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Auditor lo send report directly to Commis- sioner in certain
CUSCS.
Power of Commis- sioner to appoint auditor.
Power of Commis- sioner to appoint an auditor on
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89. If, during the performance of his duties as auditor for a dealer, an auditor-
(a) becomes aware of any matter which in his opinion adversely affects the financial position of the dealer to a material extent; or
(b) discovers evidence of a contravention by the dealer of
section 81, section 83, or section 84,
he shall, as soon as practicable thereafter, send to the Commis- sioner and to the dealer a report in writing of the matter or, a5 the case may be, concerning the contravention.
90. (1) Where-
(4) a dealer has failed to lodge an auditor's report under
section 88; or
(b) the Commissioner has received a report under section
29.
the Commissioner may, if he is satisfied that it is in the interests of the dealer concerned, the dealer's clients, or the general public. to do so, appoint in writing an auditor to examine, audit, and report. either generally or in relation to any matter, on the books, accounts, and records of, and securities held by, the dealer.
(2) Where the Commissioner is of the opinion that the whole or any part of the costs and expenses of an auditor appointed by him under this section should be borne by the dealer concerned or the stock exchange of which he is a member, he may, by order in writing, direct the dealer or stock exchange to pay a specified amount, being the whole or part of those costs and expenses, within the time and in the manner specificd.
(3) Where a dealer or stock exchange has failed to comply with an order of the Commissioner under subsection (2), the amount specified in the order may be sued for and recovered by the Commissioner as a debt in any court of competent jurisdiction.
91. (1) On receipt of an application in writing from a person who alleges that a dealer has failed to account to him in respect of any money or securities held or received by that dealer for him or on his behalf, the Commissioner may, after tirul the applica- giving the dealer an opportunity to give an explanation of the failure, appoint in writing an auditor to examine, audit, and report, either generally or in relation to any particular matter, on the books, accounts, and records of, and securities held by, that dealer.
tion of a client.
(2) Every application under subsection (1) shall state- (a) particulars of the circumstances under which the dealer received the money or securities in respect of which he is alleged to have failed to account;
(6) particulars of that money or those securities and of the transactions of the applicant and the dealer relating thereto; and
(c) such other particulars as may be prescribed by regula-
tions.
(3) Every statement in any such application shall be verified by statutory declaration made by the applicant and shall, if made in good faith and without malice, be privileged.
(4) The Commissioner shall not appoint an auditor under subsection (1) unless he is satisfied-
(a) that the applicant has good reason for making the
application; and
(b) that it is in the interests of the dealer or the applicant or the public generally that the books, accounts, and records of, and securities held by, the dealer should be examined, audited, and reported on.
92. An auditor appointed under section 90 or section 91 Auditor to shall, on the conclusion of the examination and audit in respect report to Commis- of which he was appointed, make a report thereon to the sioner. Commissioner.
93. An auditor appointed by the Commissioner to examine Powers of and audit the books, accounts, and records of, and securities held auditors. by, a dealer may for the purpose of carrying out the examination and audit-
(a) examine on oath the dealer concerned and, where the dealer carries on business in partnership or is a corpora- tion, any of the members of the partnership or, as the case may be, any director of the corporation and any of the dealer's servant and agents and any other auditor appointed under this Ordinance in relation to those books, accounts, records, and securities;
(b) employ such persons as he considers necessary; and (c) by instrument in writing under his hand, authorize any persou employed by him to do, in relation to the exam- ination and audit, any act or thing that he could do
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