APPOINTMENT OF AUDITOR FOR ONE YEAR INSTEAD OF FIVE YEARS IS A VIOLATION UNDER SECTION 139(1), COMPANIES ACT, 2013

 APPOINTMENT OF AUDITOR FOR ONE YEAR INSTEAD OF FIVE YEARS IS A VIOLATION UNDER SECTION 139(1), COMPANIES ACT, 2013

AUDITOR APPOINTED FOR 1 YEAR ONLY  INSTEAD OF FIVE YEARS

RD BENGALURU LEVIED A PENALTY OF ₹15 LAKHS ON COMPANY & DIRECTORS

RD SOUTH VS SHREE RENUKA SUGARS LIMITED

 RENUKA Sugars Appointed its statutory auditor for only one year in FY 2014–15 and FY 2015–16.

Section 139(1), Companies Act, 2013:  Requires appointment of statutory auditors for a term of five years (subject to ratification until 2017 amendment removed ratification).

Reappointment for only one year is treated as non-compliance

Listed companies must promptly disclose compounding orders under SEBI LODR Regulation 30 to avoid secondary penalties.

# Your Compliance expert R V SECKAR, FCS, LLB 79047 19295,