Document ID: chunk:federal_register_of_legislation:C2025C00185:section:311:p1
Version: federal_register_of_legislation:C2025C00185
Segment Type: section
Provision Reference: s 311 (pt 1/4)
Character Range: 1136216–1138965

311  Reporting to ASIC

Contravention by individual auditor
 (1) An individual auditor conducting an audit (other than an audit of a registrable superannuation entity) contravenes this subsection if:
 (a) the auditor is aware of circumstances that:
 (i) the auditor has reasonable grounds to suspect amount to a contravention of this Act; or
 (ii) amount to an attempt, in relation to the audit, by any person to unduly influence, coerce, manipulate or mislead a person involved in the conduct of the audit (see subsection (6)); or
 (iii) amount to an attempt, by any person, to otherwise interfere with the proper conduct of the audit; and
 (b) if subparagraph (a)(i) applies:
 (i) the contravention is a significant one; or
 (ii) the contravention is not a significant one and the auditor believes that the contravention has not been or will not be adequately dealt with by commenting on it in the auditor's report or bringing it to the attention of the directors; and
 (c) the auditor does not notify ASIC in writing of those circumstances as soon as practicable, and in any case within 28 days, after the auditor becomes aware of those circumstances.
 (1A) An individual auditor conducting an audit of a registrable superannuation entity contravenes this subsection if:
 (a) the auditor suspects on reasonable grounds that there are circumstances that amount to a contravention of this Act; and
 (b) the auditor does not notify ASIC in writing of those circumstances as soon as practicable, and in any case within 28 days, after the auditor forms that suspicion.
 (1B) An individual auditor commits an offence if the auditor contravenes subsection (1A).
 (1C) An individual auditor commits an offence of strict liability if the auditor contravenes subsection (1A).

Contravention by audit company
 (2) An audit company conducting an audit (other than an audit of a registrable superannuation entity) contravenes this subsection if:
 (a) the lead auditor for the audit is aware of circumstances that:
 (i) the lead auditor has reasonable grounds to suspect amount to a contravention of this Act; or
 (ii) amount to an attempt, in relation to the audit, by any person to unduly influence, coerce, manipulate or mislead a person involved in the conduct of the audit (see subsection (6)); or
 (iii) amount to an attempt, by any person, to otherwise interfere with the proper conduct of the audit; and
 (b) if subparagraph (a)(i) applies:
 (i) the contravention is a significant one; or
 (ii) the contravention is not a significant one and the lead auditor believes that the contravention has not been or will not be adequately dealt with by commenting on it in the auditor's report or bringing it to the attention of the directors; and
 (c) the lead