Singh & Associates LLP, a firm of practicing chartered accountants, being statutory auditors of Decent Industries Ltd., a listed entity since last 4 years. The auditors have proposed for hefty increase in their audit

Singh & Associates LLP, a firm of practicing chartered accountants, being statutory auditors of Decent Industries Ltd., a listed entity since last 4 years. The auditors have proposed for hefty increase in their audit fees which the company is not in a position to accept. They expressed their inability to continue as statutory auditors and submitted their resignation to the company addressed to the BOD on 6 th August, 2021. The next board meeting of the company was scheduled to be held on 9 th August, 2021 to consider its quarterly results. The company secretary of the company informed the stock exchanges about said resignation without bringing to the knowledge of the audit committee as well as the Board. The chairman of the audit committee took a strong objection and pointed out a serious lapse on the part of the company. He suggested the ways to avoid such a lapse without any non-compliance. The company secretary placed the proposal before the Audit Committee & Board of Directors for appointment of New Auditors in casual vacancy arisen due to resignation of current Auditors (Outgoing). Whether Audit Committee and the Board should take cognizance of the resignation when it is already intimated to the SEs before such meetings ?