sec.40Audit reports

### sec.40 Audit reports An auditor who audits an agent’s trust accounts must give the agent an original signed audit report under this section. Maximum penalty—200 penalty units or 1 year’s imprisonment. The auditor must include the following in the report— the following details— the auditor’s name; the prescribed entity of which the auditor is a member; the auditor’s membership number issued by the prescribed entity; the audit period for which the report is made; the name and number of each trust account audited; the name of the financial institution, the office or branch of the institution where each trust account was kept and the identifying number of the office or branch; the agent’s name; if the agent is an individual who holds a licence—the agent’s licence number; for a corporation— if the corporation is a licensee—the corporation’s licence number; and the licence number of each licensee in charge of the corporation’s business; and the name of each agent in charge of the corporation’s business during the audit period; if the agent carried on business under a registered business name—the business name and the names of any persons with whom the agent carried on the business; each place where the agent carried on business as an agent; a statement about whether each trust account has been satisfactorily kept under this Act; a statement specifying the day and result of each unannounced examination for the audit period under section 36 (1) ; a statement about whether the auditor has audited the agent’s general account; if a trust account has been overdrawn, the following details— the name of the overdrawn account; the date and amount of each overdraw; any reason given by the agent for each overdraw; if an overdraw was corrected, the date of the correction; if a trust creditor’s ledger account has been overdrawn, the following details— the name of the trust creditor; the date and amount of each overdraw; any reason given by the agent for each overdraw; if an overdraw was corrected, the date of the correction; a statement about whether, for each month during the audit period— each trust account cash book was reconciled with the bank balance and trust ledger; and an analysis was made showing the name of each person for whom an amount was held and the amount held for each person; the serial numbers of the trust receipts used during the audit period and any unused trust receipts produced to the auditor; if an amount has been held in trust for more than 3 months by the agent at the last day of the audit period, the particulars for each amount, including— any reason given by the agent for holding the amount for more than 3 months; and whether the amounts have been dispersed before the day the report is given; a statement that each trust account cash book has been reconciled with the bank balance of the trust account at the last day of the audit period; a copy of the reconciliation of the trust account cash book and the bank balance of the trust account at the last day of the audit period containing the particulars prescribed under a regulation for this paragraph; if the agent used software in connection with keeping the trust account—the name and version number of the software; a statement about anything else about a trust account audited that the auditor considers should be reported to the chief executive. (sec.40-ssec.1) An auditor who audits an agent’s trust accounts must give the agent an original signed audit report under this section. Maximum penalty—200 penalty units or 1 year’s imprisonment. (sec.40-ssec.2) The auditor must include the following in the report— the following details— the auditor’s name; the prescribed entity of which the auditor is a member; the auditor’s membership number issued by the prescribed entity; the audit period for which the report is made; the name and number of each trust account audited; the name of the financial institution, the office or branch of the institution where each trust account was kept and the identifying number of the office or branch; the agent’s name; if the agent is an individual who holds a licence—the agent’s licence number; for a corporation— if the corporation is a licensee—the corporation’s licence number; and the licence number of each licensee in charge of the corporation’s business; and the name of each agent in charge of the corporation’s business during the audit period; if the agent carried on business under a registered business name—the business name and the names of any persons with whom the agent carried on the business; each place where the agent carried on business as an agent; a statement about whether each trust account has been satisfactorily kept under this Act; a statement specifying the day and result of each unannounced examination for the audit period under section 36 (1) ; a statement about whether the auditor has audited the agent’s general account; if a trust account has been overdrawn, the following details— the name of the overdrawn account; the date and amount of each overdraw; any reason given by the agent for each overdraw; if an overdraw was corrected, the date of the correction; if a trust creditor’s ledger account has been overdrawn, the following details— the name of the trust creditor; the date and amount of each overdraw; any reason given by the agent for each overdraw; if an overdraw was corrected, the date of the correction; a statement about whether, for each month during the audit period— each trust account cash book was reconciled with the bank balance and trust ledger; and an analysis was made showing the name of each person for whom an amount was held and the amount held for each person; the serial numbers of the trust receipts used during the audit period and any unused trust receipts produced to the auditor; if an amount has been held in trust for more than 3 months by the agent at the last day of the audit period, the particulars for each amount, including— any reason given by the agent for holding the amount for more than 3 months; and whether the amounts have been dispersed before the day the report is given; a statement that each trust account cash book has been reconciled with the bank balance of the trust account at the