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MEMBERS' HANDBOOK |
| 42A. | Interpretation | |||
| In this Part, unless the context otherwise requires - | ||||
| "chairman" (¥D®u) means the chairman of an Investigation Committee. | ||||
| 42B. | Investigation Panel | |||
| (1) | There shall be an Investigation Panel which shall consist of not less than 12 members appointed by the Council and of whom - | |||
| (a) | all shall be professional accountants; and | |||
| (b) | at least 5 shall be holders of practising certificates, and such members shall hold office until they resign or are removed from office by the Council. | |||
| (2) | A person who is a member of the Council or is for the time being appointed under section 33 shall be disqualified for membership of the Investigation Panel and, accordingly, if a member of the Investigation Panel either becomes a member of the Council or is so appointed his membership of the Investigation Panel shall thereupon cease. | |||
| 42C. | Appointment of Investigation Committee | |||
| (1) | Where pursuant to a direction under subsection (2) an Investigation Committee informs the Council that in its opinion there is a prima facie case against the professional accountant, the Council may in its discretion constitute a Disciplinary Committee pursuant to section 33(3) and refer the matter to it, and the Disciplinary Committee concerned shall deal with it as if it were a complaint referred to it under section 34(1) and for that purpose the matter shall be deemed to be a complaint made to the Registrar by the Investigation Committee. | |||
| (2) | (a) | Where the Council reasonably suspects or believes that - | ||
| (i) | a professional accountant has acted in a manner described in section 34(1)(c); | |||
| (ii) | paragraph (d), (da), (db), (dc), (e), (f) or (g) of section 34(1) applies to a professional accountant or a firm of certified public accountants or public accountants, | |||
| the Council may, in its discretion, constitute an Investigation Committee and direct the Committee, having considered the matter, to inform the Council as to whether in its opinion, were such a complaint made against him or it, the professional accountant or firm concerned would have a case to answer. | ||||
| (b) | The following provisions shall apply as regards an Investigation Committee - | |||
| (i) | the Committee shall consist of 3 members each of whom shall be appointed by the Council and be a member of the Investigation Panel; | |||
| (ii) | at least one of the members of the Committee shall also be a certified public accountant; and | |||
| (iii) | the Council shall when appointing the members of the Committee also appoint one of them to be the chairman of the Committee. | |||
| 42D. | Powers of Investigation Committee as regards its proceedings | |||
| (1) | The following provisions shall apply as regards the proceedings of an Investigation Committee - | |||
| (a) | any person to whom this paragraph applies, and whom the relevant Investigation Committee reasonably believes to have in his possession or under his control any record or other document which appears to that Committee as containing or being likely to contain information relevant to the proceedings of the Committee, shall subject to subsection (5) | |||
| (i) | produce to the Committee or afford to the Committee access to, any record or other document specified by the Committee which is of a class or description so specified and which is in his possession or under his control being in either case a record or other document which is or appears to the Committee to be relevant to the proceedings, within such time and at such place as the Committee may reasonably require; | |||
| (ii) | if so required by the Committee, give to it or him such explanation or further particulars in respect of anything produced or to which access is given in compliance a requirement under subparagraph (i) as the Committee shall specify; | |||
| (iii) | give to the Committee all assistance in connection with its proceedings which he is reasonably able to give; | |||
| (b) | where any information or matter relevant to the proceedings of an Investigation Committee is recorded otherwise than in legible form, any power to require the production of any record or other document conferred under paragraph (a), shall include the power to require the production of a reproduction of any such information or matter or of the relevant part of it in legible form; | |||
| (c) | an Investigation Committee may inspect, examine or make copies of or take any abstract of or extract from a record or document which may be required to be produced under paragraph (a) or (b); | |||
| (d) | where - | |||
| (i) | a copy of any record or document is supplied by any person for the purposes of this section; | |||
| (ii) | a copy of any record or document is made in the exercise of any power conferred under this section and a photocopying machine or other facility of a person is used to make such copy, | |||
| the Institute shall reimburse the person concerned the reasonable photocopying or other expenses incurred in making such copy; | ||||
| (e) | a person exercising any power under this section by virtue of a delegation under section 42E shall, if so required by a person affected by such exercise, produce for inspection by such person the relevant instrument referred to in section 42E or a copy thereof. | |||
| (2) | Subsection (1)(a) applies to the professional accountant to whom the Investigation Committee's proceedings relate or to that accountant's employer (if any), any former employer of such accountant and employee or former employees of such accountant. | |||
| (3) | A person who complies with a requirement of an Investigation Committee which is made by virtue of subsection (1) shall not incur any liability to any other person by reason only of the compliance. | |||
| (4) | A person is not excused from complying with a requirement of an Investigation Committee under subsection (1) on the ground that to do so might tend to incriminate him but, where that person claims, before he answers a question put to him under subsection (1)(a)(ii), that the answer might tend to incriminate him, neither the question nor the answer is admissible in evidence against him in criminal proceedings. | |||
| (5) | Nothing in this section shall be taken to compel the production by a person of a record or document containing a privileged communication by or to a legal practitioner in that capacity. | |||
| 42E. | Delegation of powers of Investigation Committee | |||
| (1) | An Investigation Committee may, by instrument in writing signed by its chairman, delegate to any person holding such qualifications as the Council may from time to time prescribe all or any of the powers conferred on it by section 42D. | |||
| (2) | A refusal by a person to comply with any requirement made under section 42D by a person to whom the relevant power is delegated under subsection (1) shall be treated as a refusal to comply with a requirement made under that section by the Investigation Committee. | |||
| 42F. | Payment of fees to members of Investigation Committee | |||
| The Institute may pay fees at such rates as the Council may from time to time fix and such expenses as the Council may deem fit to members of an Investigation Committee, and to persons to whom the powers of the Investigation Committee have been delegated under section 42E, for the performance by them of their duties or for any work done by them, and such fees and expenses shall for the purposes of section 35(1) form part of the expenses of and incidental to an investigation under this Part. | ||||
| 42G. | Secrecy | |||
| (1) | Subject to subsection (2), and except in the performance, or assisting in the performance, of a function under this Part, the Registrar, any member of the Investigation Committee or the Council, any person to whom any of the powers of the Investigation Committee is delegated under section 42E(1) or any person holding any other position who assists any of such persons in the performance of a function under this Part - | |||
| (a) | shall at all times after his appointment as the Registrar, a member of the Investigation Committee or the Council, a person to whom any of the powers of the Investigation Committee is delegated under section 42E(1) or to such other position, as the case may be, or during or after the performance of or assisting in the performance of such function, preserve and aid in preserving secrecy with regard to any matter coming to his knowledge in the performance or in assisting in the performance of any such function; | |||
| (b) | shall not at any time communicate any such matter to any other person; and | |||
| (c) | shall not at any such time suffer or permit any other person to have any access to any record, document or other thing which is in his possession or under his control by virtue of his being or having been so appointed or his having performed or having assisted any other person in the performance of such a function. | |||
| (2) | Subsection (1) shall not apply in relation to any disclosure made in relation to or for the purpose of any disciplinary proceedings under Part V or criminal proceedings. | |||
| (3) | Any person who contravenes subsection (1) commits an offence and is liable on conviction to a fine at level 6 and to imprisonment for 6 months. | |||
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(Part VA added 96 of 1994 s. 29) |
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