Procedure for appointment of Secretarial Auditor _ Academy Tax4wealth
                     8/23/22, 11:19 Procedure for appointment of Secretarial Auditor | Academy Tax4wealth
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Procedure for  
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Procedure for appointment of TFainxa  nAcfete Ar nd  
A12cctho:u Snktiinlls  Secretarial Auditor g CDoeuvresloesp-ment 
2C0o2u2rs]es &  
Placement
Secretarial auditor is one of the main pillar of any organization. Helps in  
the orderly running of the organization by keeping a watchful eye on  
compliance with the prevailing laws and regulations. In this article, we  
will try to know what is the secretarial auditor's appointment process?
1. What are the responsibilities of Secretarial Auditor?
2. Who can become a secretarial auditor?
3. What is the main responsibility of Secretarial auditor?
4. On what basis does the secretarial auditor conduct the investigation?
5. What documents are required for secretarial audit?
6. What are the benefits of serving as a Secretarial Auditor?
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secretarial-auditor
8/23/22, 11:19 AM Procedure for appointment of Secretarial Auditor | Academy 
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7. What is the procedure for the appointment of a Secretarial Auditor?
Courses
CBA lEoxagm TCesat Ste
Categories
9. Who decides the remuneration Bolfo tghe Secretarial Auditor? erigesoriesLO.GIN
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10. Conclusion
8. What is the tenure of the Secretarial Auditor? Salary 
class
What is Secretarial Audit?
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g
Secretarial audit is a specific process of the corporate sector, in which the  
secretarial auditor keeps an eye on whether the laws, regulations  Stock Market 
Courses
prevailing in the organization are being properly complied with or not. At  
the same time, he also sees whether healthy corporate practices are being  Company 
Incorporation
properly followed in the organization.  The main objective of this process  
is to contribute to the orderly operation of the organization. The  Investment Planning
secretarial audit needs to be signed by the secretarial auditor. In case of  
Startu
more than one secretarial auditor, the signature of all is mandatory. p
What are the responsibilities of Secretarial Auditor? Excel Certification course
Secretarial auditor checks the compliance status of the rules and  Income Tax Certification 
Course
regulations in force in the organization. The Secretarial Auditor is  
primarily a Company Secretary appointed by the Company under the  Indian 
Economy
Companies (Meetings of the Board and its Powers) Rules, 2014. Which  
Trademark and Copyright 
performs the work of secretarial audit as per Rule 24A of Securities and  
Certification  Course
Exchange Board of India. The audit report should be prepared by the  
Secretarial Auditor as per MR-3 format.
Company Law Certificate 
Course
Who can become a secretarial auditor?
MSME Certification 
Course
Only members of the Institute of Company Secretaries of India (ICSI) who  
have a valid certificate of practice for conducting secretarial audits can  Job Guaranteed 
Courses
conduct secretarial audits and prepare secretarial audit reports for the  
company. Mutual Fund Courses
What are the responsibilities of Secretarial Auditor? Company Secretary 
Courses
The main responsibility of the Secretarial auditor is to instill a sense of  CA 
Courses
confidence in the organization's management, regulators and other  
stakeholders by conducting statutory compliance, systematic  Cost Management Accounting 
Course
administration, systematic evaluation of processes and systems.
Secretarial auditor is aware of the organization's processes and suggests  CA Exam Test 
Series
corrective measures and plays a very effective role in risk management.  
The Secretarial Auditor provides vital support to the organization in  
fulfilling its objectives. The Secretarial Auditor provides special support  
to the promoters, management, investors, other stakeholders of the  
company by properly discharging its responsibilities. The secretarial  
auditor also has to take special care in the discharge of his  
responsibilities. Because if a default is found in the filing, the secretarial  
auditor may have to pay a fine of Rs 1 lakh to Rs 5 lakh.
On what basis does the Secretarial Auditor conduct the  
investigation?
