A non-government company's auditor wants to resign before completion of term. The auditor must:
AFile Form ADT-3 with the company AND the ROC within 30 days, stating reasons
BJust send a WhatsApp to the directors
CResign verbally
DStay until removed forcibly
Answer & Solution
Correct answer: A. File Form ADT-3 with the company AND the ROC within 30 days, stating reasons
1. Section 140(2) read with Rule 8 requires filing Form ADT-3 within 30 days of resignation.
2. Statement of reasons is mandatory.
3. Failure to file attracts penalty u/s 140(3).
_Source: ICAI BoS CA Final Paper 3, Ch 5 "Company Audit"_
Related questions
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