318Exemptions—criteria for exemptions for individual co-operatives or classes of co-operatives

#### 318 Exemptions—criteria for exemptions for individual co-operatives or classes of co-operatives 318 Exemptions—criteria for exemptions for individual co-operatives or classes of co-operatives (cf Corporations Act s 342) > > (1) To grant an exemption under section 316 or 317, the Registrar must be satisfied that complying with the relevant requirements of the target provisions would— > > > > > (a) make the financial report or other reports misleading; or > > > > > (b) be inappropriate in the circumstances; or > > > > > (c) impose unreasonable burdens. > > > (2) In deciding for the purposes of subsection (1) whether the audit requirements for a small co-operative, or a class of small co-operatives, would impose an unreasonable burden on the co-operative or co-operatives, the Registrar is to have regard to— > > > > > (a) the expected costs of complying with the audit requirements; and > > > > > (b) the expected benefits of having the co-operative or co-operatives comply with the audit requirements; and > > > > > (c) any practical difficulties that the co-operative or co-operatives face in complying effectively with the audit requirements (in particular, any difficulties that arise because a financial year is the first one for which the audit requirements apply or because the co-operative or co-operatives are likely to move frequently between the small and large co-operative categories from one financial year to another); and > > > > > (d) any unusual aspects of the operation of the co-operative or co-operatives during the financial year concerned; and > > > > > (e) any other matters that the Registrar considers relevant. > > > (3) In assessing expected benefits under subsection (2), the Registrar is to take account of— > > > > > (a) the number of creditors and potential creditors; and > > > > > (b) the position of creditors and potential creditors (in particular, their ability to independently obtain financial information about the co-operative or co-operatives); and > > > > > (c) the nature and extent of the liabilities of the co-operative or co-operatives.