Document ID: chunk:federal_register_of_legislation:C2025C00185:section:324cc:p2
Version: federal_register_of_legislation:C2025C00185
Segment Type: section
Provision Reference: s 324CC (pt 2/3)
Character Range: 1213717–1216348

ASIC under subsection (1A) that a conflict of interest situation exists on the ground that the information might tend to incriminate the person or expose the person to a penalty.
 (1C) However, if the person is a natural person:
 (a) the information; and
 (b) the giving of the information;
are not admissible in evidence against the person in a criminal proceeding, or any other proceeding for the recovery of a penalty, other than proceedings for an offence based on the information given being false or misleading.
 (1D) If ASIC is given a notice under paragraph (1A)(e), ASIC must, as soon as practicable after the notice is received, give a copy of the notice to the audited body.

Conflict of interest situation of which another director of audit company aware
 (2) A person contravenes this subsection if:
 (a) an audit company engages in audit activity in relation to an audited body at a particular time; and
 (b) a conflict of interest situation exists in relation to the audited body at the time; and
 (c) the person is a director of the audit company at that time; and
 (d) at that time, another director of the audit company is aware that the conflict of interest situation exists; and
 (e) the audit company does not, as soon as possible after the director referred to in paragraph (d) becomes aware that the conflict of interest situation exists, take all reasonable steps to ensure that the conflict of interest situation ceases to exist.
Note 1: For conflict of interest situation, see section 324CD.
Note 2: The company itself will commit an offence based on the contravention of subsection 324AA(1).
 (3) For the purposes of an offence based on subsection (2), strict liability applies to the physical elements of the offence specified in paragraphs (2)(a), (b), (d) and (e).
Note 1: For strict liability, see section 6.1 of the Criminal Code.
Note 2: Subsection (6) provides a defence.

Conflict of interest situation of which directors of audit company not aware
 (4) A person contravenes this subsection if:
 (a) an audit company engages in audit activity in relation to an audited body at a particular time; and
 (b) a conflict of interest situation exists in relation to the audited body at the time; and
 (c) the person is a director of the audit company at that time; and
 (d) at that time none of the directors of the audit company is aware that the conflict of interest situation exists; and
 (e) a director of the audit company would have been aware of the existence of the conflict of interest situation if the audit company had in place a quality control system reasonably capable of making the audit