last day of the audit period; a copy of the reconciliation of the trust account cash book and the bank balance of the trust account at the last day of the audit period containing the particulars prescribed under a regulation for this paragraph; if the agent used software in connection with keeping the trust account—the name and version number of the software; a statement about anything else about a trust account audited that the auditor considers should be reported to the chief executive. - (a) the following details— (i) the auditor’s name; (ii) the prescribed entity of which the auditor is a member; (iii) the auditor’s membership number issued by the prescribed entity; - (i) the auditor’s name; - (ii) the prescribed entity of which the auditor is a member; - (iii) the auditor’s membership number issued by the prescribed entity; - (b) the audit period for which the report is made; - (c) the name and number of each trust account audited; - (d) the name of the financial institution, the office or branch of the institution where each trust account was kept and the identifying number of the office or branch; - (e) the agent’s name; - (f) if the agent is an individual who holds a licence—the agent’s licence number; - (g) for a corporation— (i) if the corporation is a licensee—the corporation’s licence number; and (ii) the licence number of each licensee in charge of the corporation’s business; and (iii) the name of each agent in charge of the corporation’s business during the audit period; - (i) if the corporation is a licensee—the corporation’s licence number; and - (ii) the licence number of each licensee in charge of the corporation’s business; and - (iii) the name of each agent in charge of the corporation’s business during the audit period; - (h) if the agent carried on business under a registered business name—the business name and the names of any persons with whom the agent carried on the business; - (i) each place where the agent carried on business as an agent; - (j) a statement about whether each trust account has been satisfactorily kept under this Act; - (k) a statement specifying the day and result of each unannounced examination for the audit period under section 36 (1) ; - (l) a statement about whether the auditor has audited the agent’s general account; - (m) if a trust account has been overdrawn, the following details— (i) the name of the overdrawn account; (ii) the date and amount of each overdraw; (iii) any reason given by the agent for each overdraw; (iv) if an overdraw was corrected, the date of the correction; - (i) the name of the overdrawn account; - (ii) the date and amount of each overdraw; - (iii) any reason given by the agent for each overdraw; - (iv) if an overdraw was corrected, the date of the correction; - (n) if a trust creditor’s ledger account has been overdrawn, the following details— (i) the name of the trust creditor; (ii) the date and amount of each overdraw; (iii) any reason given by the agent for each overdraw; (iv) if an overdraw was corrected, the date of the correction; - (i) the name of the trust creditor; - (ii) the date and amount of each overdraw; - (iii) any reason given by the agent for each overdraw; - (iv) if an overdraw was corrected, the date of the correction; - (o) a statement about whether, for each month during the audit period— (i) each trust account cash book was reconciled with the bank balance and trust ledger; and (ii) an analysis was made showing the name of each person for whom an amount was held and the amount held for each person; - (i) each trust account cash book was reconciled with the bank balance and trust ledger; and - (ii) an analysis was made showing the name of each person for whom an amount was held and the amount held for each person; - (p) the serial numbers of the trust receipts used during the audit period and any unused trust receipts produced to the auditor; - (q) if an amount has been held in trust for more than 3 months by the agent at the last day of the audit period, the particulars for each amount, including— (i) any reason given by the agent for holding the amount for more than 3 months; and (ii) whether the amounts have been dispersed before the day the report is given; - (i) any reason given by the agent for holding the amount for more than 3 months; and - (ii) whether the amounts have been dispersed before the day the report is given; - (r) a statement that each trust account cash book has been reconciled with the bank balance of the trust account at the last day of the audit period; - (s) a copy of the reconciliation of the trust account cash book and the bank balance of the trust account at the last day of the audit period containing the particulars prescribed under a regulation for this paragraph; - (t) if the agent used software in connection with keeping the trust account—the name and version number of the software; - (u) a statement about anything else about a trust account audited that the auditor considers should be reported to the chief executive. - (i) the auditor’s name; - (ii) the prescribed entity of which the auditor is a member; - (iii) the auditor’s membership number issued by the prescribed entity; - (i) if the corporation is a licensee—the corporation’s licence number; and - (ii) the licence number of each licensee in charge of the corporation’s business; and - (iii) the name of each agent in charge of the corporation’s business during the audit period; - (i) the name of the overdrawn account; - (ii) the date and amount of each overdraw; - (iii) any reason given by the agent for each overdraw; - (iv) if an overdraw was corrected, the date of the correction; - (i) the name of the trust creditor; - (ii) the date and amount of each overdraw; - (iii) any reason given by the agent for each overdraw; - (iv) if an overdraw was corrected, the date of the correction; - (i) each trust account cash book was reconciled with the bank balance and trust ledger; and - (ii) an analysis was made showing the name of each person for whom an amount was held and the amount held for each person; - (i) any reason given by the agent for holding the amount for more than 3 months; and - (ii) whether the amounts have been dispersed before the day the report is given;