Companies Act 1985

247 Entitlement to deliver accounts in modified form

(1) In certain cases a company's directors may, in accordance with Part I of Schedule 8, deliver modified accounts in respect of a financial year; and whether they may do so depends on the company qualifying, in particular financial years, as small or medium-sized.

(2) Modified accounts for a financial year may not be delivered in the case of a company which is, or was at any time in that year—

(a) a public company,

(b) a special category company (Chapter II of this Part), or

(c) subject to the next-but-one subsection, a member of a group which is ineligible for this purpose.

(3) " Group " here means a holding company and its subsidiaries together; and a group is ineligible if any of its members is—

(a) a public company or a special category company, or

(b) a body corporate (other than a company) which has power under its constitution to offer its snares or debentures to the public and may lawfully exercise that power, or

(c) a body corporate (other than a company) which is either a recognised bank or licensed institution within the [1979 c. 37.] Banking Act 1979 or an insurance company to which Part II of the [1982 c. 50.] Insurance Companies Act 1982 applies.

(4) Notwithstanding subsection (2)(c), modified accounts for a financial year may be delivered if the company is exempt under section 252 (dormant companies) from the obligation to appoint auditors and either—

(a) was so exempt throughout that year, or

(b) became so exempt by virtue of a special resolution under that section passed during that year.

(5) For purposes of sections 247 to 250 and Schedule 8, " deliver " means deliver to the registrar of companies under this Chapter; and for purposes of subsection (3)(b), " shares " and " debentures " have the same meaning as when used in relation to a company.