At its annual general meeting, a company proposes to appoint an auditor other than the retiring auditor, who has not completed the consecutive tenure allowed by section 139(2). What does section…

Section 140(4) of the Companies Act, 2013 requires special notice for a resolution at an annual general meeting appointing someone other than the retiring auditor, or providing that the retiring auditor shall not be reappointed, unless that auditor has completed the consecutive tenure under section 139(2). A special resolution with the Central Government's prior approval is needed only to remove an auditor before the term ends, under section 140(1).