The legal definition of resignation could be, "The formal notice given to an employer of voluntary termination of employment by an employee." There are no laws governing employee resignations, but proper etiquette should be followed to avoid parting on bad terms.
When an employee submits his/her resignation and quits the job, the employee-employer relationship ends itself. On the question of "Removing the Name" of a resigned employee, I suggest that his/her name can be removed from the rolls of the company, and the full-and-final account of the employee should be settled.
However, on the question of holding salary, I would like to inform you that if an employee has properly resigned from the job and been relieved from the services of the company, then his/her salary cannot be withheld by the employer under any circumstance. It could create problems for the employer if the ex-employee complains against it.
Whereas, if there is any so-called "Notice Period" factor, then in that case, the solution can differ from case to case.
So, if there is any such thing, please let us know.
Regards