As enacted

Contents

Companies Act 2007 · As enacted · Part VII · Management and Administration Registered Office

161. Statement by person ceasing to hold office as auditor

Official English translation. Where it differs from the Sinhala or Tamil text, the Act itself says which text prevails.

(1)

If an auditor resigns or ceases for any other reason to hold office, he shall deliver to the company a statement of any circumstances connected with his ceasing to hold office which he considers should be brought to the attention of the shareholders or creditors of the company, or if he considers that there are no such circumstances, a statement that there are none.

(2)

The statement required under subsection (1) shall be delivered by the auditor —

(a)

if he resigns, with the notice of resignation;

(b)

if he gives notice that he does not wish to be re-appointed, with that notice;

(c)

if he ceases to hold office for any other reason, within ten working days of ceasing to hold office.

(3)

If the auditor has stated circumstances which he believes ought to be brought to the attention of the shareholders or creditors, the company shall —

(a)

send a copy of the statement to each shareholder;

and

(b)

deliver a copy of the statement to the Registrar:

Provided that the company may with permission of court

(obtained by an order, the costs of which is to be paid by the auditor) refrain from sending copies to shareholders or reading the representations at the meeting so convened.

(4)

Where an auditor fails to comply with subsection (1), he shall be guilty of an offence and be liable on conviction to a fine not exceeding two hundred thousand rupees.

(5)

If a company fails to comply with subsection (3)—

(a)

the company shall be guilty of an offence and be liable on conviction to a fine not exceeding two hundred thousand rupees; and

(b)

every officer of the company who is in default shall be guilty of an offence, and be liable on conviction to a fine not exceeding one hundred thousand rupees.

Read on from s 162

Part VIII

Amalgamations

Read on from Part VIII

Part IX

Compromises with Creditors

Read on from Part IX

Part X

Approval of Arrangements, Amalgamations, and Compromises by Court

Read on from Part X

Part XI

Provisions Relating to Offshore Companies

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Part XII

Winding Up

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Part XIII

Administrators Appointment of Administrator

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Part XIV

Floating Charges

Read on from Part XIV

Part XV

Receivers and Managers

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Part XVI

Registrar-General of Companies and Registration Appointment of Officers

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Part XVII

Application of Act to Existing Companies

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Part XVIII

Overseas Companies

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Part XIX

Advisory Commission

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Part XX

Companies Disputes Board

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Part XXI

Offences Miscellaneous Offences

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Part XXII

Miscellaneous Prohibition of Partnership with More Than Twenty Members

Read on from Part XXII

Part XXIII

Repeals and Amendments

Read on from Part XXIII