https://www.taxtmi.com/caselaws?id=459075 The Companies Act, 2013 framework treats auditors appointed for Government companies through the Comptroller and Auditor-General's mechanism as subject to Section 140(1) removal principles, while allegations of fraud or collusion fall under the separate Tribunal-led procedure in Section 140(5). The authority cannot bypass that statutory route by unilateral administrative action. Because removal of a statutory auditor carries civil consequences, notice and an opportunity of hearing are required before any prejudicial decision is taken. A removal effected without hearing is unsustainable, and the impugned termination and related communication are quashed. en-us Thu, 17 Jun 2021 00:00:00 +0530 Thu, 28 Nov 2024 19:27:39 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=459075 The Companies Act, 2013 framework treats auditors appointed for Government companies through the Comptroller and Auditor-General's mechanism as subject to Section 140(1) removal principles, while allegations of fraud or collusion fall under the separate Tribunal-led procedure in Section 140(5). The authority cannot bypass that statutory route by unilateral administrative action. Because removal of a statutory auditor carries civil consequences, notice and an opportunity of hearing are required before any prejudicial decision is taken. A removal effected without hearing is unsustainable, and the impugned termination and related communication are quashed. Case-Laws Companies Law Thu, 17 Jun 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=459075