24 October 2010
Dear Sir/madam for appointing auditor S.R. is required if 25% or more paid up capital is held by any govt. company, general insurance co., nationalised bank, or any other financial institute. but if on the date of notice share held is less than 25% and on AGm it is more than 25 % then how can we pass S.R. since there is no business in notice specially mention that S.R. Will pass at AGM.And if we adjurned the meeting then also we can not pass S.R.since notice is to be given for 21 clear days.
27 October 2010
cut off date for calculation shareholding is the date of AGM. If at the tym of issue of notice shareholding is below 25% but on the day of meeting it is 25% then the meeting should be adjourn and notice for SR should be given. However, this is not a practical situation, as normally share holders register is also closed before the date of meeting then how can the shareholding pattern be changed.
CAclubindia
