Appointment of auditors other than retiring auditors ‑ Whether service of copy of special notice to retiring auditors is to be effected by registered post - Companies Law - Circular : No. 2/81

Circular : No. 2/81 [1/1/81 ‑ CL ‑ V and 8/20(225)/81 ‑ CL-V], dated 17 ‑ 10 ‑ 1981. Subject:- Appointment of auditors other than retiring auditors ‑ Whether service of copy of special notice to retiring auditors is to be effected by registered post It has been reported by the Institute of Chartered Accountants of India that difficulties are being experienced by retiring auditors in the operation of the provisions of section 225 whenever any appointment of a new auditor takes place. Such difficulties arise because of the fact that the copy of the special notice required to be served under section 225(2) on the retiring auditors is not effectively served and proof of such service is not available. To obviate such difficulties, therefore, it is advisable that the copy of the special notice under section 225(2) should be sent to the retiring auditors by the registered AD post.