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Resignation of Auditors

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An auditor may resign from office as long as a notice in writing to that effect is deposited at the company’s registered office. To be effective the resignation must contain either;

  1. A statement to the effect that there are no circumstances connected with the resignation that should be brought to the attention of the members or the creditors.
  2. A statement giving details of any circumstances leading to his resignation that he believes should be brought to the attention of the shareholders.

The Act permits the auditor to request the directors to convene an extraordinary general meeting of the company for considering the auditor’s explanations of the circumstances surrounding his resignation.

 

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