Resignation of Auditors

Sub-sections (2) and (3) of section 140 of the Companies Act,2013 deal with resignation of statutory auditor . These are new provisions. There were no provisions like these in the Companies Act,1956

Obligation cast on auditor who resigns-Section 140(2)
Section 140(2)  requires that

• The auditor who has resigned from the company shall file a statement with the company as well as with the ROC 
• Statement shall be  in the prescribed form [Form No. ADT-3 - Rule 8 of the Companies (Audit and Auditors) Rules, 2014]indicating reasons and other facts as may be relevant with regard to his resignation 
• Statement shall be filed within 30 days of resignation
•  In case of companies referred to in section 139(5) ofthe 2013 Act (i.e. Government companies and companies owned orcontrolled directly or indirectly by the Central Government or by anyState Government(s) or partly by the Central Government and partlyby one or more State Governments), the auditor shall also file such statement with the CAG

Punishment-Section 140(3)
Section 140(3) provides that if the auditor does not comply with section 140(2) as above, he shall be punishable with a fine of not less  than Rs 50,000 but which may extend to Rs. 5,00,000.