Part I Regulation of Deposit-Taking Business

Accounts and auditors

46 Notification in respect of auditors.

1

An authorised institution incorporated in the United Kingdom shall forthwith give written notice to the F2Authority if the institution—

a

proposes to give special notice to its shareholders of an ordinary resolution removing an auditor before the expiration of his term of office; or

b

gives notice to its shareholders of an ordinary resolution replacing an auditor at the expiration of his term of office with a different auditor,

or if a person ceases to be an auditor of the institution otherwise than in consequence of such a resolution.

2

An auditor of an authorised institution F3appointed under Chapter V of Part XI of the M1Companies Act 1985 shall forthwith give written notice to the F2Authority if he—

a

resigns before the expiration of his term of office;

b

does not seek to be re-appointed; or

c

decides to include in his report on the institution’s accounts any qualification as to a matter mentioned in F4section 235(2) or any statement pursuant to F4section 235(3) or section 237 of that Act.

3

The foregoing provisions of this section shall apply to a former authorised institution as they apply to an authorised institution.

4

In the application of subsection (2) above to Northern Ireland for the references to F5Chapter V of Part XI and sectionsF6235(2) and 235(3) and 237 of the Companies Act 1985 there shall be substituted references to F7F8Chapter V of Part XII and Articles, 243(2), 243(3) and 245 of the Companies (Northern Ireland) Order 1986.

5

An institution or auditor who fails to comply with this section shall be guilty of an offence and liable on summary conviction to a fine not exceeding the fifth level on the standard scale.