Adt-1 in case of change in constitution of auditor.

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CA Deepika Gandhi (Querist)
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06 March 2017 Does ADT-1 is needed to file in case where Pvt. Ltd. Co. appointed Auditor Firm (proprietorship) as Auditor for five years, but now the same has been converted to partnership audit firm? If yes, then please explain the procedure? Does EGM need to be called and ADT- 1 need to be filed and does this reappointment will constitute as a reappointment due to causal vacancy other than resignation or something else.
Please provide the solution.
Thanks

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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06 March 2017 1. ADT-1 has to be filed because the issue is covered u/s 139(8).

2. Board of directors has to appoint the auditor (ie., partnership firm).

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CA Deepika Gandhi

CA Deepika Gandhi (Querist)
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06 March 2017 IS ADT-3 IS TO FILED FIRST FOR THAT

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Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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06 March 2017 No,because ADT-3 is only for 'resignation'. Inference - Section 140(2) and Rule 8 of Companies ( Audit & Auditors) Rules,2014.

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CA Deepika Gandhi

CA Deepika Gandhi (Querist)
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06 March 2017 Please also clarify if resolution passed in EGM to be Filed in MGT-14 or not?
the company is a private company.
Thank You

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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06 March 2017 No EGM is required in this case. Inference -section 139(8). Pl also read the writings in https://www.caclubindia.com/articles/casual-vacancy-1084.asp

CS Mitesh Mehta

CS Mitesh Mehta (Expert)
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07 March 2017 Sir,

Whether ADT-1 is required to be filed in case Auditor firm is converted into LLP

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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07 March 2017 Yes Sir, because PAN has to be shown in e-form AOC-4 which will change upon conversion to LLP.

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CA Deepika Gandhi

CA Deepika Gandhi (Querist)
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07 March 2017 ADT-1 asks for SRN of relevant form in case of casual vacancy. so in this this what should we fill in that particular column as we are not required to file ADT-3. which other relevant form is required for that?

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Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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07 March 2017 I stand corrected to the following extent.

+ The auditor (proprietary) has to resign

+ e-form ADT-3 has to be filed.

+ to convene board meeting to appoint auditor ( partnership firm)

+ to convene EGM with in 3 months of the above BM

+ to e-file MGT-14

+ to file e form ADT-1 to appoint partnership firm to fill up casual vacancy.

Thanks Deepika Ji for enlightening