Casual vacancy

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

11 December 2013 Respected Sir/madam,

If casual vacancy is caused by way of Resignation of the Auditors before the expiry of their tenure..& Board of Directors appoint the Auditors in contravention of the above Section..

What are the penal clauses..????

Ajay Mishra

Ajay Mishra (Expert)
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11 December 2013 Board has no power to appoint auditor in this case, so appointment of such auditor will be void ab inito.

So such appointment will not be consider and ROC can issue a notice under section 234.

Querist : Anonymous

Querist : Anonymous (Querist)

11 December 2013 What are Penal Consequences..???

I have Already received the notice stating Penal Action will be taken...

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