Resignation of Auditor
Resignation of Auditor & Appointment of New Auditor
At Cardiff Service, we understand that businesses operate in a complex regulatory environment, and staying compliant is crucial. One critical compliance aspect under the Companies Act, 2013 is handling the Resignation of an Auditor, Casual Vacancy, and Appointment of a New Auditor.
Our expert team ensures every step — from resignation to appointment — is legally compliant, seamless, and stress-free for your company.
Why Change Your LLP Object?
In today’s dynamic business environment, it is crucial for LLPs to ensure that their stated objectives reflect their current strategy and goals. Changing your LLP object allows you to:
Enter new markets
Diversify products or services
Adapt to shifting regulations
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By updating your LLP objectives, you ensure that your legal framework accurately represents your business activities.
Features – Resignation of Auditor & Casual Vacancy
An auditor may resign at any time before the expiry of his tenure and nothing can prevent him from doing so.
The resignation must be submitted in writing and filed with the Registrar of Companies (RoC) along with Form ADT-3.
In case of a company (other than those audited by the CAG), any casual vacancy due to resignation must be filled by the Board of Directors within 30 days. If not, the vacancy must be filled by the company at a General Meeting within 3 months, through an ordinary resolution.
The auditor appointed in a casual vacancy shall hold office till the conclusion of the next Annual General Meeting.
Under the Companies Act, 2013, the power to appoint an auditor in a casual vacancy (arising from resignation) lies with the shareholders, not the directors.
At Cardiff Service, our experienced professionals ensure complete compliance with the legal and procedural requirements of auditor resignation and casual vacancy appointments.
Documents Required for the Resignation of Auditor
When an auditor resigns, certain documents are mandatory to ensure compliance with the Companies Act, 2013. At Cardiff Service, we guide companies and auditors in preparing, reviewing, and filing all required documents with accuracy and timeliness.
Mandatory Documents
Resignation Letter – A copy of the resignation letter submitted by the outgoing auditor.
Board Resolution – A resolution passed by the Board of Directors accepting the resignation of the auditor and approving the appointment of a new auditor in case of a casual vacancy.
Notice of General Meeting – Along with the explanatory statement, to notify members about the appointment of a new auditor.
Ordinary Resolution – A copy of the resolution passed at the General Meeting approving the appointment of the new auditor in case of a casual vacancy.
Intimation by Company – A copy of the company’s intimation to the resigning auditor.
Written Consent of Auditor – The written consent from the newly appointed auditor, confirming eligibility under Section 141 of the Companies Act, 2013.
Basic Details of Resigning & Newly Appointed Auditor –
PAN
Name of Auditor
Membership No. / Firm Registration No.
Address of Auditor
Email ID of Auditor
Form ADT-1 – E-form ADT-1 to be filed with the Registrar of Companies (RoC), along with the receipt for the appointment of the new auditor.
Procedure for the Resignation of Auditor & Appointment of Auditor in Case of Casual Vacancy
At Cardiff Service, we ensure complete compliance with the Companies Act, 2013 when handling auditor resignations and subsequent appointments. Below is the step-by-step procedure:
Step-by-Step Procedure
Tendering Resignation Letter
The resigning auditor must submit a formal resignation letter stating the facts and reasons for resignation.
This is addressed to the company and noted by the Board of Directors.
Filing E-Form ADT-3
The resigning auditor must file Form ADT-3 with the Registrar of Companies (RoC) within 30 days of resignation.
This filing officially records the resignation.
Proposal of New Auditor
The company representative forwards the proposal for appointing a new auditor to the Board, to fill the casual vacancy caused by resignation.
Eligibility & Consent of Auditor
Obtain written consent from the proposed auditor confirming eligibility under Section 141 of the Companies Act, 2013.
This ensures the new auditor is legally qualified to take up the role.
Notice of Audit Committee / Board Meeting
If applicable, the Audit Committee recommends the name of the proposed auditor to the Board.
Where no audit committee exists, the Board must fill the vacancy within 30 days.
Draft and circulate the meeting notice as per Section 177 of the Companies Act, 2013 and Secretarial Standards.
Conducting Audit Committee Meeting
The Audit Committee (if applicable) meets and makes recommendations to the Board for the appointment of a new auditor in case of a casual vacancy.
Frequently Asked Questions
A company name search ensures that your chosen business name is unique, legally compliant, and not already registered with Companies House UK. It helps you avoid legal disputes, trademark issues, and confusion in the Cardiff business market.
If your desired name is already registered, you’ll need to choose a different name or modify it. Using a taken name could result in rejection by Companies House or potential legal issues. Our experts can help you brainstorm alternative names that are compliant and market-ready.
It’s not advisable to use a name that’s too similar to another company, especially within the same industry. Similar names can confuse customers and risk trademark disputes. A company name search helps you identify these risks early.
For a company name search in Cardiff, you may need:
Proposed company name
Business entity type (Ltd, LLP, Partnership, etc.)
Jurisdiction (Cardiff / UK)
Owner or shareholder details (if applicable)
Business description
A “high probability” result means your proposed company name is likely to be available, but further checks are recommended. This is why our detailed Cardiff Company Name Search Report includes both identical and similar names for clarity.
Certain words are restricted under UK law (e.g., “bank,” “insurance,” “government”). If you want to use them, you’ll need special approval from regulatory bodies. We guide you through this process if your Cardiff business requires such terms