Audit for past period - fy09-10 to 13-14 implications - clss

Amit (Querist) 22 August 2014 This query is : Resolved
Dear Sir,

One of our client - being a Pvt Ltd Company has not done any Audits, Filed financials, Paid Taxes ( S.tax, PF, PT etc) for past years from 09-10 to 13-14.
where NO AGM was conducted for appointment of auditor and financials as well.

Now we are appointed as Auditor under Cos. Act for the same. Company is applying for CLSS Scheme, 2014 to avail immunity and fees waiver.
CARO is not applicable to Company.

Query: 1.Can company now held AGM dated in 2014 appointing us as Auditor for past 5 years from 09-10 to 13-14 ?

2. Can we sign the audit report ( after duly qualifying non-payment of statutory taxes ? Any precautions are most welcome

3. What would be the date of Financial Statements - can they be dated of respective years or has to be current date of signing

4. Applicability of Law - As per Gen. Circular, the provisions of Cos. Act 1956 will only apply as clarified by MCA

Company Law expert advise are most welcome. Many thanks for your time and guidance

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Devajyoti Barman (Expert) 23 August 2014
academic/professional query....as usual from the author.

Hemant Agarwal (Expert) 26 August 2014
for "Amit" :

1. The liability of a Auditor is, limited only to his professional conduct. Hence the Audit Report for EACH year MUST mention the compliances / non-compliances by the Company.

2. Co. can definitely hold duly called AGM, ratifying all the earlier lapses and undertaking to comply such lapses, which includes appointing Auditor for all earlier years. The Auditor may prepare Audit Report, as on date and not pre-dated, for earlier respective years.

Keep Smiling .... Hemant Agarwal
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