In case the first auditor of the company is appointed by the Board of Directors then there is no need of giving any notice or intimation to the Registrar regarding the appointment of the auditor of a Private Limited Company. Concept Regarding Appointment of Auditor:
Removal of Auditor: The procedure regarding removing the auditor has been given under Section 140 of Companies Act 2013. As per the Companies Act 2013, the auditor can be removed before the completion of his term. If the appointing company is not satisfied with the service of the auditor the company can start the process of removal of the auditor as stated under section 140. Any auditor appointed under section 139 can be removed from his office before the expiry of his tenure for which he was appointed only by a special resolution of the company, and that special resolution shall be passed after obtaining the previous approval of the Central Government in that behalf in that prescribed manner. An application to the Central Government for removal of the auditor shall be made in Form ADT-2 and that shall be accompanied with the prescribed fees. This applies to the Central Government shall be made to the Central Government within 30 days of the passing of the resolution by the Board of Directors. As per point No.3 of ADT-2 following information required to mention while filing the form: i. Service request number of Form MGT-14 ii. Date of filing the form iii. Date of passing the special resolution For obtaining the approval of Central Government the company is required to file E-Form ADT-2 and ADT-2 and these forms can only be filed after mentioning the date of EGM, SRN of MGT-14 and the copy of the Minutes of General Meeting. Role of Auditor:
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