Securities Commission Act 1993 · Updated to 1 Mar 2016 · Part III · Finance
31E. Responsibilites of Audit Oversight Board
Feedback & supportWithout prejudice to the generality of section 31F, the responsibilities of the Audit Oversight Board in assisting the
Audit Oversight Board
“Audit Oversight Board” means the Audit Oversight Board established under section 31C;
Commission in discharging its functions, shall be as follows:
Commission
“Commission” means the Securities Commission Malaysia established under section 3;
to implement policies and programmes in ensuring an effective audit oversight system in Malaysia;
to register or recognise auditors of public interest entites or schedule funds for the purposes of this Act;
to direct the Malaysian Institute of Accountants to establish or adopt, or by way of both, the auditing and ethical standards to be applied by auditors;
to conduct inspections and monitoring programmes on auditors to assess the degree of compliance of auditing and ethical standards;
to conduct inquiries and impose appropriate sanctions against auditors who fail to comply with auditing and ethical standards;
to cooperate with relevant authorities in formulating and implementing strategies for enhancing standards of financial disclosures of public interest entities or schedule funds;
to liase and cooperate with oversight bodies outside
Malaysia to enhance the standing of the auditing profession in Malaysia and internationally;
to carry out inspection on persons specified under paragraph 31B(d); and
to perform such other duties or functions as the Audit
Oversight Board determines necessary or appropriate to promote high professional standards of auditors and to
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improve the quality of audit services provided by auditors.
The Audit Oversight Board shall perform the responsibilities under subsection (1) on behalf and in the name of the Commission.
31EA.
Audit Oversight Board may establish committees
The Audit Oversight Board may establish such committees as it considers necessary or expedient to assist in the performance of its responsibities as specified under subsection 31E(1).
The Audit Oversight Board may appoint any person to be a member of a committee, subject to any terms or conditions as may be specified by the Audit Oversight Board.
A committee established under this section may elect any of its members to be a chairman and may regulate its own procedures and, in the performace of its responsibilities, shall be subject to and act in accordance with any direction given to the committee by the
Chairman
“Chairman” means the Chairman of the Commission appointed under paragraph 4(2)(a);
Audit Oversight Board.
Meetings of a committee shall be held at such times and places as the chairman of the committee may determine.
A committee may invite any person who is not a member to attend any meeting of the committee for the purpose of advising it on any matter under discussion but that person is not entitled to vote at the meeting.
Members of a committee or any person invited under subsection (5) to attend any meeting of a committee may be paid such allowances and other expenses as the Audit Oversight Board may determine.
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A member of a committee shall hold office for such term as may be specified in his instrument of appointment and is eligible for reappointment.
The Audit Oversight Board may at any time revoke the appointment of any member of a committee.
A member of a committee may at any time resign his office by a written notice addressed to the executive chairman of the Audit
Oversight Board.
A committee shall cause—
minutes of all its meetings to be maintained and kept in proper form; and
copies of the minutes of all its meetings to be submitted to the Audit Oversight Board as soon as practicable.
(Deleted by Act A1489).
Every meeting of a committee in respect of the proceedings of which minutes have been made in accordance with subsection (10)
shall be deemed to have been duly convened and held and all members of the committee have been duly qualified to act.
A member of the committee who has directly or indirectly, by himself or a member of his family, any interest in any matter under discussion by the committee shall disclose to the committee the fact and nature of his interest.
A disclosure under subsection (13) shall be recorded in the minutes of the committee, and after the disclosure, the member having an interest in the matter—
shall not take part nor be present in any deliberation or decision of the committee; and
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shall be disregarded for the purpose of constituting a quorum of the committee relating to the matter.
Notwithstanding subsections (13) and (14), no act or proceedings of the committee shall be invalidated on the ground that any member of the committee has contravened the provisions of those subsections.