• 16. 16. Accounting records

    Sections 375 to 378 apply to LLPs, modified so that they read as follows —

    • 375. Duty to keep accounting records

      (1) Every LLP must keep adequate accounting records.
      (2) Adequate accounting records means records that are sufficient —
      (a) to show and explain the LLP's transactions,
      (b) to disclose with reasonable accuracy, at any time, the financial position of the LLP at that time, and
      (c) to enable the members to ensure that any accounts required to be prepared comply with the requirements of the Companies Regulations.
      (3) Accounting records must, in particular, contain —
      (a) entries from day to day of all sums of money received and expended by the LLP and the matters in respect of which the receipt and expenditure takes place, and
      (b) a record of the assets and liabilities of the LLP.
      (4) If the LLP's business involves dealing in goods, the accounting records must contain —
      (a) statements of stock held by the LLP at the end of each financial year of the LLP,
      (b) all statements of stocktakings from which any statement of stock as is mentioned in subsection (4)(a) has been or is to be prepared, and
      (c) except in the case of goods sold by way of ordinary retail trade, statements of all goods sold and purchased, showing the goods and the buyers and sellers in sufficient detail to enable all these to be identified.
      (5) A parent LLP that has a subsidiary undertaking in relation to which the above requirements do not apply must take reasonable steps to secure that the undertaking keeps such accounting records as to enable the members of the parent LLP to ensure that any accounts required to be prepared under this Part comply with the requirements of the Companies Regulations.

    • 376. Duty to keep accounting records: contravention

      (1) If an LLP fails to comply with any provision of section 375 (duty to keep accounting records), a contravention of the Companies Regulations is committed by every member of the LLP who is in default.
      (2) A person does not commit the contravention referred to in subsection (1) if he shows that he acted honestly and that in the circumstances in which the LLP's business was carried on the default was excusable.
      (3) A person who commits the contravention referred to in subsection (1) shall be liable to a fine of up to level 5.

    • 377. Where and for how long records to be kept

      (1) An LLP's accounting records —
      (a) must be kept at its registered office or such other place as the members think fit, and
      (b) must at all times be open to inspection by the LLP's members.
      (2) If accounting records are kept at a place outside the Abu Dhabi Global Market, accounts and returns with respect to the business dealt with in the accounting records so kept must be sent to, and kept at, a place in the Abu Dhabi Global Market, and must at all times be open to such inspection.
      (3) The accounts and returns to be sent to the Abu Dhabi Global Market must be such as to —
      (a) disclose with reasonable accuracy the financial position of the business in question at intervals of not more than six months, and
      (b) enable the members to ensure that the accounts required to be prepared under this Part comply with the requirements of the Companies Regulations.
      (4) Accounting records that an LLP is required by section 375 (duty to keep accounting records) to keep must be preserved by it for ten years from the date on which they are made.
      (5) Subsection (4) is subject to any provision contained in other regulation or law applicable in the Abu Dhabi Global Market.

    • 378. Where and for how long records to be kept: contraventions

      (1) If an LLP fails to comply with any provision of subsections (1) to (4) of section 377 (where and for how long records to be kept), a contravention of the Companies Regulations is committed by every member of the LLP who is in default.
      (2) A person does not commit the contravention referred to in subsection (1) if he shows that he acted honestly and that in the circumstances in which the LLP's business was carried on the default was excusable.
      (3) A member of an LLP commits a contravention of the Companies Regulations if he —
      (a) fails to take all reasonable steps for securing compliance by the LLP with subsection (4) of that section (period for which records to be preserved), or
      (b) intentionally causes any default by the LLP under that subsection.
      (4) Subject to subsection (2), a person who commits the contraventions referred to in subsection (1) shall be liable to a level 2 fine.
      (5) A person who commits the contraventions referred to in subsection (3) shall be liable to a fine of up to level 5."