Sanchay Finvest auditor resigns over resource constraints

Sanchay Finvest Limited said its statutory auditor, Jain Jagawat Kamdar & Co., resigned effective at the close of business on 14 November 2026 because of the firm’s professional commitments and resource-allocation requirements, despite an appointment scheduled to expire in FY2029-30. The auditor said the exit was unrelated to disagreements, financial reporting, internal controls or audit evidence.

Why did Sanchay Finvest’s auditor resign?

Jain Jagawat Kamdar & Co. said it resigned because its existing professional commitments and resource-allocation requirements meant it could not devote the necessary time, attention and professional resources to Sanchay Finvest’s statutory audit and related responsibilities. The audit firm gave that explanation in its resignation letter dated 14 November 2026, the same date the resignation became effective.

The auditor said it chose to resign so that Sanchay Finvest would have sufficient time to make suitable alternative arrangements for the statutory audit. Its letter referred to responsibilities under applicable statutory and regulatory requirements, but did not identify any transaction, accounting policy, financial period or internal-control issue as a reason for departure.

Jain Jagawat Kamdar & Co. expressly confirmed that the resignation was not attributable to disagreement with Sanchay Finvest’s management or board of directors. It also said the decision did not arise from concerns about the company’s financial statements, accounting practices, internal controls or financial reporting as of 14 November 2026.

How early did Sanchay Finvest’s auditor leave its term?

Jain Jagawat Kamdar & Co. left before the scheduled end of its appointment, having been appointed on 29 September 2025 for FY2025-2030 and ceasing on 14 November 2026. Annexure A to the company’s disclosure states that the auditor’s term had been scheduled to expire in FY2029-30.

Sanchay Finvest’s board took note of the resignation at its meeting on Saturday, 14 November 2026. The filing identifies Jain Jagawat Kamdar & Co. as the statutory auditor with firm registration number 122530W, but does not name a replacement firm, state a proposed appointment date or describe a completed selection process.

The difference between the stated appointment period and the cessation date is that the auditor departed during its term rather than at the FY2029-30 expiry. However, the 14 November 2026 filing does not allege that the early departure resulted from a reporting dispute, a lack of company records or a qualification in a financial statement.

What work did Sanchay Finvest’s outgoing auditor complete?

Sanchay Finvest said Jain Jagawat Kamdar & Co. issued its limited review report for the quarter and half year ended 30 September 2026 before tendering its resignation. Annexure A specifies that the limited review report was issued on 14 November 2026, linking the final disclosed review work to the auditor’s effective resignation date.

The auditor’s last annual audit report covered FY2025-26 and was issued on 28 May 2026. The disclosed sequence is therefore an annual audit for FY2025-26 followed by a limited review for the quarter and half year ended 30 September 2026, before the auditor ceased on 14 November 2026.

In its letter, Jain Jagawat Kamdar & Co. said that, subject to completion of applicable limited-review procedures and issuance of reports within its engagement scope, it would complete professional responsibilities up to 14 November 2026. Sanchay Finvest’s confirmation that the 30 September 2026 limited review was issued before resignation indicates that this specified review had been completed.

The resignation announcement does not disclose the conclusions or qualifications, if any, in either the 28 May 2026 audit report or the 14 November 2026 limited review report. It records the reports’ dates and periods only, so the filing itself does not support a further conclusion about the company’s reported financial results.

Did Sanchay Finvest’s auditor cite an evidence or reporting issue?

No, Jain Jagawat Kamdar & Co. marked as not applicable the Annexure A items dealing with concerns raised with the audit committee or board, information not supplied by the company, and the inability to obtain sufficient appropriate audit evidence. The auditor also declared on 14 November 2026 that there was no other material reason for its resignation beyond the reasons stated in its letter.

The annexure likewise marked as not applicable whether any inability to obtain evidence resulted from a management-imposed limitation or circumstances outside management’s control. It also marked as not applicable whether lack of information could have a significant effect on financial statements or results, which records the auditor’s response to these prescribed resignation disclosures.

Questions concerning alternative procedures under Standard on Auditing 705 (Revised), which addresses modifications to audit opinions, were also marked not applicable. Jain Jagawat Kamdar & Co. further marked as not applicable whether a lack of information had been prevalent in earlier reported financial statements or results, and whether any other facts were relevant to the resignation.

What has Sanchay Finvest disclosed about the replacement process?

Sanchay Finvest has not disclosed a successor statutory auditor, replacement appointment terms or a timetable for filling the vacancy as of its 14 November 2026 announcement. The outgoing auditor said its resignation was intended to allow the company time to make alternative statutory-audit arrangements, but the filing does not say whether an audit committee selection process has begun.

Jain Jagawat Kamdar & Co. requested that Sanchay Finvest make required disclosures and filings with stock exchanges, the Registrar of Companies and other applicable authorities under the Companies Act, 2013 and Securities and Exchange Board of India listing rules. The company’s 14 November 2026 disclosure included the resignation letter and Annexure A containing the prescribed auditor-resignation information.

The auditor also said it would provide necessary information and documents connected with its resignation, including information prescribed by applicable Securities and Exchange Board of India circulars. The disclosed position therefore covers the auditor’s departure and the completed 30 September 2026 limited review, rather than a concluded transition to a new audit firm.

Conclusion

Sanchay Finvest’s auditor change on 14 November 2026 ended an appointment made on 29 September 2025 and scheduled through FY2029-30. Jain Jagawat Kamdar & Co. attributed the departure to its own commitments and resource needs, while expressly stating that it involved no dispute with management or the board and no concerns about reporting, controls or audit evidence.

The next disclosed matter to watch is an appointment of a successor statutory auditor, because no replacement or appointment date appears in the 14 November 2026 filing. Any subsequent company disclosure may also set out the new auditor’s terms and address the period following the limited review for the quarter and half year ended 30 September 2026.