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Financial Markets Conduct Act 2013

Financial reporting - Preparation, audit, and lodgement of financial statements - Audit of financial statements

461E: Meaning of qualified FMC auditor

You could also call this:

"A qualified FMC auditor is a special kind of auditor who is allowed to check financial records, like a licensed auditor or the Auditor-General."

Illustration for Financial Markets Conduct Act 2013

When you hear the term 'qualified FMC auditor', it means a licensed auditor, a registered audit firm, or the Auditor-General. The Auditor-General is the person in charge of auditing public entities under the Public Audit Act 2001, which you can read more about on the Public Audit Act 2001 webpage. A licensed auditor and a registered audit firm have the same meanings as in section 6(1) of the Auditor Regulation Act 2011.

If a registered audit firm that is a partnership is appointed as the qualified FMC auditor, it means all the partners in the firm who are licensed auditors are appointed. You cannot be a qualified FMC auditor if you are the FMC reporting entity, a director, an officer, or an employee of the FMC reporting entity. You are also not qualified if you are a partner or employee of one of these people, or if you are a body corporate that is not a registered audit firm.

You are not qualified to be a qualified FMC auditor if you are disqualified from being an auditor of a related body corporate.

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This page was last updated on

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM6027074.

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461D: Financial statements must be audited, or

"Big companies must get their money records checked by a special accountant."

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461F: Audit must be carried out in accordance with auditing and assurance standards, or

"Audits must be done correctly and fairly by following the rules."

Part 7Financial reporting
Preparation, audit, and lodgement of financial statements: Audit of financial statements

461EMeaning of qualified FMC auditor

  1. For the purposes of this Act, qualified FMC auditor means—

  2. a licensed auditor; or
    1. a registered audit firm; or
      1. in the case of an FMC reporting entity that is a public entity under the Public Audit Act 2001, the Auditor-General or any other person who may act as the auditor under that Act.

        1. In this section, licensed auditor and registered audit firm have the same meanings as in section 6(1) of the Auditor Regulation Act 2011.

        2. The appointment of a registered audit firm that is a partnership by the firm name to be the qualified FMC auditor for the purposes of this Act is deemed to be the appointment of all the partners in the firm, from time to time, who are licensed auditors.

        3. None of the following persons is qualified for appointment as the qualified FMC auditor of an FMC reporting entity:

        4. the FMC reporting entity, or a director, an officer, or an employee of the FMC reporting entity:
          1. a person who is a partner, or in the employment, of a person specified in paragraph (a):
            1. a body corporate that is not a registered audit firm.

              1. A person is not qualified for appointment as the qualified FMC auditor of an FMC reporting entity if the person is, by virtue of subsection (4), disqualified for appointment as auditor of a related body corporate.

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              Notes
              • Section 461E: inserted, on , by section 48 of the Financial Reporting (Amendments to Other Enactments) Act 2013 (2013 No 102).
              • Section 461E heading: amended, on , by section 101(1) of the Regulatory Systems (Economic Development) Amendment Act 2025 (2025 No 11).
              • Section 461E(1): amended, on , by section 101(2) of the Regulatory Systems (Economic Development) Amendment Act 2025 (2025 No 11).
              • Section 461E(3): amended, on , by section 101(3) of the Regulatory Systems (Economic Development) Amendment Act 2025 (2025 No 11).
              • Section 461E(3): amended, on , by section 17 of the Financial Reporting Amendment Act 2014 (2014 No 64).
              • Section 461E(4): amended, on , by section 101(3) of the Regulatory Systems (Economic Development) Amendment Act 2025 (2025 No 11).
              • Section 461E(4)(c): amended, on , by section 17 of the Financial Reporting Amendment Act 2014 (2014 No 64).
              • Section 461E(5): amended, on , by section 101(3) of the Regulatory Systems (Economic Development) Amendment Act 2025 (2025 No 11).