(1) A person shall not act as auditor of a company if he or she is ineligible for appointment to the office.
(2) If during his or her term of office an auditor of a company becomes ineligible for appointment to the office, he or she shall thereupon vacate office and shall give notice in writing to the company concerned that he or she has vacated it by reason of ineligibility.
(3) A person who acts as auditor of a company in contravention of subsection (1) or fails to give notice of vacating his or her office as required by subsection (2) commits an offence.
(4) In proceedings against a person for an offence under this section it is a defence for him or her to show that he or she did not know and had no reason to believe that he or she was or had become ineligible for appointment.