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    98A.">
  • 98A. Suspension and withdrawal of registration

    (1) The DFSA may suspend or withdraw the registration of a Registered Auditor or an Audit Principal:
    (a) in the case of the registration of a Registered Auditor, at the request of the Registered Auditor;
    (b) in the case of the registration of an Audit Principal, at the request of the Audit Principal or the Registered Auditor who appointed the Audit Principal; or
    (c) on its own initiative.
    (2) The DFSA may exercise its powers under Article 98A(1)(c) in the following circumstances:
    (a) the Registered Auditor or Audit Principal is in breach of, or has been in breach of, one or more restrictions or conditions applicable to its registration;
    (b) the Registered Auditor or Audit Principal is in breach of, or has been in breach of, this Law or the Rules;
    (c) the Registered Auditor is no longer fit and proper to provide the Audit Services permitted under its registration or the Audit Principal is no longer fit and proper to perform the role of Audit Principal;
    (d) the Registered Auditor has failed for a period of at least twenty-four consecutive months to provide Audit Services permitted under its registration;
    (e) in the case of an Audit Principal, if the Audit Principal:
    (i) becomes bankrupt;
    (ii) is convicted of a serious criminal offence;
    (iii) becomes incapable (through mental or physical incapacity) of managing his affairs; or
    (iv) is no longer employed by the Registered Auditor who appointed the Audit Principal; or
    (f) in the case of an Audit Principal, if the registration of its Registered Auditor is suspended or withdrawn.
    (3) The DFSA may make Rules setting out requirements that a Registered Auditor and an Audit Principal must meet before it will grant a request to suspend or withdraw registration.
    (4) The procedures in Schedule 3 apply to a decision of the DFSA under Article 98A(1)(c) to suspend or withdraw registration on its own initiative. If a power is being exercised in relation to an Audit Principal, the DFSA shall give both the Audit Principal and its Registered Auditor an opportunity to make representations under those procedures.
    (5) Where:
    (a) either or both of the following occur:
    (i) the DFSA conducts an investigation under Article 78 that relates to a Registered Auditor or Audit Principal; or
    (ii) a recognised professional body conducts an investigation relating to a member who is an Audit Principal; and
    (b) arising out of such an investigation, the DFSA believes on reasonable grounds that the Registered Auditor or Audit Principal has engaged in serious misconduct that may form grounds for the withdrawal of the registration of the Registered Auditor or Audit Principal,
    the DFSA may suspend the relevant registration for the duration of the investigation or any related proceedings insofar as the investigation or proceedings relate to that Audit Principal or Registered Auditor.
    (6) The procedures in Schedule 3 apply to a decision of the DFSA under Article 98A(5). If a power is being exercised in relation to an Audit Principal, the DFSA shall give both the Audit Principal and its Registered Auditor an opportunity to make representations under the procedures in Schedule 3.
    (7) If the DFSA decides to exercise its power under this Article to suspend or withdraw the registration of a Registered Auditor or Audit Principal, the Registered Auditor or Audit Principal may refer the matter to the FMT for review.