Document ID: chunk:federal_register_of_legislation:C2016A00011:schedule:2:p39
Version: federal_register_of_legislation:C2016A00011
Segment Type: schedule
Provision Reference: sch 2 (pt 39/71)
Character Range: 320402–323084

administrator must:
 (a) ensure that the books are available at the external administrator's office for inspection; and
 (b) permit a creditor or contributory, or another person acting on the creditor's or contributory's behalf, to inspect the books at all reasonable times.

Exception
 (3) Subsections (1) and (2) do not apply if the external administrator has a reasonable excuse.

Offence
 (4) A person commits an offence of strict liability if:
 (a) the person is subject to a requirement under subsection (1) or (2); and
 (b) the person fails to comply with the requirement.
Penalty: 5 penalty units.
Note: A defendant bears an evidential burden in relation to the matter in subsection (3) (see subsection 13.3(3) of the Criminal Code).

70‑15  Audit of administration books—ASIC

ASIC may cause books to be audited
 (1) ASIC may cause the books referred to in section 70‑5 (annual administration return), 70‑6 (end of administration return) or 70‑10 (administration books) to be audited by a registered company auditor.

Audit on the ASIC's initiative or on request
 (2) The audit may be conducted:
 (a) on ASIC's own initiative; or
 (b) at the request of the company; or
 (c) at the request of a creditor; or
 (d) at the request of any other person prescribed.

Auditor must prepare a report
 (3) The auditor must prepare a report on the audit.

ASIC must give a copy of the report
 (4) If ASIC causes books to be audited under subsection (1):
 (a) ASIC must give a copy of the report prepared by the auditor to:
 (i) the external administrator of the company; and
 (ii) the person who requested the report (if any); and
 (b) subsection 1289(5) applies in relation to the report prepared by the auditor as if it were a document required to be lodged.

Costs of an audit
 (5) The costs of an audit under this section must be determined by ASIC and form part of the expenses of the external administration of the company.

70‑20  Audit of administration books—on order of the Court
 (1) The Court may order that an audit of the books referred to in section 70‑5 (annual administration return), 70‑6 (end of administration return) or 70‑10 (administration books) be conducted by a registered company auditor.
 (2) The order may be made on application of:
 (a) any person with a financial interest in the external administration of the company; or
 (b) an officer of the company.
 (3) Paragraph (2)(b) has effect despite section 198G.
Note: Section 198G deals with powers of officers etc. while a company under external administration.
 (4) The Court may make such orders in relation to the audit as it thinks fit, including:
 (a) the preparation and provision of a report on the