Article 7 Auditors' report and publication of accounts

After section 81 of the 1986 Act insert—

“Requirements in connection with publication of accounts

81A

(1)

If a building society publishes any of its statutory accounts, they must be accompanied by the relevant auditors' report under section 78.

(2)

A building society that is required to prepare group accounts for a financial year must not publish its statutory individual accounts for that year without also publishing with them its statutory group accounts.

(3)

If a building society publishes non-statutory accounts, it must publish with them a statement indicating—

(a)

that they are not the society’s statutory accounts,

(b)

whether statutory accounts dealing with any financial year with which the non-statutory accounts purport to deal have been prepared,

(c)

whether the society’s auditors have made a report under section 78 on the statutory accounts for any financial year, and

(d)

whether any such auditors' report—

(i)

was qualified or unqualified, or included a reference to any matters to which the auditors drew attention by way of emphasis without qualifying the report, or

(ii)

contained a statement under section 79(6) (failure to obtain necessary information and explanations);

and it must not publish with any non-statutory accounts any auditors' report made under section 78.

(4)

For the purposes of this section a building society is regarded as publishing a document if it publishes, issues or circulates it or otherwise makes it available for public inspection in a manner calculated to invite members of the public generally, or any class of members of the public, to read it.

(5)

References in this section to a building society’s statutory accounts are to its annual accounts as required to be laid before the society under section 81; and references to the publication by a society of “non-statutory accounts” are to the publication of—

(a)

any balance sheet or income and expenditure account relating to, or purporting to deal with, a financial year or part of a financial year of the society, or

(b)

an account in any form purporting to be a balance sheet or income and expenditure account for the group consisting of the society and its subsidiary undertakings relating to, or purporting to deal with, a financial year or part of a financial year of the society,

otherwise than as part of the society’s statutory accounts or summary financial statement prepared under section 76.

(6)

A building society which contravenes any provision of this section, and any officer of it who is in default, is guilty of an offence and liable on summary conviction to a fine not exceeding level 3 on the standard scale.”.