Business Times

SEC probe on ERI 'not over yet'

Sri Lanka’s Securities and Exchange Commission (SEC), which was collecting facts about the investments and dealings of Environment Resources Investments – ERI (formerly Walker & Greg) to verify whether there has been any market manipulation when its shares were traded during last year, has yet not concluded its probe on this company, according to informed sources.

The SEC was having some concerns about their disclosures pertaining to ERI’s (foreign) investment in South Africa, but since the company made an announcement (this week) saying that they sold this firm and made a capital gain, speculation in the share market was that the SEC may have abandoned its probe, which has been ongoing for about a year.

“This is not correct as there are still enquiries by investors on ERI, with regard to its nature of business, etc. What they've provided so far needs some more substantiation," a source told the Business Times.
ERI was restructured to become an investment holding company after Lionhart Investments Limited of UK, took over control (93.8%) from Browns Group in 2007 when it was called Walker and Greg. In 2009, it bought a platinum mine through Environmental Resources Limited incorporated in British Virgin Islands. This firm, (which had 24 million shares of Eastern Platinum) sold the platinum mine realizing a capital gain of CA$ 41.3 million (equaling Rs 4.5 billion), a company announcement to the Colombo Stock Exchange said.

Despite this capital gain ERI’s share price suffered about Rs 20 drop during the first four days this week. ERI shares and its warrants together with connected companies were the main market movers during the last year, which also resulted in the regulators halting trading on the warrants for two days and subsequently imposing the controversial price curb rule across the board to all stocks.

Top to the page  |  E-mail  |  views[1]
SocialTwist Tell-a-Friend
Other Business Times Articles
IIFA issues continue with audit report
Sri Lanka’s skies are looking up
CSE raises the bar on best market practices; looks to protect investors
Lankem to expand in leisure, reposition existing properties
Kalpitiya hotels - still no decision
Peek at Sri Lanka’s future
JKH expansion pace to increase
Comment - Education: Where are we heading?
Feature - Sri Lanka's new mod-tradi consumer
Sri Lanka poised to become the regional financial hub
First model pre-school in Jaffna from Hemas
Vallibel Power Erathna 3Q10 revenues up 42% YoY
Harpo’s new tourism training institute opens amidst industry take-off
Ceylon Tea in new campaign to restore Russian markets
Human rights activist barred from speaking at Colombo University event
FCCISL Investor Forum opens doors for investment in Jaffna
Sri Lankan postmen now carry bills and reloads!
State banks neglect one category of pensioners
Transparency crucial in fast-tracking infrastructure development : urban planner
Intl. community needs to work together to solve climate change : US ambassador
NDB set to secure growth: Analysts
Aggressive marketing plan to promote Unit Trusts
Chinese SEZ at Mirigama confined only to a name board after 18 months ‘of construction’
Sri Lankans favour Indian Govt. over USA, China
Boats, beverages help boost Lankan exports
Caltex supports HIV/ AIDs infected and their families
Asian Branding guru Martin Roll to visit Sri Lanka
10-year old Microimage launches BlackBerry, iPad HCM8R2 apps
Access Engineering associated with landmark Sangupiddy bridge
Milestones in the controversial oil hedging deals
F&G depositors say 'coerced' to convert deposits to shares
Dhammika’s foray into Lankan Aluminium and Hayleys dominates proceedings
Perera duo set to expand Hay leys stake to 51%
SEC probe on ERI 'not over yet'
e-Channelling may change name to include core business
CB Governor urges banks to double lending
Guardian Capital to invest in Expolanka
Why do some skilled migrants fail in their adopted countries?


Reproduction of articles permitted when used without any alterations to contents and a link to the source page.
© Copyright 1996 - 2011 | Wijeya Newspapers Ltd.Colombo. Sri Lanka. All Rights Reserved | Site best viewed in IE ver 8.0 @ 1024 x 768 resolution