ADVOKS GLOBAL · KENYA
Companies Act
738. Offences in connection with auditor's report
Edition: 2024-12-27 · In force
738. Offences in connection with auditor's report
(1)This section applies—(a)if the auditor is a natural person, to that person and any employee or agent of that person who is eligible for appointment as auditor of the company; and(b)if the auditor is a firm, to any director, member, employee or agent of the firm who is eligible for appointment as auditor of the company.(2)A person to whom this section applies commits an offence if the person includes, or is responsible for including, in an auditor's report on the financial statements of a company information or an explanation that the person knew or ought to have known was false or misleading in a material respect.(3)A person to whom this section applies commits an offence if the person fails to include, or is responsible for failing to include, in such a report a statement required by section 730(2), (3), (4) or (5).(4)A person found guilty of an offence under subsection (2) or (3) is liable on conviction to a fine not exceeding one million shillings or to imprisonment for a term not exceeding three years, or to both.Division 4 — Cessation of office of auditors