This article proposes a new method of grounding system analysis in the presence of a satellite electrode determining grounding resistance, step and touch voltages, and earth surface potential distribution considering the impact of depth of tie-wires. The impact of lateral variation of vertical fault has also been studied for safe and touch potentials along the length of tie-wire. A computer program called "grounding system analysis in the presence of vertical fault" has been developed. The validation of the program has been carried out for the problem available in the literature. An experimental analysis has been carried out for a grounding system with ring and rod electrodes placed in soils of different resistivity separated by a vertical fault. A parametric study has been carried out on two square grids laid in the earth on both sides of the vertical fault connected together by an underground tie-wire and with the tie-wire only for comparison. The impact of the depth of the tie-wire and lateral variation of the vertical fault has been studied for determining ground resistance, step and touch voltages, and earth surface potentials near the square grids, as well as along the length of the tie-wire.