Change of the auditor

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Neha Dwivedi (Querist)
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10 August 2011 Dear Experts,

Please let me know what is the procedure for change of auditor in Private company

Please do reply

Regards,

Neha Dwivedi

CA Sreenivasa Rao Munaga

CA Sreenivasa Rao Munaga (Expert)
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10 August 2011 If a private company wants to remove an existing auditor and appoint a new
audit the following procedure will need to be followed.
1. Members by passing an ordinary resolution after giving special notice can
remove an auditor (section 510).
2. The company must give to the existing auditor a special notice of the
meeting for resolution mentioning removing auditor from office (section 511).
3. If the existing auditor would like to make any representations, the company
must send these to every member of the company (unless the
company applies to the court not to do so).
4. Where a resolution removing auditor from office is passed under
section 510, the company must give notice of that fact to the
registrar within 14 days.
5. The auditor who has been removed from office has the right to
attend, make representations to and be heard at the general
meeting of the company at which his term of office would
otherwise have expired or at which it is proposed to fill the
vacancy caused by his removal (section 513).

Thanks,
CA M Sreenivasa Rao.