Labuan Foundations Act 2010 · Updated to 23 Apr 2025 · Part VI · Capacity of Labuan Foundation
60. Audit of Labuan foundation
Feedback & supportWhere, on an application to the Court by a founder, a council member, a supervisory person, an officer, a secretary or a beneficiary, the Court is satisfied that there is prima facie evidence of a failure to comply with the constituent document or the requirements of this Act in the conduct of a Labuan foundation, the Court may order the appointment of an approved auditor to carry out an audit of the Labuan foundation.
The appointment of an approved auditor under subsection (1)
approved auditor
“approved auditor” means a person approved by the Authority as an approved auditor under section 10 of the Labuan Companies Act 1990;
may be made conditional on the lodging by the applicant with the
Court of an amount, to be determined by the Court, by way of security, for the costs of carrying out the audit.
The approved auditor appointed under this section shall submit his report to the Court within such time as the Court may determine.
The Court shall make such order as to costs as it thinks fit, taking into account whether or not the application was well-founded, and where the application was not well-founded, the Court may order that any loss or cost occasioned to the Labuan foundation by the audit be met by the applicant.