Section 17
Section 17
Notwithstanding the provisions of the Companies Act 1965, every Islamic bank shall appoint annually an auditor approved by the Minister.
(2)
The Minister on the recommendation of the Central Bank may appoint an auditor-
(a)
if the Islamic bank fails to appoint an auditor; or
(b)
if he considers it desirable that another auditor should act with the auditor appointed under subsection (1), and may fix the remuneration to be paid by the Islamic bank to that auditor.
(3)
The duties of the auditor appointed under subsections (1) and (2) for an Islamic bank shall be—
(a)
to carry out for the year in respect of which he is appointed an audit of the accounts of the bank; and
(b)
to make a report in accordance with section 174 of the Companies Act 1965 upon the annual balance sheet and profit and loss account of the bank.
(4)
The report of the auditor referred to in paragraph (b) of subsection (3) shall be laid together with the report of the directors of the Islamic bank at the annual general meeting of the bank; and a statutory declaration made by a senior officer of the bank to the effect that the report was so laid shall accompany the documents forwarded under paragraph (c) of subsection (1) of section 18.
(5)
No person having an interest in an Islamic bank otherwise than as a shareholder, and no director or officer of that bank, shall be eligible for appointment as an auditor for that bank; and any person appointed as auditor to an Islamic bank who after such appointment acquires such interest or becomes a director or an officer of that bank shall forthwith cease to be the auditor.
uses to pay guilty of an f the Com-all appoint ster.
t an auditor;
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tion of the t of which he counts of the th section 174 on the annual account of the in paragraph ther with the bank at the id a statutory ne bank to the accompany the (c) of sub-n Islamic bank no director or or appointment person appointed such appoint-director or an ease to be the
(6)
The duties, powers and liabilities imposed and conferred by section 33 in relation to an investigation by the Central Bank of the affairs of an Islamic bank under section 31 or 32 are hereby imposed and conferred in relation to auditors appointed under this section.
(7)
Any Islamic bank which fails to comply with the requirements of subsection (4) shall be guilty of an offence and shall on conviction be liable to a fine not exceeding twenty thousand ringgit.