How an auditor is appointed in a company?

How an auditor is appointed in a company?

The 1st Auditor shall be appointed by the Board of Directors by passing B/R within a period of 30 Days from the date of Incorporation/Registration of the company. In case of Failure to appoint the Auditor, the Board of directors shall intimate about the same to shareholders of the company.

Who appoints the auditors of a company how are they appointed?

In accordance with s327A of the Corporations Act 2001 (Corporations Act), the directors of a public company must appoint an auditor within one month after the day on which the company is registered, unless the company, at a general meeting, has appointed an auditor.

How is an auditor appointed and removed?

The members of a company may remove an auditor from office at any time during his or her term of office or decide not to re-appoint him or her for a further term. They must give the company 28 days’ notice of their intention to put a resolution to remove the auditor, or to appoint somebody else, to a general meeting.

How do you appoint a company’s first auditor?

Section 139(6) of the Companies Act, 2013 lays down that first auditor of a company, other than a Government company, shall be appointed by the Board of Directors within 30 days from the date of registration of the company and in the case of failure of the Board to appoint such auditor, it shall inform the members of …

How and when should an auditor be appointed?

Section 357 of the Companies and Allied Matters Act (CAMA) requires every company to appoint an Auditor or Auditors at every Annual General Meeting (AGM) by way of approval of 75% or three-quarters of the members present and voting at the AGM. Such Auditor(s) appointed at the AGM shall hold office until the next AGM.

How an auditor is appointed under the Companies Act 2013?

In case of Government Companies the first auditor shall be appointed by the Comptroller and Auditor General of India within sixty days from the date of incorporation of the Company and in case the Comptroller General of India does not appoint such auditor within the said period of time, then the Board of Director of …

How external auditors are appointed?

A Forex Bureau or Money Remittance Company shall nominate for appointment an External Auditor from a prequalified list published by Bank of Uganda, whose duty shall be to perform an audit of the annual financial statements of the institution.

Does a company have to appoint an auditor?

An auditor of a private company must be appointed for each financial year of the company, unless the directors resolve otherwise on the grounds that audited accounts are unlikely to be required.

How may a company auditor be removed?

The auditor appointed under section 139 may be removed from his office before the expiry of his term only by a special resolution of the company, after obtaining the previous approval of the Central Government in that behalf.

Who may appoint the first auditor of a company?

the directors
(4) For the purposes of subsection (3),(a) the directors may appoint the first auditors of a company and may fill a casual vacancy in the office of auditor; or(b) if a company does not have an auditor for a continuous period of three months the Registrar may appoint an auditor for that company.

Who may act as an auditor for a company?

As per the Companies Act, 2013, only a practising Chartered Accountant (CA) is eligible to be appointed as the statutory auditor in a company. A person shall not be qualified for appointment as statutory auditor of a company unless there is eligibility on the part of the person to act in the capacity of an auditor.

How often are auditors appointed?

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