one of the joint auditors resigns from the auditorship and creating casual vaccancy, now question is that is it necessary to fill the casual vaccancy in general meeting or the company can continue with the existing auditors by resolving in the Board that the company can go ahead with the single auditors.
21 July 2011
Kindly refer section 224(6) of companies act, 1956 which says:
(6) (a) The Board may fill any casual vacancy in the office of an auditor; but while any such vacancy continues, the remaining auditor or auditors, if any, may act:
Provided where such vacancy is caused by the resignation of an auditor, the vacancy shall only be filled by the company in general meeting.
So while any such vacancy continues, the remaining auditor or auditors, if any, may act.
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