On becoming aware:
(a) that the systems for properly accounting for the receipt, investment, handling or expenditure of money by a council are defective or inadequate, or
(b) that the existing systems established for those purposes are not being complied with,the Director-General may, by notice in writing served on the council, direct the council to remedy the defect or inadequacy, or to comply with the existing systems. The council must comply with such a direction.
Note : Failure to comply with a direction under this clause may lead to an investigation being held under Part 5 of Chapter 13 of the Act.