First auditor appointment is mandatory in case of Privated limited company?
Posted By :
Pushkar / Published on :
08-Jul-2018 07:17 AM / View :
696 / Comment :
1
I created a new compay(Privated Limited Company) in October with the 100000 share and I have not appoint any auditor till now.
Then my question is that is it mandatory to appoint auditor even company have no generated any amount of trunover.
As per Section 139(6) of Companies Act 2013, 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.
With my view, here Company includes both "Private" and "Public".
So, it is also necessary to comply this provision by Private Company.
Dear Pushkar,
As per Section 139(6) of Companies Act 2013, 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.
With my view, here Company includes both "Private" and "Public".
So, it is also necessary to comply this provision by Private Company.
Hope it will help You!!
Thank You.