Companies Act 2014

782.

Restriction on power of Director to require third party to produce certain books or documents

782. (1) F457[The Authority shall] not exercise the power under section 780(1)(c) to require a person (in this section and section 783 referred to as the “third party”) to produce books or documents that may relate to any books or documents of a company unless—

(a) the F457[Authority] is of the opinion that there are reasonable grounds for believing that the books or documents required to be produced and the books or documents of the company are related to one another; and

(b) subject to subsection (4), the F457[Authority] has first taken the steps set out in subsection (2).

(2) The steps referred to in subsection (1)(b) are the following:

(a) the F457[The Authority shall] shall notify the third party stating—

(i) that the F457[Authority] proposes to require the third party to produce books or documents that may relate to books or documents of the company;

(ii) the grounds for the F457[Authority’s] opinion referred to in subsection (1)(a); and

(iii) that the third party may make submissions to the F457[Authority within 21 days after the date of the notification as to why the third party believes the opinion of the Authority] is erroneous; and

(b) the F457[Authority] shall have regard to those submissions before finally deciding whether to require the books or documents in question.

(3) In subsection (1)(a), the grounds for the opinion of the F457[Authority] may include—

(a) grounds related to the relationship between the company and the person required to produce the books or documents;

(b) a common origin of the books or documents; or

(c) other similar considerations.

(4) F457[The Authority is not] required to take the steps set out in subsection (2) if—

(a) the F457[Authority] considers that compliance with those steps could result in the concealment, falsification, destruction or disposal of the books or documents concerned; or

(b) the books or documents concerned are merely the originals of any books or documents, copies of which have previously been produced to the F457[Authority] in compliance with an earlier requirement made in exercise of the power under section 780(1)(c).

(5) The third party shall not be obliged to comply with a requirement to produce documents in relation to a particular book or document if the third party would be entitled, by virtue of any law or enactment, to refuse to produce the book or document in any proceedings on the ground of any privilege (whether the privilege to which section 795 applies or not).

Annotations:

Amendments:

F457

Substituted (6.07.2022) by Companies (Corporate Enforcement Authority) Act 2021 (48/2021), s. 12(1) and sch. 2 ref. nos. 164-175, S.I. No. 335 of 2022.