Auditing
s 23
23.—(1) Despite the provisions of the Companies Act 1967, a licensed credit bureau —(a) must, on an annual basis, appoint, and obtain the approval of the Authority for the appointment of, an auditor; and (b) if for any reason its auditor ceases to be its auditor, appoint another auditor with the approval of the Authority as soon as practicable after such cessation. (2) The Authority must not approve an auditor for a licensed credit bureau unless the auditor is able to comply with such conditions in relation to the discharge of the auditor’s duties as the Authority may determine. (3) The Authority may appoint an auditor —(a) if the licensed credit bureau fails to appoint an auditor; or (b) if the Authority considers it desirable that another auditor should act with the auditor appointed under subsection (1), and may at any time fix the remuneration to be paid by the licensed credit bureau to the auditor the Authority appoints. (4) The duties of an auditor appointed under subsection (1) or (3) are to —(a) carry out, for the year in respect of which the auditor is appointed, an audit of the licensed credit bureau’s accounts; and (b) make a report on the licensed credit bureau’s financial statements or consolidated financial statements in accordance with section 207 of the Companies Act 1967. (5) The Authority may, by written notice to an auditor, impose all or any of the following duties on the auditor in addition to those provided under subsection (4), and the auditor must carry out the duties so imposed:(a) a duty to submit such additional information in relation to the audit as the Authority considers necessary; (b) a duty to enlarge or extend the scope of the audit of the licensed credit bureau’s business and affairs; (c) a duty to carry out any other examination, or establish any procedure, in relation to the audit in any particular case; (d) a duty to submit a report on any of the matters mentioned in paragraphs (b) and (c). (6) The licensed credit bureau must remunerate the auditor in respect of —(a) such remuneration the Authority has fixed under subsection (3); and (b) the discharge of all or any of the additional duties of the auditor imposed under subsection (5). (7) Despite any other provision of this Act or the provisions of the Companies Act 1967, the Authority may at any time direct the licensed credit bureau to —(a) remove the auditor of the licensed credit bureau; and (b) appoint another auditor, if the Authority is not satisfied with the performance of any duty by the auditor. (8) The auditor’s report made under subsection (4)(b) must be attached to the licensed credit bureau’s financial statements or consolidated financial statements, and a copy of the report, together with any report submitted under subsection (5), must be submitted in writing to the Authority. (9) If an auditor, in the course of performing the auditor’s duties, is satisfied that —(a) there has been a serious breach or non‑observance of the provisions of this Act; (b) a criminal offence involving fraud or dishonesty has been committed; (c) losses have been incurred that reduce the capital of the licensed credit bureau by 50% or more; (d) serious irregularities have occurred, including irregularities that compromise the confidentiality, security or integrity of any data collected, used or disclosed by the licensed credit bureau; or (e) the auditor is unable to confirm that the claims of creditors of the licensed credit bureau are still covered by the assets of the licensed credit bureau, the auditor must immediately report the matter to the Authority. (10) Where an auditor or employee of the auditor discloses in good faith to the Authority —(a) the auditor’s or employee’s knowledge or suspicion of any of the matters mentioned in subsection (9); or (b) any information or other matter on which that knowledge or suspicion is based, the disclosure is not a breach of any restriction upon the disclosure imposed by any law, contract or rules of professional conduct, and the auditor or employee is not liable for any loss arising out of the disclosure or any act or omission in consequence of the disclosure. (11) Any licensed credit bureau that contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000 and, in the case of a continuing offence, to a further fine not exceeding $10,000 for every day or part of a day during which the offence continues after conviction. (12) Any auditor that contravenes subsection (5) or (9) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000 and, in the case of a continuing offence, to a further fine not exceeding $10,000 for every day or part of a day during which the offence continues after conviction. (13) In this section, “consolidated financial statements” and “financial statements” have the meanings given by section 209A of the Companies Act 1967.