SECTION 225 DISPENSING WITH AUDITORS

1. Subject - Dispensing with auditors.

2. Passing Authority - General Meeting.

3. Nature of the Resolution - (Ordinary) Resolution with special notice.

4. Specimen Resolution(s)

"That it is hereby decided that it is not necessary to appoint auditors of the company at this meeting and accordingly Messrs. A & Co., the retiring auditors shall not be reappointed as Auditors of the company."

5. Guidelines:

1) On receipt of notice of the resolution, a copy thereof should be sent to the retiring auditors.

2) A resolution of this nature is not normally moved as the name of a new auditors is proposed if it is desired to make a change.

3) Even where no resolution is passed, the Central Government may appoint an auditor under section 224(3) of the Act.

6. Filing: Not applicable

(but notice to Central Government is necessary under section 224).