06 September 2016
See, try to consider a subtle point...... AUDITOR is not supposed to do anything in the preparation of books of accounts.....what s/he can do is the AUDIT......and hence lien can NOT be exercised....unlike say a tailor, accounts writer,
06 September 2016
the point is simple.....an AUDITOR acting as AUDITOR only has no business to do with doing any processing/ work on the books of accounts AND hence no lien can be exercised on the books.
On the other hand, if an Auditor, in addition to being an auditor, is giving some services to company, where the auditor can beyond any doubt prove that the auditor has done some processing on books of accounts....then the auditor in the capacity of processor of books of accounts can have LIEN.....
CAclubindia
