ADVOKS GLOBAL · KENYA
Companies Act
721. Appointment of auditors of public company: general
Edition: 2024-12-27 · In force
721. Appointment of auditors of public company: general
(1)A public company is required to have an auditor or auditors for each financial year of the company, unless the directors reasonably resolve otherwise on the ground that an audited financial statement is unlikely to be required for a particular financial year.(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, a public company shall ensure that the appointment is made before the end of the general meeting at which the company's annual financial statement for the previous financial year is presented.(3)The directors of a public company may appoint an auditor or auditors of the company—(a)at any time before the general meeting at which the company's first financial statement is presented;(b)following a period during which the company, being exempt from audit, did not have any auditor, at any time before the next general meeting at which the company's annual financial statement is to be presented; or(c)to fill a casual vacancy in the office of auditor, but while any such vacancy continues, the surviving or continuing auditor or auditors, if any, may act:Provided that the company shall, at the general meeting, remove any such auditor and appoint in their place an auditor or auditors as provided for under subsection (4).(4)The members shall appoint an auditor or auditors by ordinary resolution—(a)at a general meeting at which the company's annual financial statement is presented;(b)if the company should have appointed an auditor or auditors at such a meeting but did not do so;(5)An auditor or auditors of a public company may be appointed only in accordance with this section or section 722.