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In case of appointment of first auditor of a govt company if BoD doesn't appoint the auditor shareholders must appoint within next 30 days or 60 days? As in study material it is after 60 days of BoD but in lecture sir mentioned 60days including 30 of BoD
Answers (11)
Thread Starter
Priyanka UdeshiSure Sir, here it is page 10.12
Within 60 days is not after expiry of 30 days. That is the plain language of law.
CA Suraj Lakhotia Admin
Within 60 days is not after expiry of 30 days. That is the plain language of law.
Sir I got this doubt while solving mcqs from scanner option D is the correct answer for the McQ but that contradicts the explanation
No sir I'm talking about "Government Company" and the screenshot you attached is of other than govt company In case of Govt company Sir said that Shareholders have sixty days in which 30 of BoD are included so effective 120days. Whereas I believe it should be 60 after failure of BoD so effective 180. So sir please clarify what is correct
Thread Starter
Priyanka UdeshiAttaching the screenshot for ref . -Chapter 10 Module 13
Notwithstanding anything contained in sub-section (1), the first auditor of a company, other than a Government company, shall be appointed by the Board of Directors within thirty days from the date of registration of the company and in the case of failure of the Board to appoint such auditor, it shall inform the members of the company, who shall within ninety days at an extraordinary general meeting appoint such auditor and such auditor shall hold office till the conclusion of the first annual general meeting. Here the ninety days is including 30 days
Notwithstanding anything contained in sub-section (1) or sub-section (5), in the case of a Government company or any other company owned or controlled, directly or indirectly, by the Central Government, or by any State Government, or Governments, or partly by the Central Government and partly by one or more State Governments, *the first auditor shall be appointed by the Comptroller and Auditor-General of India within sixty days from the date of registration of the company and in case the Comptroller and Auditor-General of India does not appoint such auditor within the said period, the Board of Directors of the company shall appoint such auditor within the next thirty days; and in the case of failure of the Board to appoint such auditor within the next thirty days, it shall inform the members of the company who shall appoint such auditor within the sixty days at an extraordinary general meeting, who shall hold office till the conclusion of the first annual general meeting.
CA Suraj Lakhotia Admin
Notwithstanding anything contained in sub-section (1) or sub-section (5), in the case of a Government company or any other company owned or controlled, directly or indirectly, by the Central Government, or by any State Government, or Governments, or partly by the Central Government and partly by one or more State Governments, *the first auditor shall be appointed by the Comptroller and Auditor-General of India within sixty days from the date of registration of the company and in case the Comptroller and Auditor-General of India does not appoint such auditor within the said period, the Board of Directors of the company shall appoint such auditor within the next thirty days; and in the case of failure of the Board to appoint such auditor within the next thirty days, it shall inform the members of the company who shall appoint such auditor within the sixty days at an extraordinary general meeting, who shall hold office till the conclusion of the first annual general meeting.
Here the sixty days period includes thirty days allowed to BOD. Please note that for thirty days "next" is used. But for sixty days "next" is not used.
CA Suraj Lakhotia Admin
Here the sixty days period includes thirty days allowed to BOD. Please note that for thirty days "next" is used. But for sixty days "next" is not used.
Thank you Sir!! I was just confused because of that McQ in scanner
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