193704-1932-Supplementary-Bill-read-a-second-time--Companies — Page 58

Auditors' report and auditors' right of

access to books and

right to

attend

general

meetings.

19 & 20 Geo. 5, c. 23, s. 134.

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(2) Nothing in this section shall disqualify a body corporate from acting as auditor of a company if acting under an appointment made before the day on which this Ordinance comes into operation, but subject as aforesaid any body corporate which acts as auditor of a company shall be liable to a fine not exceeding one thousand dollars.

133.-(1) The auditors shall make a report to the members on the accounts examined by them, and on every balance sheet laid before the company in general meeting during their tenure of office, and the report shall state-

(a) whether or not they have obtained all the in- formation and explanations they have required: and

(b) whether, in their opinion, the balance sheet referred to in the report is properly drawn up so as to exhibit a true and correct view of the state of the company's affairs according to the best of their information and the explana- tions given to them, and as shown by the books of the company,

(2) Every auditor of a company shall have a right of access at all times to the books and accounts and vouchers of the company, and shall be entitled to require from the directors and officers of the company such information and explanation as may be necessary for the performance of the duties of the auditors:

Provided that, in the case of a banking company which has branch banks beyond the limits of the Colony (or, in the case of a China company, if the company has branch banks beyond the limits of the consular district wherein such company has its registered office), it shall be sufficient if the auditor is allowed access to such copies and extracts from such books and accounts of any such branch as have been transmitted to the head office of the company in the Colony (or in the case of a China company, to the registered office of the company within the limits of the China Orders in Council).

(3) The auditors of a company shall be entitled to attend any general meeting of the company at which any accounts which have been examined or reported on by them are to be laid before the company and to make any statement or explanation they desire with respect to the accounts.

Investiga-

tion of

affairs of company by inspectors. 19 & 20 Gen 5, c. 23, s. 135.

Inspection.

more

134.-(1) The court may appoint one or competent inspectors to investigate the affairs of a company and to report thereon in such manner as they direct-

(a) In the case of a banking company having a share capital, on the application of members holding not less than one-third of the shares issued:

(b) In the case of any other company having a share capital, on the application of members holding not less than one-tenth of the shares issued:

(c) In the case of a company not having a share capital, on the application of not less than one- fifth in number of the persons on the com- pany's register of members.

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