# The Milk Marketing Board (Residuary Functions) Regulations 1994, Paragraph 53


(1) The Board shall keep proper and separate accounts and records in respect of:
(a) their commercial activities; and
(b) their non–commercial activities,
and in particular shall annually make out for their commercial activities and for their non– commercial activities (other than their non–commercial activities in relation to the final trading period) separate cash flow accounts, balance sheets and income and expenditure accounts, and if the Board trade for profit, separate profit and loss accounts. Such accounts shall be in a form which shall be in accordance with accounting principles which are generally accepted in the United Kingdom. Consolidated accounts comprising all of the Board’s activities or in respect of their commercial activities as a whole need not be prepared. The accounts in respect of their non– commercial activities shall in particular include a statement of accounting policy and such schedules and notes as the Board consider appropriate but shall in any case include schedules specifying–
(i) the movement and amount of moneys in the B Reserve Fund;
(ii) payments made to end year producers and other relevant producers under regulation 21(1)(e);
(iii) interim distributions;
(iv) collections of contributions from eligible producers under regulation 21(1)(h);
(v) final distributions.
(1A) In sub–paragraph (1) above the expression “annually” means in any twelve month period and in making out their annual accounts under that sub–paragraph the Board may–
(a) determine in respect of their accounts for their commercial activities an accounting period which differs from such period in respect of their accounts for their non–commercial activities, and
(b) determine accounting periods of any duration, commencing immediately after the end of the previous one.
(1B) The Board shall make out for their non–commercial activities in the final trading period special cash flow accounts, balance sheets and income and expenditure accounts, and if the Board trade for profit, separate profit and loss accounts. Such accounts shall be in a form which shall be in accordance with accounting principles which are generally accepted in the United Kingdom. Consolidated accounts comprising all of the Board’s non–commercial activities need not be prepared. The accounts shall in particular include a statement of accounting policy and such schedules and notes as the Board consider appropriate.
(2) The Board shall charge to their commercial activities such proportion of the Board’s general administrative expenses as is fairly attributable to their commercial activities.
(3) The Board shall cause all their accounts and balance sheets prepared pursuant to sub– paragraph (1) or (1B) above to be audited by a member of, or a firm of accountants containing a member of, the Institute of Chartered Accountants in England and Wales or of the Association of Certified Accountants appointed (in the case of accounts and balance sheets which do not fall to be noted at their first annual general meeting after Vesting Day) by the registered producers in general meeting or (in the case of other accounts and balance sheets) either by the registered producers in general meeting or by relevant producers at the last general meeting before Vesting Day on which such an appointment was made. As soon as may be after the auditor has reported thereon, and in any case within nine months from the close of the period covered by any profit and loss account or income and expenditure account, the Board shall send to the Minister and to every registered producer a copy of the account and balance sheet and of the report of the auditor thereon, and also a report by the Board as to the discharge of their functions in the period covered by the profit and loss or income and expenditure account, which shall include a statement of the manner in which any moneys are invested.
The report of the Board mentioned in the preceding paragraph of this sub–paragraph which relates to the Board’s accounts and balance sheets for their non–commercial activities in the final trading period (prepared pursuant to sub–paragraph (1B) above) shall include such information relating to the Board’s commercial activities during that period as the Board think appropriate.
The Board shall on the demand of any person and on payment by him of such fee, not exceeding one pound, as may be fixed by the Board furnish to him a copy of any of their balance sheets.
(4) The Board shall furnish the Minister with such information as he may from time to time require concerning any of the Board’s activities. The Board shall also permit any person duly authorised in writing by the Minister, on production of his authority, to inspect such of the Board’s accounts and records as he may reasonably require to satisfy himself that the Board are complying with the requirements of paragraph 8A, of this Part of this Scheme, of Council Regulation (EEC) No. 1422/78 and of Commission Regulation (EEC) No. 1565/79.
(5) In this paragraph “non–commercial activities” means activities of the Board which are not commercial activities.

---
Source: https://www.legislation.gov.uk/uksi/1994/2759/schedule/3/paragraph/53 (the official version)
Page: https://openlegislation.uk/milk-marketing-board-residuary-functions-regulations-1994/schedule-3/paragraph-53
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.