Auditor Appointment & Resignation

An auditor is an independent professional person qualified to perform an audit, responsible for evaluating the validity and reliability of a company’s financial statements. Appointment of Auditors as under Section 139 of Companies Act, 2013: The first Auditor of a company shall be appointed by Board within 30 days from registration of the company or otherwise by members within 90 days at an EGM, who shall hold office till the conclusion of first AGM. At the first AGM, an auditor shall be appointed to hold office till the conclusion of 6th AGM. This is subject to ratification by shareholders at every AGM by passing Ordinary Resolution.
Resignation of Auditor under Section 140(2): An auditor can resign by giving notice and shall file necessary e-form with the ROC, within 30 days from the date of resignation.