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Friendly Societies Act 1992

Changes over time for: Section 75

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75 Auditors’ rights to information and to attend meetings.U.K.

(1)The auditors of a friendly society are entitled—

(a)to access at all times to the books, accounts and vouchers of the society;

(b)to require from the officers of the society such information and explanations as they think necessary for the performance of their duties as auditors;

(c)to receive from the society—

(i)notice of any general meeting of the society and of any matter relating to the business of such a meeting of which notice is given (by whatever means) to the society’s members; and

(ii)copies of any communications sent to the society’s members with respect to any such meeting; and

(d)to attend any general meeting of the society and to be heard on any part of the business of the meeting which concerns them as auditors;

and the auditors of a registered branch have the corresponding rights to those specified in paragraphs (a) to (d) above, with the substitution for references to the society of references to the branch.

(2)The right to attend or be heard at a meeting is exercisable in the case of a body corporate or partnership by an individual authorised by it in writing to act as its representative at the meeting.

(3)An officer of a friendly society is guilty of an offence if he knowingly or recklessly makes to the society’s auditors a statement (whether written or oral) which—

(a)conveys or purports to convey any information or explanations which the auditors require, or are entitled to require, as auditors of the society; and

(b)is misleading, false or deceptive in a material particular.

(4)An officer of a registered branch is guilty of an offence if he knowingly or recklessly makes to the auditors of the branch a statement (whether written or oral) which—

(a)conveys or purports to convey any information or explanations which the auditors require, or are entitled to require, as auditors of the branch; and

(b)is misleading, false or deceptive in a material particular.

(5)A person guilty of an offence under subsection (3) or (4) above is liable —

(a)on conviction on indictment, to imprisonment for a term not exceeding 2 years, or to a fine, or to both; and

(b)on summary conviction, to imprisonment for a term not exceeding 6 months or to a fine not exceeding the statutory maximum, or to both.

(6)It shall be the duty of a subsidiary of a friendly society which is—

(a)a company within the meaning of the M1Companies Act 1985 incorporated in Great Britain; or

(b)a company within the meaning of the M2Companies (Northern Ireland) Order 1986 incorporated in Northern Ireland,

and of the auditors of such a subsidiary to give to the auditors of the society such information and explanations as those auditors may reasonably require for the purposes of their duties as auditors of that society.

(7)If—

(a)a subsidiary to which subsection (6) above applies fails to comply with that subsection; or

(b)an auditor of such a subsidiary fails without reasonable excuse to comply with that subsection,

the subsidiary or auditor is guilty of an offence and liable on summary conviction to a fine not exceeding level 5 on the standard scale.

(8)An incorporated friendly society having a subsidiary to which subsection (6) above does not apply shall, if required by its auditors to do so, take all such steps as are reasonably open to it to obtain from the subsidiary such information and explanations as they may reasonably require for the purposes of their duties as auditors of that society.

(9)If an incorporated friendly society fails to comply with subsection (8) above, it is guilty of an offence and liable on summary conviction to a fine not exceeding level 5 on the standard scale.

Commencement Information

I1S. 75 wholly in force; s. 75 not in force at Royal Assent see s. 126(2); s. 75 in force for certain purposes at 13.1.1993 by S.I. 1993/16, art. 2, Sch. 1; s. 75 in force for all remaining purposes at 1.1.1994 by S.I. 1993/2213, art. 2(1), Sch. 5

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