Document ID: chunk:federal_register_of_legislation:C2004A01041:clause:1b_256
Version: federal_register_of_legislation:C2004A01041
Segment Type: clause
Provision Reference: sch 1B cl 256
Character Range: 332066–334188

256  Auditors of reporting units

 (1) A reporting unit must ensure that there is an auditor of the reporting unit at any time when an auditor is required for the purposes of the operation of this Part in relation to the reporting unit.

Note: This subsection is a civil penalty provision (see section 305).

 (2) The position of auditor of a reporting unit is to be held by:
 (a) a person who is an approved auditor; or
 (b) a firm, at least one of whose members is an approved auditor.

 (3) A person must not accept appointment as auditor of a reporting unit unless:
 (a) the person is an approved auditor; and
 (b) the person is not an excluded auditor in relation to the reporting unit.

Note: This subsection is a civil penalty provision (see section 305).

 (4) A member of a firm must not accept appointment of the firm as auditor of a reporting unit unless:
 (a) at least one member of the firm is an approved auditor; and
 (b) no member of the firm is an excluded auditor in relation to the reporting unit.

Note: This subsection is a civil penalty provision (see section 305).

 (5) A person who holds the position of auditor of a reporting unit must resign the appointment if the person:
 (a) ceases to be an approved auditor; or
 (b) becomes an excluded auditor in relation to the reporting unit.

Note: This subsection is a civil penalty provision (see section 305).

 (6) A member of a firm that holds the position of auditor of a reporting unit must take whatever steps are open to the member to ensure that the firm resigns the appointment if the member:
 (a) ceases to be an approved auditor and is or becomes aware that no other member of the firm is an approved auditor; or
 (b) becomes an excluded auditor in relation to the reporting unit; or
 (c) becomes aware that another member of the firm is an excluded auditor in relation to the reporting unit.

Note: This subsection is a civil penalty provision (see section 305).

 (7) The auditor of a reporting unit must use his or her best endeavours to comply with each requirement of this Schedule that is applicable to the auditor in that capacity.