Question

The authority to remove the first auditor before the expiry of term is with the _________________.

• A. shareholders in a general meeting
• B. shareholders in the first annual General meeting
• C. board of directors
• D. Central Government

Answer 1

The correct option is A shareholders in a general meeting

No one but only the shareholders in a general meeting can decide to remove the first auditor before the expiry of term, as per the companies act.

The directors can not decide this on their own since it is a matter which requires a resolution to be passed; it can be for both appointment or removal.