Filling of a Casual Vacancy

• Casual vacancy of the auditor means a vacancy caused due to death , resignation , disqualification etc . of the auditor after accepting a valid appointment because of which the auditor cease to act as auditor of the company .
• Casual vacancy ka matlab kya h , ye act mein toh define nahihailekinaaiyeiskamatlabsamajhtehain ,- aapneapni company meinek auditor appoint kiyahai , aur appointment accept karnekebaad auditor ne resign kardi ya firr auditor ki death ho jaatiha iyaa auditor disqualify ho jatahai as auditor act karnekeliye , toh abbaapki company mei koi auditor nahihai , auditor ki vacancy hai , iss vacancy ko hum kahte hain casual vacancy .  

1.filling of casual vacancy n non govt. company and

2. filling of casual vacancy in a govt company

-Non – government company

- In the case of a non-govt. co , any casual vacancy  in the office of an auditor shall,-. , be filled by the Board of Directors within 30 days .

As per Section 139(8), any casual vacancy in the office of an auditor shall-In the case of a company other than a company whose accounts are subject to audit by an auditor appointed by the Comptroller and Auditor- General of India, be filled by the Board of Directors within 30 days

If such casual vacancy is as a result of the resignation of an auditor, such appointment shall also be approved by the company at a general meeting convened within three months of the recommendation of the Board and he shall hold the office till the conclusion of the next annual general meeting.

Govt company or government owned/controlled company

- In the case of a company whose accounts are subject to audit by an auditor appointed by the Comptroller and Auditor-General of India, be filled by the Comptroller and Auditor-General of India within 30 days.

In the case of a company whose accounts are subject to audit by an auditor appointed by the Comptroller and Auditor-General of India, be filled by the Comptroller and Auditor-General of India within 30 days.

It may be noted that in case the Comptroller and Auditor-General of India does not fill the vacancy within the said period the Board of Directors shall fill the vacancy within next 30 days.

Casual Vacancy by Resignation:

fifty thousand rupees or the remuneration of the auditor, whichever is less.

As per section 140(2) of the Act, the auditor who has resigned from the company shall file within a period of 30 days from the date of resignation, a statement in the prescribed Form ADT–3 with the company and the Registrar.

In case of the companies referred to in section 139(5) i.e. Government company,  the auditor shall also file such statement with the CAG along with the company and the Registrar.

The auditor shall indicate the reasons and other facts as may be relevant with regard to his resignation.

In case of failure, the auditor shall be liable to a penalty of fifty thousand rupees or the remuneration of the auditor, whichever is less, and in case of continuing failure, with further penalty of five hundred rupees for each day after the first during which such failure continues, subject to a maximum of five lakh rupees as per section 140(3).

Other Important Provisions Regarding Appointment of Auditors-

• A retiring auditor may be re-appointed at an annual general meeting.
• disqualified nahi hai re-appointment ke liye ,

 

A retiring auditor may be re-appointed at an annual general meeting, if-

• he is not disqualified for re-appointment;
• he has not given the company a notice in writing of his unwillingness to be re - appointed; and
• a special resolution has not been passed at that meeting appointing some other auditor or providing expressly that he shall    not be re-appointed