Rights and Duties of Company Auditor

As per the Companies Act, 2013, every company is required to appoint an auditor who will be responsible for conducting an audit of the company's financial statements and reporting on its accuracy. The auditor has the following rights and duties:

Rights of Company Auditor

1. Access to Books of Accounts: The auditor has the right to access all the books of accounts, vouchers, documents, and records of the company.

2. Access to Information: The auditor has the right to access any information or explanation required for the performance of his duties.

3. Right to Obtain Documents: The auditor can obtain copies of any documents or records of the company that he considers necessary for the audit.

4. Right to Attend General Meetings: The auditor has the right to attend the general meetings of the company and receive all notices and other communications relating to the meetings.

5. Right to Receive Remuneration: The auditor has the right to receive remuneration from the company for the services rendered by him.

Duties of Company Auditor

1. Audit of Financial Statements: The auditor is responsible for conducting an audit of the company's financial statements to ensure their accuracy and compliance with the applicable accounting standards.

2. Reporting: The auditor is required to prepare a report on the financial statements audited by him. The report should state whether the financial statements give a true and fair view of the company's financial position.

3. Disclosure of Fraud: The auditor is required to report any fraud or suspicion of fraud to the appropriate authorities.

4. Compliance with Legal Requirements: The auditor is required to ensure that the company complies with all the legal and regulatory requirements.

5. Communication with Shareholders: The auditor is required to communicate the results of the audit to the shareholders and the board of directors.

In conclusion, the auditor plays a critical role in ensuring the accuracy and transparency of the company's financial statements. The auditor's rights and duties are designed to enable him to carry out his duties effectively and efficiently.