Draft documents for Appointment of Auditor (Statutory Auditor)

Appointment of Auditor's / Auditor's Firm

Provisions related to appointment of Auditors

Section 139(6)

Notwithstanding anything contained in section 139 (1), 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.

Draft documents for Appointment of Auditor u/s 139:

 

1. Board Resolution

(on the Letterhead of the Company)

  

CERTIFIED TRUE COPY OF THE RESOLUTION PASSED IN THE MEETING OF BOARD OF DIRECTORS OF FINANCIAL YEAR 2019-20 OF .................................... PRIVATE LIMITED HELD ON (Day) ...... (Date)........... (TIME) ..................(Venue)

The Chairman of the meeting informed that the first Auditors / Subsequent Auditor of the Company are to be appointed in Board Meeting of the company held on …………….. He informed that he had got consent of …………………, Chartered Accountants (FRN:……..), for their appointment as the first Auditors/ of the Company. The Board considered and passed the following resolution unanimously:

RESOLVED THAT pursuant to the provisions of section 139 of the Companies Act, 2013, ………………………., Chartered Accountants having Firm registration number (FRN): ……………… from whom certificate pursuant to section 139 of the Companies Act 2013 has been received, be and are hereby appointed as the first auditors of the company to hold office until the conclusion of the ensuing annual general meeting of the company at a remuneration to be determined by the Board of Directors of the Company.

FOR ………………………. PRIVATE LIMITED

(Name of the Director & Sign)

Director

DIN:

Address:       

2. Letter of Consent for appointment as Auditor given by the Auditor’s Firm

(on the Letterhead of the CA Firm)

Date: ………………..

To,

The Board of Directors

…………………….  PRIVATE LIMITED

Regd. Address of the Company.......

Sub: - Letter of Consent for appointment as Auditor of

             “………………………… PRIVATE LIMITED “

Dear Sir,

This is with reference to your letter dated ………………….. seeking our consent for appointment as Auditor of ……………………………….. PRIVATE LIMITED (“the Company”). We hereby give our consent to our appointment as Auditor of your company pursuant to the provisions of Section-139 of the Chapter X of the Companies Act, 2013.

Thanking you,

Yours sincerely,

For (Name of the CA Firm)

Chartered Accountants

(FRN: ……………………..)

…………………………….

Partner

M. No.:

Place:

3. Eligibility Criteria (Certificate given by CA firm)

(on the Letterhead of the CA firm)

Certificate

[Pursuant to the provisions of Section 139 of the Chapter X of the Companies Act, 2013 read with the Companies (Audit and Auditors) Rules, 2014]

Date: ………………..

To,

The Board of Directors

…………………….  PRIVATE LIMITED

Regd. Address of the Company.......

.

Sub: Letter for appointment of auditor under the Companies Act, 2013

Dear Sir,

In connection with appointment of our firm M/s …………………….  (“the firm”), Chartered Accountants as auditor of  your company …………………………. PRIVATE LIMITED in accordance with the provisions of the Companies Act, 2013 (the Act) and rules and regulations made there under, we are pleased to confirm that:

1.      That our firm is eligible for appointment and is not disqualified for appointment under section 141 of the Companies Act, 2013, the Chartered Accountant Act, 1949 and rules and regulations made there under;

2.      Our proposed appointment would be as per the terms provided under the Act;

3.      The proposed appointment is within the limits laid down by or under the authority of the Act;

4.      There are no proceedings pending against either of the partners or the firm with respect to professional matters of conduct.

5.      We satisfy other criteria as provided under Section 141 of the Act.

Thanking you,

Yours sincerely,

For (Name of the CA Firm)

Chartered Accountants

(FRN: ……………………..)

…………………………….

Partner

M. No.:

Place:

4. Appointment Letter of Auditor / Auditors Firm

(on the Letterhead of the Company)

Date: …………………………

To,

………… (name of the CA Firm)

CHARTERED ACCOUNTANTS

Address.:

Sir,

Sub: Appointment as Statutory Auditor

With reference to your consent letter and certificate under section 139 and 141 of the Companies Act, 2013, we are please to inform you that your firm has been appointment as the first statutory auditor of M/S ……………………………… PRIVATE LIMITED from the conclusion of this Board Meeting of the company held on ………………..  to hold office from the conclusion of this meeting until the conclusion of the ensuing Annual General Meeting of the Company.

The audit fee and other terms and conditions shall be decided by the board of directors on mutually agreed basis.

Kindly acknowledge the receipt of the same.

FOR ………………………. PRIVATE LIMITED

(Name of the Director & Sign)

Director

DIN:

Address:

Date: ……………….

Place: ………………..

(Prepared by Lalit Rajput, Practicing Company Secretary, available at +91 8802581290 (W) and lalitrajput537@gmail.com  )