By Pramod Prabhudesai, Chartered Accountant | Kaushik M. Jhaveri, Company Secretary
20. *S M & Co (Chartered Accountants) vs. Track Infoline Pvt Ltd & Ors
COMPANY APPEAL (AT) NO.214/2025
Before NCLAT, Principal Bench, New Delhi
Date of Order: 2nd December, 2025
Auditor not to render prohibited services.
Facts
- RT Global Infosolutions Pvt. Ltd. (the “Company”) was the subject of a petition under sections 241 and 242 of the Companies Act, 2013 (CA 2013) filed by Track Infoline Pvt. Ltd., one of its shareholders, alleging fraud, mismanagement, and oppression by the management. S M & Co., a partnership firm of chartered accountants, was the statutory auditor of the Company and was implicated as a respondent in the NCLT proceedings.
- A significant factual allegation was that the Company’s registered office was located at New Delhi, which was the residential premises of members of the M family, who were also partners in S M & Co. This was relied upon to suggest that the auditors were not independent and were acting in concert with the management (RG Group) in the alleged mismanagement. After this issue was specifically raised in the petitio
