Section 309, The Companies Act, 2009

(1) A person shall not be qualified for appointment asauditor of a company for the purposes of this Act, unless he is qualified to practice as an accountant under the Institute of Chartered Accountant Act, 1988 but in the case of a public company, the auditor shall be a chartered accountant. Minister to alter accounting requirements. and remuneration of Qualification of auditors Act No. 5 of 1988. 234 235 (2) None of the following persons shall be qualified for appointment as auditor of a company:– (a) a director or other officer or servant of the (b) a person who is a partner of or in the employment of an officer or servant of the (c) a person or firm who or which offers to the company professional advice in a consultancy capacity in respect of secretarial or financial management; (d) a body corporate or firm which is closely connected or has control of another body corporate or firm which provides or has provided consulting services to the company intended to be audited; (e) an accountant who is disqualified from practising his profession by a competent body. (3) A person shall also not qualify for appointment as an auditor of a company if he is, under subsection (5), disqualified for appointment as auditor of any other body corporate which is that company’s subsidiary or holding company or a subsidiary of that company’s holding company. (4) Notwithstanding subsections (1), (2) and (3), a firm is qualified for appointment as auditor of a company if, but only if, all the partners are qualified for appointment as auditors. (5) No person shall act as auditor of a company at a time when he knows that he is disqualified for appointment to that office and if an auditor of a company to his knowledge becomes so disqualified during his term of office, he shall vacate his office and give notice in writing to the company that he has vacated it by reason of that disqualification. (6) A person who acts as auditor in contravention of subsection (5), or fails without reasonable excuse to give notice of vacating his office as required by that subsection, shall be guilty of an offence and be liable to a fine not exceeding Le.3,000,000 and, for continued contravention, to a daily default fine of Le.500,000.