Singapore legislation

Section 205AF

of Companies Act 1967

Section 205AF

Appointment of new auditor in place of resigning auditor

Amended by36/201436/201436/201436/201436/2014

(1)

Subject to subsection (3), if —

(a)

an auditor of a non‑public interest company (other than a subsidiary company of a public interest company) gives notice of resignation under section 205AA(1); or

(b)

an auditor of a public interest company, or a subsidiary company of a public interest company, gives notice of resignation under section 205AB(1), and the Registrar approves the resignation of the auditor under section 205AB(2),the directors of the company in question —

(c)

must call a general meeting of the company as soon as is practicable, and in any case not more than 3 months after the date of the auditor’s resignation, for the purpose of appointing an auditor in place of the auditor who desires to resign or has resigned; and

(d)

upon appointment of the new auditor, must lodge with the Registrar a notification of such appointment within 14 days of the appointment.

Amended by36/2014

(2)

If the directors of a company fail to appoint an auditor in place of the auditor who desires to resign or has resigned, the Registrar may, on the application in writing of any member of the company, make the appointment.

Amended by36/2014

(3)

Subsections (1) and (2) do not apply if the financial statements of the company are not required to be audited under this Act, or where the resigning auditor is not the sole auditor of the company.

Amended by36/2014

(4)

An auditor appointed pursuant to subsection (1) or (2) must, unless the auditor is removed or resigns, hold office until the conclusion of the next annual general meeting of the company.

Amended by36/2014

(5)

If default is made in complying with subsection (1), the company and every director of the company who is in default shall each be guilty of an offence and shall each be liable on conviction to a fine not exceeding $5,000.

Amended by36/2014