310Removal and resignation of auditors

310 Removal and resignation of auditors

310 Removal and resignation of auditors

(cf Corporations Act s 329)

(1) An auditor of a co-operative may be removed from office by resolution of the co-operative at a general meeting of which notice under subsection (2) has been given, but not otherwise.

(2) Notice of intention to move the resolution must be given to the co-operative at least 2 months before the meeting is to be held. However, if the co-operative calls a meeting after the notice of intention is given under this subsection, the meeting may pass the resolution even though the meeting is held less than 2 months after the notice of intention is given.

(3) Where notice under subsection (2) of a resolution to remove an auditor is received by a co-operative, it must as soon as possible send a copy of the notice to the auditor and lodge a copy of the notice with the Registrar.

(4) Within 7 days after receiving a copy of the notice, the auditor may make representations in writing, not exceeding a reasonable length, to the co-operative and request that, before the meeting at which the resolution is to be considered, a copy of the representations be sent by the co-operative at its expense to every member of the co-operative to whom notice of the meeting is sent.

(5) Unless the Registrar on the application of the co-operative otherwise orders, the co-operative must send a copy of the representations in accordance with the auditor’s request, and the auditor may, without prejudice to his or her right to be heard orally or, where a firm is the auditor, to have a member of the firm heard orally on its behalf, require that the representations be read out at the meeting.

(6) An auditor of a co-operative may, by notice in writing given to the co-operative, resign as auditor of the co-operative if—

(a) the auditor has, by notice in writing given to the Registrar, applied for consent to the resignation and stated the reasons for the application and, at or about the same time as the notice was given to the Registrar, notified the co-operative in writing of the application to the Registrar; and

(b) the consent of the Registrar has been given.

(7) The Registrar must, as soon as practicable after receiving a notice from an auditor under subsection (6), notify the auditor and the co-operative whether the Registrar consents to the resignation of the auditor.