Companies (Audit, Investigations and Community Enterprise) Bill [HL]

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Session 2003 - 04
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Companies (Audit, Investigations and Community Enterprise) Bill [HL]

Companies (Audit, Investigations and Community Enterprise)
Bill [HL]

EXPLANATORY NOTES
Explanatory notes to the Bill, prepared by the Department of Trade and
Industry, are published separately as HL Bill 8—EN.
EUROPEAN CONVENTION ON HUMAN RIGHTS
The Lord Sainsbury of Turville has made the following statement under
section 19(1)(a) of the Human Rights Act 1998:
In my view the provisions of the Companies (Audit, Investigations and
Community Enterprise) Bill [HL] are compatible with the Convention rights.

HL Bill 8 53/3

Companies (Audit, Investigations and Community Enterprise)
Bill [HL]

Contents
Part 1
Auditors, accounts and investigations
Chapter 1
Auditors
Recognised supervisory bodies
1
Additional requirements for recognition of supervisory bodies
2
Arrangements to which additional requirements for recognition relate
Delegation of Secretary of State’s functions in relation to auditors
3
Delegation of functions by Secretary of State to new or existing body
4
Circumstances in which Secretary of State may delegate functions to existing
body
5
Supplementary provisions about delegation orders
Auditors’ qualifications
6
Approval of overseas qualifications for auditors
Services provided by auditors
7
Disclosure of services provided by auditors and related remuneration
Chapter 2
Accounts and reports
Auditing of accounts
8
Auditors’ rights to information
9
Statement in directors’ report as to information disclosed to auditors

HL Bill 8 53/3

Companies (Audit, Investigations and Community Enterprise) Bill [HL]
iv

Defective accounts
10
Persons authorised to apply to court in connection with defective accounts
11
Disclosure of tax information by Inland Revenue to facilitate application for
declaration that accounts are defective
12
Power of person authorised to require documents, information and
explanations
Directors’ reports
13
Power to specify bodies who may issue reporting standards
Supervision of accounts and reports
14
Supervision of periodic accounts and reports of issuers of listed securities
15
Application of provisions inserted by sections 11 and 12 to bodies appointed
under section 14
Bodies concerned with accounting standards etc.
16
Grants to bodies concerned with accounting standards etc.
17
Levy to pay expenses of bodies concerned with accounting standards etc.
Chapter 3
Investigations
18
Power to require documents and information
19
Protection in relation to certain disclosures
20
Power to enter and remain on premises
21
Failure to comply with certain requirements
Chapter 4
Supplementary
22
Minor and consequential amendments
Part 2
Community interest companies
Introductory
23
Community interest companies
24
Regulator
25
Appeal Officer
26
Official Property Holder
Requirements
27
Cap on distributions and interest
28
Distribution of assets on winding up
29
Memorandum and articles
30
Names

Companies (Audit, Investigations and Community Enterprise) Bill [HL]
v

31
Community interest company reports
32
Community interest test and excluded companies
Becoming a community interest company
33
New companies
34
Existing companies: requirements
35
Existing companies: decisions etc.
36
Existing companies: charities
37
Existing companies: Scottish charities
Supervision by Regulator
38
Conditions for exercise of supervisory powers
39
Investigation
40
Audit
41
Civil proceedings
42
Appointment of director
43
Removal of director
44
Appointment of manager
45
Property
46
Transfer of shares etc.
47
Petition for winding up
48
Dissolution and striking off
Change of status
49
Re-registration
50
Ceasing to be a community interest company
51
Becoming a charity or a Scottish charity: requirements
52
Becoming a charity or a Scottish charity: decisions etc.
53
Becoming an industrial and provident society
Supplementary
54
Fees
55
Extension of provisions about registrar etc.
56
Information
57
Offences
58
Orders made by Regulator
59
Regulations
60
Interpretation
Part 3
Supplementary
61
Repeals
62
Commencement etc.
63
Extent
64
Short title

Companies (Audit, Investigations and Community Enterprise) Bill [HL]
vi

Schedule 1   —
New Schedule 7B to the Companies Act 1985
Schedule 2   —
Minor and consequential amendments relating to Part 1
Part 1   —
Amendments relating to auditors
Part 2   —
Amendments relating to accounts and reports
Part 3   —
Amendments relating to investigations
Schedule 3   —
Regulator of Community Interest Companies
Schedule 4   —
Appeal Officer for Community Interest Companies
Schedule 5   —
Official Property Holder for Community Interest Companies
Schedule 6   —
Community interest companies: names
Schedule 7   —
Community interest companies: investigations
Schedule 8   —
Repeals

© Parliamentary copyright 2003
Revised 4 December 2003