The secretarial auditor examines the company's documents and  
procedures based on specific laws and checks compliance at the company
level.  Which includes Securities and Exchange Board of India Act (SEBi)
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secretarial-auditor
8/23/22, 11:19 AM Procedure for appointment of Secretarial Auditor | Academy 
Tax4wealth
1992, SEBI (Prohibition of Insider Trading) Regulations, 2015, Foreign
Blo F LOGI
Exchange Management Act, 1999,CDouerpsoessitory ACactte, g1o g orum CPA oExpamuTlea N
9r9ei 6s etc. s
What documents are required for secretarial audit?
strS eri esgsTt astocgks . Income 
Charter document, Statutory Register, Minutes and Notices of General  market tax
Meeting, Previous Year's Audit Report, Annual Performance Report,  T TDS T4
Statement for Code of Conduct received from Directors, Statement of CSR  ax W
amount, SAST Disclosure, Dividend to the Secretarial Auditor for  GST Certification 
conducting Secretarial Audit Bank account details in respect, details of  Course
ECB returns if the company has any foreign borrowings, details of fees  income tax certification 
and remuneration paid to directors, details of filings with other statutory  course
departments including RBI in case of foreign investments, as per labor  online accounting 
laws Created registers etc. are required. courses
file tds return 
What are the benefits of serving as a Secretarial Auditor? online
1.The Secretarial Auditor creates opportunities for improvement by  
uncovering the shortcomings of the organization.
2.The Secretarial Auditor assures the stakeholders of the company that  
the company is being conducted on the basis of standard standards.
3.Secretarial auditor assures investors that his investments are low in  
risk.
4.Secretarial auditor helps in self regulation and professional discipline  
of the organisation.
5.The Secretarial Auditor presents a standard image of the organization  
to the investors by presenting the legal records of the company.
6.The work of a secretarial auditor is also of special assistance to those  
who wish to take over the company or participate in the company in any  
other way.
What is the procedure for the appointment of a Secretarial  
Auditor?
7.The intention to appoint the proposed secretarial auditor is informed  
and asked whether he is eligible to be appointed as the secretarial auditor  
of the company or not.
8. Obtaining consent and certificate from the proposed auditor.
9.To obtain the recommendation of that committee if it is necessary for  
the company to constitute an audit committee under section 177.
10.To convene a meeting of the Board of the Company.
11.To approve the appointment of Secretarial Auditor in the first meeting  
of the Board of the Company.
12.To formally inform the appointed Secretarial Auditor about the  
appointment.
13.Filing along with ROC Form ADT-1 (Enclose Form GNL-2 as per MCA  
circular 09/2014, dated 25th April, 2014) within 15 days.
What is the tenure of tYhouer  eSxpeecrrieenctea orni athli sA siuted wiitll ober ?improved by allowing cookies. Allow cookies
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secretarial-auditor
8/23/22, 11:19 AM Procedure for appointment of Secretarial Auditor | Academy 
Tax4wealth
Every company at its first general meeting appoints a person or firm as
C o u rs e s CA Exam Test LOGIthe secretarial auditor who therea ft e r h o lds theCasteecgroeriteasrial auBdloitg Series N
oorf' sf itvereF cmoonrusmescutive years until the conclusion of every sixth meeting,  
subject to the ratification of the shareholders. A secretarial auditor may  
be re-appointed after five years on the basis of acceptance at the Annual  
General Meeting if for any reason he is not ineligible for reappointment.  
It is mandatory to file ADT 1 again on reappointment.
Who decides the remuneration of the Secretarial Auditor?
The remuneration of the secretarial auditor of any company is fixed in the  
amount approved at the first general meeting or in the manner prescribed  
at the general meeting.
Secretarial auditor is especially necessary for any organization.  By  
keeping an eye on the system of following rules, regulations by the  
organization, it contributes significantly to the orderly operation of the  
organization. By drawing attention to the needs of improvement in the  
organization, the secretarial auditor also enables the organization to meet  
the challenges in  future.  Therefore, the  secretarial auditor is  considered  
to be an indicator of the vibrancy of any organization and also a major risk  
management tool.
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