Banking Act (Cap. 371), article 30A

30A. (1) The competent authority may require credit institutions - (a) to publish information referred to in Part Eight of the CRR more than once per year and to set deadlines for publication; (b) to use specific media and locations for publications other than the financial statements. (2) The competent authority may require parent undertakings to publish annually, either in full or by way of references to equivalent information, a description of their legal structure and governance and organisational structure of the group of institu tions in accordance with Article 14(3) , Article 74(1) and Article 109 (2) of the CRD . Auditors. Amended by: XXV . 1995.434; XVII. 2002.188; XX. 2007.85, 119; X. 2015.45; LXXI.2021.55. 31.(1)( a) Every credit institution shall each year appoint an approved auditor or auditors whose duty shall be to report on the financial statements of the credit institution examined by them and on all financial statements prepared by the credit institution. Cap. 386. (b) For the purpose of this article an approved auditor shall be a person who is qualified to be an auditor in accordance with the Companies Act , and holds the authorisation of the competent authority to act as auditor of a credit institution. (2) If a credit institution fails to appoint an auditor under su b- article (1) or, at any time fa ils to fill any vacancy in the of fice of an 74 CAP. 371.] BANKING auditor, the competent authority shall have the power to appoin t an auditor for that credit institution and shall fix the remunerat ion to be paid by that credit ins titution to such auditor. (3) The auditors’ report shall include statements as to the following matters - (a) whether they have obtained all the information and explanations which to the best of their knowledge and belief were necessary for the purpose of their audit; (b) whether in their opinion, proper books of account have been kept by the credit institution, so far as appears from their examination of those books, (c) whether the credit institution’s financial statements dealt with by the report are in agreement with the books of account; (d) whether, in their opinion, and to the best of their knowledge and according to t he explanations given to them, the said financial statements give the information required by any law which may from time to time be in force in the manner so required and give a true and fair view. (4) The report of the auditors shall be read together with the report of the directors of the credit institution at the annual meeting of shareholders. (5) Every auditor of a credit institution shall have the right t o demand such information or explanation as he deems necessary in the performance of his duties fr om any officer or employee of t he credit institution. (6) A credit institution shall forthwith give written notice to the competent authority - (a) on the appointment of its auditors; (b) if it proposes to give noti ce to its shareholders to - (i) replace its auditors at th e expiration of their term of office; (ii) remove its auditors bef ore the expiration of their term of office; (c) if the auditors cease to be auditors of the credit institution for any reason other than those in paragraph (b). (7) The competent authority may require a credit institution to change its appointed auditors where, in the competent authority ’s opinion, such auditors are considered unfit for this appointmen t at any time during their term of office. (8) An auditor shall immediately advise the competent authority if - (a) he resigns; (b) he does not seek to be re-appointed; or BANKING [CAP. 371. 75 (c) he decides to qualify the audit report. (9) In his capacity as an auditor of a credit institution or due to a direct request by the competent authority under article 20 or under article 22, an auditor shall promptly notify the competen t authority of any fact or decision concerning that credit instit ution of which he has become aware while carrying out his tasks, whic h is liable to - (a) constitute a material breach of this Act or any regulations made or Banking Rules or Conduct of Business Rules issued thereunder which lay down the licensing conditions or which specifically govern the activities of credit institutions; (b) affect the ongoing functioning of the credit institution; (c) affect the depositors of the credit institution, of the branches in Malta of a credit institution authorised by an overseas regulatory authority or of any connected person which is a credit institution; (d) lead to refusal to certify the accounts or to the expression of reservations: Provided that an auditor shall also have the duty to report any fact or decision of which he becomes aware in the course of carrying out his tasks in an undertaking having close links res ulting from a control relationship with the credit institution within which he is carrying out that task. (9A) The competent authority may require the replacement of an auditor if that auditor acts in breach of his obligations under sub- article (9). (10) Notwithstanding any of the provisions of the foregoing sub- articles, the competent authority may in the case of a credit institution not licensed in Malta grant exemption by way of Banking Rule from any of the requirements of this article provi ded that the same does not materiall y detract from the main objects of this article. Cap. 386. (11) In so far as the provisions of this article are inconsisten t with the provisions of the Companies Act , the provisions of this article shall prevail and the provisions of the said Act shall, to the extent of the inconsistency, n ot apply to credit institutions. Disqualification of officers. Amended by: XVII. 2002.188; XX. 2007.120; X. 2015.46.