§ [No. 28]
§ Clause 13, page 12, line 3, leave out ("section 161(2)(b)") and insert ("subsection (2)(b) or (3) of section 161").
§ LORD WALSTONMy Lords, this Amendment has a bearing on the previous Amendment which I have just spoken to. An exempt private company, unlike other companies, may appoint as auditor a person who is the partner of, or in the employment of, an officer or servant of the company. For example, a company may appoint as auditor the partner of an accountant who is one of its directors. This privilege will cease with the abolition of the status of "exempt private company", but subsection (3) is intended to permit it to continue for four years. I hope that that gives sufficient explanation of this Amendment, and that your Lordships will agree to it as being a practical one designed to carry out the wishes of your Lordships. I beg to move.
§ Moved, That this House doth agree with the Commons in the said Amendment.—(Lord Walston.)
§ On Question, Motion agreed to.