The Companies Act 2013 has introduced many changes including
Change in Auditor, appointment, re-appointment and information of the same with
MCA. Earlier Auditor was filing 23B for appointment or re-appointment of the
auditor, now burden of intimation to the MCA is shifted from Auditor to
Companies. Every Company has to file ADT-1 within 15 days of the appointment of
the auditor. MCA has introduced New Forms in their rules for Change in Auditor
/ Auditors :
- ADT-1
Appointment of Auditor within 15 Days of appointment / reappointment.
- ADT – 2
Application to Central Government for removal of Auditor
- ADT-3 Resignation of Auditor to be filed by the Auditor
within 30days of the resignation. As per
Rule 8 the Auditor has to inform MCA in ADT -3 giving reason for resignation
and other facts relevant to the resignation. If the auditor does not file the
ADT-3 and there is a fine of Rs. 50000
to Rs. 500000/-
- ADT-4 Information by the Auditor to Central Government
about fraudulent activities of the company.
Section 139 and 140
read with Rule3 to Rule 8 provide for appointment, reappointment and removal of
the auditor as per Companies Act 2013
·
Section 139(1) -
General Provisions for appointment of Auditor.
·
Section 139(2)
- Listed & Specified Companies - No listed company and a
company belonging to such class or classes of companies as may be prescribed,
shall appoint or re-appoint
a)
an individual as auditor for more than one term of five consecutive
years and
b)
an audit firm as auditor for more than two terms of five consecutive
years:
·
Sec 139(3)- Rotation of Auditor
·
Sec 139(4)- Manner of Rotation of Auditors
Appointed u/s 139(2)
·
Sec 139(5) Appointment of Auditor- In case of
Companies owned or controlled by Govt.
·
Sec 139(6) Appointment of First Auditors by BOD
·
Sec 139(7) Appointment of First Auditor In case
of Companies owned or controlled by Govt.
·
Sec 139(8)Casual Vacancy
·
Sec 139(9) Reappointment of Auditor
·
Sec 139(10) Suo Motu Appointment of Existing
Auditor
·
Sec 139(11) Appointment of Auditor by Audit
Committee
·
Sec 140(1) Removal of Auditor before the Expiry
of his Term
·
Sec 140(2) Intimation of the resignation to
the Registrar by the Auditor
·
Sec 140(3) Penalty for Non- Filing of Form by
Auditor
·
Sec 140(4) Special Notice
·
Sec 140(5) Removal of Auditor by Tribunal
Also Given
DRAFT FOR NOTICE OF EXTRAORDINARY GENERAL MEETING
SPECIAL BUSINESS -
Appointment of Statutory Auditors to
fill casual vacancy
Explanatory Statement under Section 102(1) of the Companies Act,
2013.
ADT-1, ADT-2, ADT-3 and ADT-4
