ADVOKS GLOBAL · KENYA
Companies Act
717. Appointment of auditors of private company: general
Edition: 2024-12-27 · In force
717. Appointment of auditors of private company: general
(1)A private company shall appoint an auditor or auditors for each financial year of the company, unless the directors resolve that an audited financial statement is unlikely to be required.(2)For each financial year for which an auditor or auditors is or are to be appointed (other than the company's first financial year), the company shall ensure that the appointment is made not later than the deadline for making such an appointment.(3)The deadline for making such an appointment is the end of the period of twenty eight days from and including—(a)the deadline for sending out copies of the annual financial statement of the company for the previous financial year; or(b)if earlier, the day on which copies of the annual financial statement of the company for the previous financial year are sent out under section 662.(4)The directors may appoint an auditor or auditors of the company—(a)at any time before the company's first deadline for the company to appoint auditors;(b)following a period during which the company (being exempt from audit) did not have any auditor—at any time before the next deadline for the company to appoint auditors; or(c)to fill a casual vacancy in the office of auditor.(5)The members may appoint an auditor or auditors by ordinary resolution—(a)not later than the deadline for appointing auditors;(b)if the company should have appointed an auditor or auditors by a deadline for appointing auditors but did not do so; or(c)if the directors had power to appoint an auditor or auditors under subsection (4) but did not make an appointment.(6)An auditor or auditors of a private company may be appointed only—(a)in accordance with this section; or(7)Subsection (6) does not affect the re-appointment of an auditor taken to have been made by section 719(2).