Conversion of auditor from proprietor to llp

394 views 2 replies

Hello,

I have a query regaridng the conversion of auditor from proprietor to LLP.
 

When the auditor was appointed in the company he was a single auditor, now his firm is converted into LLP. The company is required to file ADT-1 with the ROC. But is it required to file ADT-3 also?

Please suggest your valuable view on the same. 

Thanks!!

Replies (2)

Form ADT 3 is for resignation. Firstly,  auditor will resign then company will file for ADT 1.

Step1 : ADT - 3 is to be filed by the Auditor of the at the time of resignation with in 30 days. If the auditor fails to inform the ROC about the resignation then there may be penalty of Rs. 50,000/- to 5 lacs.

Step 2 : ADT 1 if files when company appoint LLP as an auditor after conversion.

My Query --> If he resign from company his tenure (which may be less than or equal to 5 years) will be over. So how he can continue as Auditor of that company indirectly by converting into LLP (Seperate Legal Entity).

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