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PART XX |
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AUDITORS AND ACTUARIES |
| Appointment |
Appointment. |
304. - (1) Rules may require an authorised person, or an authorised person falling within a specified class- |
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(a) to appoint an auditor, or |
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(b) to appoint an actuary, |
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if he is not already under an obligation to do so imposed by another enactment. |
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(2) Rules may require an authorised person, or an authorised person falling within a specified class- |
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(a) to produce periodic financial reports; and |
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(b) to have them reported on by an auditor or an actuary. |
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(3) Rules may impose such other duties on auditors of, or actuaries acting for, authorised persons as may be specified. |
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(4) Rules under subsection (1) may make provision- |
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(a) specifying the manner in which and time within which an auditor or actuary is to be appointed; |
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(b) requiring the Authority to be notified of an appointment; |
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(c) enabling the Authority to make an appointment if no appointment has been made or notified; |
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(e) as to the term of office, removal and resignation of an auditor or actuary. |
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(5) An auditor or actuary appointed as a result of rules under subsection (1), or on whom duties are imposed by rules under subsection (3)- |
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(a) must act in accordance with such provision as may be made by rules; and |
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(b) is to have such powers in connection with the discharge of his functions as may be provided by rules. |
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(6) In subsections (1) to (3) "auditor" or "actuary" means an auditor, or actuary, who satisfies such requirements as to qualifications, experience and other matters (if any) as may be specified. |
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(7) "Specified" means specified in rules. |
| Information |
Auditor or actuary's access to books etc. |
305. - (1) An appointed auditor of, or an appointed actuary acting for, an authorised person- |
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(a) has a right of access at all times to the authorised person's books, accounts and vouchers; and |
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(b) is entitled to require from the authorised person's officers such information and explanations as he thinks necessary for the performance of his duties as auditor or actuary. |
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(2) "Appointed" means appointed under or as a result of this Act. |
Information given by auditor or actuary to the Authority. |
306. - (1) This section applies to a person who is, or has been, an auditor of an authorised person appointed under or as a result of a statutory provision. |
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(2) This section also applies to a person who is, or has been, an actuary acting for an authorised person and appointed under or as a result of a statutory provision. |
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(3) An auditor or actuary does not contravene any duty to which he is subject merely because he gives to the Authority- |
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(a) information on a matter of which he has, or had, become aware in his capacity as auditor of, or actuary acting for, the authorised person, or |
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(b) his opinion on such a matter, |
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if he is acting in good faith and he reasonably believes that the information or opinion is relevant to any functions of the Authority. |
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(4) Subsection (3) applies whether or not the auditor or actuary is responding to a request from the Authority. |
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(5) The Treasury may make regulations prescribing circumstances in which an auditor or actuary must communicate matters to the Authority as mentioned in subsection (3). |
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(6) It is the duty of an auditor or actuary to whom any such regulations apply to communicate a matter to the Authority in the circumstances prescribed by the regulations. |
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(7) The matters to be communicated to the Authority in accordance with the regulations may include matters relating to persons other than the authorised person concerned. |
Information given by auditor or actuary to the Authority: persons with close links. |
307. - (1) This section applies to a person who- |
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(a) is, or has been, an auditor of an authorised person appointed under or as a result of a statutory provision; and |
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(b) is, or has been, an auditor of a person ("CL") who has close links with the authorised person. |
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(2) This section also applies to a person who- |
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(a) is, or has been, an actuary acting for an authorised person and appointed under or as a result of a statutory provision; and |
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(b) is, or has been, an actuary acting for a person ("CL") who has close links with the authorised person. |
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(3) An auditor or actuary does not contravene any duty to which he is subject merely because he gives to the Authority- |
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(a) information on a matter concerning the authorised person of which he has, or had, become aware in his capacity as auditor of, or actuary acting for, CL, or |
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(b) his opinion on such a matter, |
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if he is acting in good faith and he reasonably believes that the information or opinion is relevant to any functions of the Authority. |
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(4) Subsection (3) applies whether or not the auditor or actuary is responding to a request from the Authority. |
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(5) The Treasury may make regulations prescribing circumstances in which an auditor or actuary must communicate matters to the Authority as mentioned in subsection (3). |
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(6) It is the duty of an auditor or actuary to whom any such regulations apply to communicate a matter to the Authority in the circumstances prescribed by the regulations. |
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(7) The matters to be communicated to the Authority in accordance with the regulations may include matters relating to persons other than the authorised person concerned. |
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(8) CL has close links with the authorised person concerned ("A") if CL is- |
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(a) a parent undertaking of A; |
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(b) a subsidiary undertaking of A; |
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(c) a parent undertaking of a subsidiary undertaking of A; or |
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(d) a subsidiary undertaking of a parent undertaking of A. |
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(9) "Subsidiary undertaking" includes all the instances mentioned in Article 1(1) and (2) of the Seventh Company Law Directive in which an entity may be a subsidiary of an undertaking. |