Companies Act 2006

Monitoring and enforcement U.K.

12 [F1 (1) The body must— U.K.

(a) have adequate resources for the effective monitoring and enforcement of compliance with its rules, and

(b) ensure that those resources may not be influenced improperly by the persons monitored.

(1A) The body must—

(a) have adequate arrangements for the effective monitoring and enforcement of compliance with its rules, and

(b) ensure that those arrangements operate independently of the persons monitored.]

(2) The arrangements for monitoring may make provision for that function to be performed on behalf of the body (and without affecting its responsibility) by any other body or person who is able and willing to perform it.

[F2 (3) The arrangements for enforcement must include provision for—

(a) sanctions which include—

(i) the withdrawal of eligibility for appointment as a statutory auditor; and

(ii) any other disciplinary measures necessary to ensure the effective enforcement of the body's rules; and

(b) the body making available to the public information relating to steps it has taken to ensure the effective enforcement of its rules.]

Textual Amendments

F1 Sch. 10 para. 12(1)(1A) substituted for Sch. 10 para. 12(1) (6.4.2008) by The Statutory Auditors and Third Country Auditors Regulations 2007 (S.I. 2007/3494), reg. 22(2)

F2 Sch. 10 para. 12(3) inserted (6.4.2008) by The Statutory Auditors and Third Country Auditors Regulations 2007 (S.I. 2007/3494), reg. 22(3)