Legal form, members and purpose of the auditing association

(1) The association should have the legal form of a registered association. Another legal form is permissible only where it is ensured that the association acts without intention to make a profit.
(2) Members of the association may only be registered cooperatives, and, without regard to their legal form, such undertakings or other associations as are, wholly or predominantly, in the hands of registered cooperatives, or serve the cooperative sector. Whether these conditions are met is, in case of doubt, decided by the supervisory authority. It may permit exceptions to the provision of the first sentence where an important reason exists.
(3) Members of the association that are not registered cooperatives and are subject to other statutory auditing provisions remain, notwithstanding their membership of the association, subject to those other auditing provisions, and are not subject to audit under this Act.
(4) The association must, without prejudice to the provisions of subsection (3), have as its purpose the audit of its members, and may also have as its purpose the joint pursuit of their interests, in particular the maintenance of mutual business relations. It may not pursue other purposes.
(5) At least one public accountant should belong to the management board of the auditing association. Where no public accountant belongs to the management board, the auditing association must appoint a public accountant as its special representative under section 30 of the Civil Code. The supervisory authority may, where special circumstances exist, exempt the auditing association from compliance with the first and second sentences, but for at most one year. In exceptional cases it may also grant an exemption for a longer period, where and for as long as, by the nature and extent of the business operations of the members of the auditing association, an audit by public accountants is not required.
(6) Members' meetings of the association may be held only within the association's district.