DOMINION LEGISLATION—AUSTRALIA 825 
222 (2) and (7). Auditors must use reasonable diligence 
with the view of ascertaining that the books 
of the company have been properly kept, 
and must obtain from the directors before 
reporting, a private balance sheet giving the 
details on which the shareholders’ balance sheet 
is founded, and shewing amongst other things, 
the amount of deduction (if any) for bad or 
doubtful debts. 
0 person may act as auditor for a company unless 
he is licensed by the Companies’ Auditors’ 
Board, which is a Board of three persons 
appointed by the governor. 
Proprietary Company’ is a company which by its 
memorandum imposes on itself the same 
limitations as are imposed on a private company 
by s. 26 of the English Act of 1929, and, in 
addition, prohibits the receipt, except from 
its members, of deposits whether bearing 
interest or not. Its certificate of incorporation 
must certify that it is a proprietary company, 
and the word ‘proprietary’ must be inserted 
in its name immediately before ‘limited.’ 
No director, manager or promoter may be appointed 
voluntary liquidator except by a resolution of 
creditors at a meeting called for that purpose. 
Foreign Companies. A foreign company 
‘which includes any unincorporated body or 
association which may sue or hold property 
in the name of its secretary or other authorised 
officer) is one incorporated outside Tasmania 
which fcarries on business in Tasmania, but a 
company is not deemed to be ‘carrying on 
business,’ if it only sells goods by an agent, or 
nas only invested its funds or other property 
in the State. It must, within one month of 
commencing business, file with the registrar a 
certified copy of its constitution, a list of the 
directors in the country where it is incorporated 
and in Tasmania (if any), and the name and 
address of its agent. A foreign limited com- 
pany must in every prospectus issued in Tas- 
mania state the country in which it is incor- 
porated. Foreign companies carrying on the 
business of trustees and executors must deposit 
a security of £5000. 
5. 269. No company may purchase or 
own shares or debentures 
J 
For the distinction between * carrying on business’ and ‘establishing a place 
~f Lord Advocate v. Huron & Erie Loan Co. 1011. Scottish Cases. 61° 
business