THE CORPORATIONS LAW

CHAPTER 8 - THE FUTURES INDUSTRY

PART 8.5 - FINANCIAL STATEMENTS AND AUDIT

SECTION 1218   FUTURES BROKERS' ACCOUNTS  

1218(1)  [Definitions]  

In this section:

``financial year'' , in relation to a futures broker, means:

(a)  if the broker is a natural person - a period of 12 months ending on 30 June in a year; or

(b)  if the broker is a body corporate - a period that is a financial year of the body corporate because of the definition of ``financial year'' in section 9;

``prescribed day'' , in relation to a financial year of a futures broker, means the day that is:

(a)  if the broker is a natural person - 2 months; or

(b)  if the broker is a body corporate - 3 months;

after the end of that financial year or, if an extension is approved under subsection (3), the day on which the extended period ends.

1218(2)  [Statements to be lodged with Commission]  

A futures broker (other than an Australian ADI) shall, in respect of each financial year, other than a financial year that ended before the date of commencement of this Law or ended on or after that date but before the date on which the broker commenced to carry on business as a futures broker, prepare a true and fair profit and loss statement and balance sheet on the basis of such accounting principles (if any) and containing such information and matters as are prescribed for the purposes of this subsection and lodge them with the Commission before the prescribed day for that financial year, together with an auditor's report containing such information and matters as are prescribed for the purposes of this subsection and such other information and matters as the auditor thinks fit to include in the report.

1218(3)  [Extension of time]  

The Commission may, on application made by a futures broker and the auditor of the broker before the end of the period referred to in paragraph (a) or (b), as the case requires, of the definition of ``prescribed day''in subsection (1) or, if that period has been extended pursuant to an approval or approvals previously given under this subsection, before the end of the period as so extended, approve an extension or further extension of the period, and such an approval may be given subject to such conditions (if any) as the Commission imposes.

1218(4)  [Compliance with conditions]  

Where an approval under subsection (3) in relation to a futures broker is given subject to conditions, the broker shall comply with those conditions.