Section 391. Lodging of accounts of receiver or receiver and manager

(1) Every receiver or receiver and manager of the property of a company or of the property within Malaysia of any other corporation shall—

(a) within thirty days from the expiration of the period of six months from the date of his appointment and of every subsequent period of six months and within thirty days from his ceasing to act as receiver or receiver and manager, lodge with the Registrar a detailed account showing—

(i) his receipts and his payments during each period of six months, or, where he ceases to act as receiver or receiver and manager, during the period from the end of the period to which the last preceding account related or from the date of his appointment, as the case may be, up to the date he ceased to act as receiver or receiver and manager;

(ii) the aggregate amount of those receipts and payments during all preceding periods since his appointment; and

(iii) where he has been appointed under the powers contained in any instrument, the amount owing under that instrument at the time of his appointment, in the case of the first account, and at the expiration of every six months after his appointment and, where he has ceased to act as receiver or receiver and manager at the date he ceased to act as receiver or receiver and manager, and his estimate of the total value of all assets of the company or other corporation which are subject to that instrument; and

(b) before lodging the account, verify by affidavit all accounts and statements referred to in the account.

(2) The Registrar may cause the accounts to be audited by an approved company auditor appointed by the Registrar at his own motion or on the application of the company or other corporation or a creditor.

(3) For the purpose of audit under subsection (2), the receiver or receiver and manager shall furnish the auditor with such vouchers and information as the receiver or receiver and manager requires and the auditor may at any time require the production of and inspect any books of account kept by the receiver or receiver and manager or any document or other records relating to the audit.

(4) The Registrar may require the applicant under subsection (2) to give security for the payment of the cost of the audit.

(5) The costs of an audit under subsection (2) shall be fixed by the Registrar and be paid by the receiver or receiver and manager unless the Registrar otherwise determines.

(6) Every receiver or receiver and manager who contravenes this section commits an offence and in the case of a continuing offence, to a further fine not exceeding five hundred ringgit for each day during which the offence continues after conviction.