Assess the eligibility of the following individuals for appointment as Auditors in accordance with the regulations outlined in the Companies Act,…

(i) As per section 141 (3) (d) (i) of the Companies Act, 2013, an auditor is disqualified to be appointed as an auditor if he, or his relative or partner holding any security of or interest in the company or its subsidiary, or of its holding or associate company or a subsidiary of such holding company. Further the proviso provides that, the relative of the auditor may hold the securities or interest in the company of face value not exceeding of 1,00,000. In the present case, Chitralekha (spouse of Chintamani, the auditor), is having securities of Nagmani Limited having face value of 80,000, which is within the prescribed limits under the proviso to section 141 (3) (d) (i) . Therefore, Chintamani will be eligible to be appointed as an auditor of Nagmani Limited.