Change in constitution of Auditors Firm and Signing of Auditors Report & Financial Statements

[Amar Kumar]

Fellow members

A proprietorship CA firm was appointed as Statutory Auditors as the first Auditors of the company for FY 2016-17. As on 1st April, 2017, the proprietor firm has been merged into a partnership firm and as on date of signing of Auditors Report & Financial Statements, the proprietor firm is not in existence.

My query on whom behalf Auditors Report & Financial Statements will be signed by the Auditor: in the name of proprietor firm or partnership firm.

AI Summary

Auditor firm succession: notify and obtain company approval so the successor firm may sign the audit report.
Where a sole proprietorship auditor has merged into a partnership and the proprietorship no longer exists at signing, the change should be intimated to the company and the company should approve the change; thereafter the accounts and auditor's report may be signed by the successor partnership firm.