140Removal and resignation of auditors

#### 140 Removal and resignation of auditors 140 Removal and resignation of auditors > > (1) An auditor of a society may only be removed from office by special resolution at a general meeting of the society. > > > (2) If notice of a special resolution to remove an auditor is given, the society must immediately send a copy of the notice to the auditor and to the Registrar. > > > > Maximum penalty—20 penalty units. > > > (3) Within 7 days after receiving a copy of the notice, the auditor may make written representations of not more than a reasonable length to the society and request that a copy of the representations be given to members at or before the meeting at which the special resolution will be considered. > > > (4) The society must comply with a request from the auditor that the representations be read out at the meeting. > > > > Maximum penalty—20 penalty units. > > > (4A) Subsection (4) does not affect any right of— > > > > > (a) the auditor to be heard orally at the meeting, or > > > > > (b) if the auditor is a firm—a member of the firm to be heard orally at the meeting on the firm’s behalf. > > > (5) If an auditor is removed from office, the society must immediately give written notice of the removal to the Registrar. > > > > Maximum penalty—20 penalty units. > > > (6) An auditor of a society may, by written notice given to the society, resign if the auditor— > > > > > (a) by written notice given to the Registrar, has applied for consent to the resignation and stated the reasons for the application, and > > > > > (b) at or about the same time as the auditor gave the notice to the Registrar, has given written notice of the application to the society, and > > > > > (c) has received the consent of the Registrar to the resignation. > > > (7) The Registrar must, as soon as practicable after receiving a notice from an auditor, notify the auditor and the society whether the Registrar consents to the resignation. > > > (8) A statement made by an auditor in an application to the Registrar for consent to the resignation or in answer to an inquiry by the Registrar relating to the reasons for the application— > > > > > (a) is not admissible in evidence in any civil or criminal proceeding against the auditor, and > > > > > (b) may not be made the ground of a prosecution, action or suit against the auditor. > > > (9) A certificate by the Registrar that a statement was made in the application or in the answer to an inquiry by the Registrar is conclusive evidence that the statement was so made. > > > (10) Subject to subsection (11), the resignation of an auditor takes effect— > > > > > (a) on the date (if any) specified for the purpose in the notice of resignation, or > > > > > (b) on the date on which the Registrar gives the Registrar’s consent to the resignation, or > > > > > (c) on the date (if any) fixed by the Registrar for the purpose, > > > > whichever is the latest. > > > (11) If, on the retirement or withdrawal from a firm of a member, the firm will no longer be capable, because of section 137 (5) (d) (Qualifications of auditors), of acting as auditor of a society, the member so retiring or withdrawing must (if not disqualified from acting as auditor of the society) give reasonable notice to the society of his or her retirement or withdrawal and, upon receipt of the notice by the society, the office of auditor becomes vacant. > > > > Maximum penalty—20 penalty units. > > > (12) Within 14 days after the receipt of a notice of resignation, retirement or withdrawal from an auditor, the society must give a notice of the resignation, retirement or withdrawal in the approved form to the Registrar. > > > > Maximum penalty—20 penalty units. > > **s 140:** Am 1999 No 2, Sch 4 \[5\] \[6\]; 2016 No 27, Sch 1.9 \[8\]; 2024 No 25, Sch 5.3\[6\] \[7\].