Appointment of first auditor
A company is newly incorporated. Now what is the procedure to appoint first auditors ? Do we have to update to the ROC ? If yes then what is the time line ?
The procedure is:
Directors should convey the first Board meeting within 30 days of incorporation. In meeting they should appoint the Auditor of company.
The auditor should be intimated regarding his appointment. Appointment letter should be sent to the appointed auditor.
Once appointment letter is received by Auditor, he should file the form 23B within 30 days. 30 days should be calculated from the date of receipt of appointment letter.
Now the issue here is the company got incorporated in July 2013 & the first auditor was appointed, how ever this was not intimated to ROC. What will be the consequences ?
Form 23B should be filed.
Form23B can be filed any time (Due date is within 30 days of receiving appointment letter). However if its not filed within 30 days.
For late filing fees you can refer Form 23B for appointing Auditor and Penalty for non-filing