Removal of Auditor
All companies. An auditor may be removed before expiry of term only by passing a Special Resolution by shareholders, and with the prior approval of the Central Government (in Form ADT-2). Board must first pass a resolution recommending removal and applying for Central Government approval.
Removal before expiry of term requires: (1) Board resolution; (2) prior approval of Central Government via Form ADT-2; (3) Special Resolution by shareholders within 60 days of CG approval. The auditor concerned must be given an opportunity of being heard.
Section 140(1), Companies Act 2013; Rule 7, Companies (Audit and Auditors) Rules, 2014
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