24 July 2014
Under the new Act, any qualifications,observations or comments on financial matters or matters which have an adverse effect on the functioning of the company mentioned in the auditors report shall be read before the company in the general meeting vide section 145.
But that is in relation to any qualification that has any adverse impact on company. In general, any auditor report without any adverse remark of auditor is taken as read with the permission of members present.
24 July 2014
In practical, I have seen at AGM, many times members themselves demand to take auditor report as read as auditor report without any adverse remark is very much standard in nature.
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