If a auditor is indebted to the co. Of Rs.4,50,000/- , his relative hold a security of Rs.80,000/- in the same co. , Is auditor is disqualified for appointment ?

3 answers


Ravi Staff October 7, 2017

indebtedness limit per person is 5,00,000
and security limit for relative is FV 1,00,000 per person
in case indebtedness is 4,50,000
security face value is 80,000
both things are within limit ca is not disqualified 

Ravi Staff October 7, 2017

you cannot add both amounts as they are different one is indebtedness and other is value of security


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