CB probes two EPF employees
Sri Lanka’s banking regulator is probing two of its employees, following the Securities and Exchange Commission (SEC) suspension of three stockbrokers for allegedly violating securities laws, banking sources said.
Two dealers at the Employees Provident Fund (EPF) department of the Central Bank (CB) are under investigation, they added. This is in connection with the SEC case for front-running (influencing a stock) the EPF.
Recently, First Capital CEO, Jaliya Wijeratne and Capital Alliance PLC, Milanka Induruwage, Executive Vice President at Capital Alliance PLC, were suspended for three years by the market regulator for front-running the Employees Provident Fund, which came after 11 years of the offence. This was for trading in the shares of Piramal Glass Ceylon PLC in 2014 in the same transaction.
Separately, SC Securities CEO Roshantha Fernando was also suspended for three years after findings relating to trading in Browns Investments, Royal Ceramics and Richard Pieris through the account of his wife in 2022, with the SEC statement saying, “whilst being privy to the impending transactions of the Sri Lanka Insurance Corporation Limited (SLIC).” These individuals have challenged the decision in court.
The Sunday Times Business learned that the EPF employees had not turned up at work pending the investigation.
Stock market analysts noted that while the SEC is trying to go after the fraudulent activities and trying to maintain market discipline, related regulators and authorities must also take the lead in assisting them.
The Sunday Times Business also learned that the securities regulator has over 50 court cases in relation to various securities violations. “These cases are spanning from over five years,” one source said.
Hitad.lk has you covered with quality used or brand new cars for sale that are budget friendly yet reliable! Now is the time to sell your old ride for something more attractive to today's modern automotive market demands. Browse through our selection of affordable options now on Hitad.lk before deciding on what will work best for you!