14 Remuneration of the Cost Auditor.

For the purpose of sub-section (3) of section 148,-

(a) in the case of companies which are required to constitute an audit committee-

(i) the Board shall appoint an individual, 1[who is a cost accountant], or a firm of cost accountants in practice, as cost auditor on the recommendations of the Audit committee, which shall also recommend remuneration for such cost auditor;

(ii) the remuneration recommended by the Audit Committee under (i) shall be considered and approved by the Board of Directors and ratified subsequently by the shareholders;

(b) in the case of other companies which are not required to constitute an audit committee, the Board shall appoint an individual 1[who is a cost accountant], or a firm of cost accountants in practice as cost auditor and the remuneration of such cost auditor shall be ratified by shareholders subsequently.

Amendments 

1.Substituted by the Companies (Audit and Auditors) Amendment Rules, 2018.

 in clause (a), in sub-clause (i), for the words:-

"who is a cost accountant in practice"

 the following words shall be substituted, namely :-

"who is a cost accountant"