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    Question

    The auditor appointed under section 139 of the Companies

    Act may be removed from his office before the expiry of his term only by a special resolution of the company________________
    A By taking approval of the Central Government in that behalf within ninety days Correct Answer Incorrect Answer
    B After obtaining the previous approval of the Central Government in that behalf in the prescribed manner Correct Answer Incorrect Answer
    C Before obtaining the previous approval of the Central Government in that behalf in the prescribed manner Correct Answer Incorrect Answer
    D After obtaining the previous approval of the SEBI in that behalf in the prescribed manner Correct Answer Incorrect Answer
    E None of the above Correct Answer Incorrect Answer

    Solution

    Section 140 Removal, resignation of auditor and giving special notice- (1) The auditor appointed under section 139 may be removed from his office before the expiry of his term only by a special resolution of the company , after obtaining the previous approval of the Central Government in that behalf in the prescribed manner [Companies (Audit & Auditors) Rules,2014 (2) The application shall be made to the Central Government within thirty days of the resolution passed by the Board; (3) The company shall hold the general meeting within sixty days of receipt of approval of the Central Government for passing the special resolution)].

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