BMC Associates says Replied on 18th April,2026 09:46 AM
The term “not ratified” under Section 139(2) of the Companies Act, 2013 refers to a situation where the appointment of an auditor is not confirmed by the members (shareholders) in the Annual General Meeting (AGM), where such ratification was earlier required.
However, it is important to note that after the amendment in the Companies Act, the requirement for annual ratification of auditors has been removed. Earlier, auditors appointed for 5 years had to be ratified at every AGM, and if “not ratified,” the company had to appoint another auditor.
In simple terms, “not ratified” meant the shareholders did not approve the continuation of the auditor, requiring a fresh appointment.
Today, many chartered accountant firms in Gurgaon guide companies on updated compliance requirements. A professional chartered accountant Gurgaon or a trusted CA firm in Gurgaon ensures that businesses follow the latest legal provisions correctly.
If you need expert advice on company law, audit, or compliance matters, you can consult an experienced CA in Gurgaon or visit:
bmcassociates.in
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BMC Associates says Replied on 18th April,2026 09:46 AM
The term “not ratified” under Section 139(2) of the Companies Act, 2013 refers to a situation where the appointment of an auditor is not confirmed by the members (shareholders) in the Annual General Meeting (AGM), where such ratification was earlier required. However, it is important to note that after the amendment in the Companies Act, the requirement for annual ratification of auditors has been removed. Earlier, auditors appointed for 5 years had to be ratified at every AGM, and if “not ratified,” the company had to appoint another auditor. In simple terms, “not ratified” meant the shareholders did not approve the continuation of the auditor, requiring a fresh appointment. Today, many chartered accountant firms in Gurgaon guide companies on updated compliance requirements. A professional chartered accountant Gurgaon or a trusted CA firm in Gurgaon ensures that businesses follow the latest legal provisions correctly. If you need expert advice on company law, audit, or compliance matters, you can consult an experienced CA in Gurgaon or visit: bmcassociates.in
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