35ACAppointed auditor’s functions and duties

#### 35AC Appointed auditor’s functions and duties (1) This section applies if the RSE licensee law: (a) requires an auditor of a registrable superannuation entity to be appointed; or (b) requires or permits a function or duty to be performed, or a power to be exercised, by an auditor. (1A) Subject to this Part, the following may be appointed as an auditor of the registrable superannuation entity: (a) an individual; (b) a firm; (c) a company. The entity may only have one auditor. > Note: In addition to audit requirements under the RSE licensee law, a registrable superannuation entity may have audit requirements under Chapter 2M of the Corporations Act 2001. Subsection (8) sets out a rule that is applicable in such a case. (2) The RSE licensee of the registrable superannuation entity must not appoint an individual as an auditor of the entity unless the RSE licensee is reasonably satisfied that the individual: (a) meets the eligibility criteria for auditors of registrable superannuation entities set out in the prudential standards; and (b) has not been disqualified from being or acting as an auditor of a registrable superannuation entity under section 130D; and (c) is not a member or employee of a firm that is disqualified under section 130EA; and (d) is not a director or employee of a company that is disqualified under section 130EA. (2A) The RSE licensee of the registrable superannuation entity must not appoint a firm or company as an auditor of the entity unless the RSE licensee is reasonably satisfied that: (a) the lead auditor for an audit of the entity that is conducted, or to be conducted, by the firm or company: (i) meets the eligibility criteria for auditors of registrable superannuation entities set out in the prudential standards; and (ii) has not been disqualified from being or acting as an auditor of a registrable superannuation entity under section 130D; and (b) the firm or company has not been disqualified from being or acting as an auditor of a registrable superannuation entity under section 130EA. (3) An individual, company or firm that is appointed as an auditor must perform the functions and duties set out in the RSE licensee law that are relevant to the appointment of the individual, company or firm. (4) The appointed auditor must comply with the RSE licensee law in performing the functions and duties. (5) The trustee of the registrable superannuation entity to whom the RSE licensee law applies must make any arrangements that are necessary to enable the appointed auditor to perform the functions and duties. (6) The RSE licensee of the registrable superannuation entity must end the appointment of an individual as an auditor of the entity if the RSE licensee becomes aware that the individual: (a) no longer meets the eligibility criteria for auditors of registrable superannuation entities set out in the prudential standards; or (b) has been disqualified from being or acting as an auditor of a registrable superannuation entity under section 130D; or (c) is a member or employee of a firm that is disqualified under section 130EA; or (d) is a director or employee of a company that is disqualified under section 130EA. (7) The RSE licensee of the registrable superannuation entity must end the appointment of a firm or company as an auditor of the entity if the RSE licensee becomes aware that: (a) the lead auditor for an audit of the entity that is conducted, or to be conducted, by the firm or company: (i) no longer meets the eligibility criteria for auditors of registrable superannuation entities set out in the prudential standards; or (ii) has been disqualified from being or acting as an auditor of a registrable superannuation entity under section 130D; or (b) the firm or company has been disqualified from being or acting as an auditor of a registrable superannuation entity under section 130EA. (8) If the registrable superannuation entity is a registrable superannuation entity within the meaning of Chapter 2M of the Corporations Act 2001, the RSE licensee for the entity must ensure that the appointed auditor of the entity is the individual, firm or company that is the auditor of the entity for the purposes of that Chapter. (9) If: (a) the registrable superannuation entity is a registrable superannuation entity within the meaning of Chapter 2M of the Corporations Act 2001; and (b) an individual, firm or company ceases to be the auditor of the entity for the purposes of that Chapter; then, for the purposes of the RSE licensee law, the appointment of the individual, firm or company as the auditor of the entity ends at the time of the cessation.