Real Estate Agents (Audit) Regulations 2009

11 Disqualification from auditing trust accounts of an agency
  • (1) An auditor is disqualified from auditing the trust accounts of an agency if, at any time, either or both of the following apply:

    • (a) the auditor is one of the persons listed in section 36(4) of the Financial Reporting Act 2013:

    • (b) the auditor has a conflict of interest under subclause (2).

    (2) A conflict of interest exists if—

    • (a) the auditor is in business as an agent:

    • (b) the auditor is, or at any time within the immediately preceding 12 months has been, employed or engaged by the agency (other than as the agency's auditor):

    • (c) the auditor is, or at any time within the immediately preceding 12 months has been, a partner of the agency or in business with the agency:

    • (d) the auditor is, or at any time within the immediately preceding 12 months has been, an officer of the company that is the agency:

    • (e) the auditor, or any employee of the auditor, is, or at any time within the immediately preceding 12 months has been, engaged in processing or recording transactions relating to the agency:

    • (f) the relationship between the auditor and the agency is of a kind described in section 137 of the Act.

    (3) Nothing in subclause (1) or (2) prevents an auditor or employee of an auditor from completing for an agency—

    • (a) the closing entries at the end of a year or other period; or

    • (b) the preparation of a statement of financial position, a statement of financial performance, or taxation returns of the agency.

    (4) If the Authority becomes aware, other than by means of a notice from the agency under regulation 13(1), that the auditor is disqualified from auditing the accounts of the agency, the Authority must give notice to the agency and to the auditor that the auditor is disqualified from auditing the agency's accounts.

    (5) To avoid doubt, an auditor is disqualified under subclause (1) regardless of whether notice is given under subclause (4).

    Regulation 11 heading: replaced, on 1 April 2014, by regulation 6(1) of the Real Estate Agents (Audit) Amendment Regulations 2014 (LI 2014/28).

    Regulation 11(1): replaced, on 1 April 2014, by regulation 6(2) of the Real Estate Agents (Audit) Amendment Regulations 2014 (LI 2014/28).

    Regulation 11(4): amended, on 1 April 2014, by regulation 6(3) of the Real Estate Agents (Audit) Amendment Regulations 2014 (LI 2014/28).

    Regulation 11(5): inserted, on 1 April 2014, by regulation 6(4) of the Real Estate Agents (Audit) Amendment Regulations 2014 (LI 2014/28).