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Partners

RAKESH (Almost CA) (2199 Points)

19 November 2009

hi .

can anyone tell me if in a firm there are 3 partners and two of them are qualified as CA and other one is not CA then the company appointing the firm as statutory audit and tax audit . can the third partner sign on behalf of firms.

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6 Replies

CA Devanshi Gandhi (Ajani) (FCA DISA Mcom CIFRS & LLB) (9060 Points)
Replied 19 November 2009

all partners must be CA in a Partnership Firm

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RAKESH (Almost CA) (2199 Points)
Replied 19 November 2009

SIR IF THE 3RD PARTNER IS CA STUDENT I.E HE HAS COMPLETED HIS ARTICLESHIP BUT HE COULD NOT CLEAR HIS EXAMS AND STILL HE IS STUDENTS IN THE MEAN TIME HE BECAME THE PARTNER OF THE FIRM. EVEN THEN WHETHER HE CAN SIGN OR NOT

CA Devanshi Gandhi (Ajani) (FCA DISA Mcom CIFRS & LLB) (9060 Points)
Replied 19 November 2009

he cant become a partner still hes CA Student and not the member of the institute

A.K.Banik (Tax Consultant) (1596 Points)
Replied 20 November 2009

A CA Student who has completed such prescribed period of articleship , qualified relevant exam (CA Final) and holding COP can be a Partner of a CA Firm .

Max Payne (employed) (2574 Points)
Replied 20 November 2009

First of all, only partners of the firm can sign the balance sheet - see section 229 of the companies act.

Second, the CA student cannot be a partner.

Third, if he is a partner, then your firm is disqualified from appointment as auditors. Proviso to Section 226 requires that all the partners of the audit firm should be qualified for appointment if the firm is to be appointed. But in this case student partner is not qualified.