sec.57Engaging auditor for review of trust account

### sec.57 Engaging auditor for review of trust account The trustee for a project trust or retention trust must engage an auditor to carry out a review of the trust account as required by this section. Maximum penalty—200 penalty units or 1 year’s imprisonment. The engagement of the auditor must comply with the requirements prescribed by regulation. The review must be carried out at the times prescribed by regulation. The period of the review (the review period ) is the period prescribed by regulation. The review must be complete within 40 business days after starting the review. The review must be carried out by an auditor that is independent of the trustee and has not been excluded by the commissioner under section 54E . An auditor is independent of the trustee if the auditor is not any of the following— an employee of the trustee; if the trustee is a company—an executive officer, investor or shareholder for the company; if the trustee is a partnership—a partner in the partnership; a related entity for the trustee. The trustee need not engage an auditor to carry out a review of the trust account— if— a retention amount was not held in the account during the review period; and within 10 business days after the end of the review period the trustee gave the commissioner a written statement, using an approved way, as to why the trustee did not engage an auditor to carry out the review; or if— there are no transactions or changes for the account during the review period; and within 10 business days after the end of the review period the trustee gave the commissioner a written statement, using an approved way, confirming the matter mentioned in subparagraph (i) ; or in the circumstances prescribed by regulation. s 57 amd 2018 No. 17 s 176ZJ sub 2020 No. 24 s 63 amd 2022 No. 11 s 29 ; 2024 No. 14 s 46 (sec.57-ssec.1) The trustee for a project trust or retention trust must engage an auditor to carry out a review of the trust account as required by this section. Maximum penalty—200 penalty units or 1 year’s imprisonment. (sec.57-ssec.2) The engagement of the auditor must comply with the requirements prescribed by regulation. (sec.57-ssec.3) The review must be carried out at the times prescribed by regulation. (sec.57-ssec.4) The period of the review (the review period ) is the period prescribed by regulation. (sec.57-ssec.5) The review must be complete within 40 business days after starting the review. (sec.57-ssec.6) The review must be carried out by an auditor that is independent of the trustee and has not been excluded by the commissioner under section 54E . (sec.57-ssec.7) An auditor is independent of the trustee if the auditor is not any of the following— an employee of the trustee; if the trustee is a company—an executive officer, investor or shareholder for the company; if the trustee is a partnership—a partner in the partnership; a related entity for the trustee. (sec.57-ssec.8) The trustee need not engage an auditor to carry out a review of the trust account— if— a retention amount was not held in the account during the review period; and within 10 business days after the end of the review period the trustee gave the commissioner a written statement, using an approved way, as to why the trustee did not engage an auditor to carry out the review; or if— there are no transactions or changes for the account during the review period; and within 10 business days after the end of the review period the trustee gave the commissioner a written statement, using an approved way, confirming the matter mentioned in subparagraph (i) ; or in the circumstances prescribed by regulation. - (a) an employee of the trustee; - (b) if the trustee is a company—an executive officer, investor or shareholder for the company; - (c) if the trustee is a partnership—a partner in the partnership; - (d) a related entity for the trustee. - (a) if— (i) a retention amount was not held in the account during the review period; and (ii) within 10 business days after the end of the review period the trustee gave the commissioner a written statement, using an approved way, as to why the trustee did not engage an auditor to carry out the review; or - (i) a retention amount was not held in the account during the review period; and - (ii) within 10 business days after the end of the review period the trustee gave the commissioner a written statement, using an approved way, as to why the trustee did not engage an auditor to carry out the review; or - (b) if— (i) there are no transactions or changes for the account during the review period; and (ii) within 10 business days after the end of the review period the trustee gave the commissioner a written statement, using an approved way, confirming the matter mentioned in subparagraph (i) ; or - (i) there are no transactions or changes for the account during the review period; and - (ii) within 10 business days after the end of the review period the trustee gave the commissioner a written statement, using an approved way, confirming the matter mentioned in subparagraph (i) ; or - (c) in the circumstances prescribed by regulation. - (i) a retention amount was not held in the account during the review period; and - (ii) within 10 business days after the end of the review period the trustee gave the commissioner a written statement, using an approved way, as to why the trustee did not engage an auditor to carry out the review; or - (i) there are no transactions or changes for the account during the review period; and - (ii) within 10 business days after the end of the review period the trustee gave the commissioner a written statement, using an approved way, confirming the matter mentioned in subparagraph (i) ; or