FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com


Join the forum, it's quick and easy

FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com
FINANCIAL CHRONICLE™
Would you like to react to this message? Create an account in a few clicks or log in to continue.
FINANCIAL CHRONICLE™

Encyclopedia of Latest news, reviews, discussions and analysis of stock market and investment opportunities in Sri Lanka

LISTED COMPANIES

Submit Post

Poll

Can there be another Covid-19 wave in Sri Lanka?

 
 
 

View results

STOCK MARKET TRAINING
ශ්‍රී ලංකා මූල්‍ය වංශකථාව - සිංහල
Submit Post


CONATCT US


Send your suggestions and comments

* - required fields

Read FINANCIAL CHRONICLE™ Disclaimer



Latest topics

» Government loan repayment
by shariff Today at 1:04 pm

» EDEN HOTEL LANKA PLC (EDEN.N0000)
by Bakkabwoi Today at 11:52 am

» What are the short term profit stocks you are planning to buy on this Monday? (Only honest ppl please)
by Hitazz Today at 11:49 am

» CITIZENS DEVELOPMENT BUSINESS FINANCE PLC(CDB.N0000)
by engineer Today at 11:41 am

» Sri Lanka's Foreign Reserves set to top US$ 7 Billion - Cabraal
by samaritan Today at 11:34 am

» Tea industry expected to contribute $ 200 million extra revenue to public coffers
by samaritan Today at 11:25 am

» RIL JOURNEY
by Karthick Today at 11:09 am

» LMF target price+++++
by GayanKK Today at 10:03 am

» ASIA SIYAKA COMMODITIES PLC (ASIY.N0000)
by RJ1010 Today at 8:45 am

» Tomorrow top gainers PALM & NIFL
by Tissa Yesterday at 9:39 pm

» Directors' Dealings today
by SAGA Yesterday at 8:55 pm

» Sri Lanka’s Forex Reserves to exceed US$7 Billion by end 2021
by D.G.Dayaratne Yesterday at 8:09 pm

» Sri Lanka to Repay $1 Billion Bond, Ending Default Threat
by SAGA Yesterday at 5:35 pm

» Top crossings today
by SAGA Yesterday at 3:13 pm

» CABO -- “ The Investment Company ” under Land & Building Sector
by ADVENTUS Yesterday at 12:51 pm

» RAIGAM WAYAMBA SALTERNS PLC (RWSL.N0000)
by Rational Investor Yesterday at 12:43 pm

» PALM should be above Rs120
by SAGA Yesterday at 11:49 am

» SEMB the ASPH
by Big Bull Yesterday at 11:14 am

» VALLIBEL FINANCE PLC (VFIN.N0000)
by Value Pick Yesterday at 10:11 am

» RENUKA CAPITAL PLC . KZOO.N
by Wickyz Yesterday at 9:54 am

EXPERT CHRONICLE™

MARKET CHAT


CHRONICLE™ ANALYTICS


ECONOMIC CHRONICLE

GROSS DOMESTIC PRODUCT (GDP)


CHRONICLE™ YouTube

LATEST TWEETS

You are not connected. Please login or register

FINANCIAL CHRONICLE™ » DAILY CHRONICLE™ » SEC seeks info from Deputy Speaker on stock market deals

SEC seeks info from Deputy Speaker on stock market deals

Go down  Message [Page 1 of 1]

sriranga

sriranga
Co-Admin
A top Government politician is among scores of investors who have received notice of summons by the Securities and Exchange Commission (SEC) as part of regulator’s move to punish manipulative trading.

The Daily FT learns the SEC has fired letters to concerned investors based on material and information it has in possession following investigations in to alleged malpractices in trades conducted in the recent past.

Whilst summoning is part of core function of the SEC, those who are in the know have been put off by the harshness of SEC’s notice. Analysts said the notice of summons is to record information from the persons concerned as part of normal investigations hence the wording of the letters has created a fear psychosis.

“Since SEC is acting on alleged abuses and the recording of statements signifies early stage of investigation, the tone is harsh and driving fear. This is very detrimental to those who are yet to be found guilty by a legal process,” analysts opined.

Some of those who had previously received summons and proved innocent later on claimed that the fresh notice was demoralising. Others said it was the standard format.

Summons issued by SEC’s Acting Director General Prof. Hareendra Dissabandara concludes by warning those under investigation that “failure to appear before the Commission, refusal to answer any question, refusal to produce any book or document in possession or control when required or knowingly giving false answer shall render” the person to being found “guilty of an offence in terms of Section 46A (4) of the SEC Act and shall on conviction after summary trial before a Magistrate render liable to a term of imprisonment of either description not exceeding five years or to a fine not exceeding one million rupees or both such imprisonment and fine.”

Tough action by the SEC is likely to be cheered by good governance activists and those who trade fair but some brokers and investors pointed out that unnecessary harassment or instilling fear will drive more investors away from the market.

Some alleged the market’s downfall from the peak of Rs. 2,213 billion market capitalization to Rs. 1,807 billion last month (improved to Rs. 1.9 trillion yesterday), was owing to excessive regulations and other market deterrents whilst some however pinned it to loss of overall confidence in the market (due to manipulation) as well as better returns in fixed deposits, and economic downturn and volatility in exchange rate.

Chairman Tilak Karunaratne in his review in the SEC’s 2011 Annual Report said that while fostering the development of the economy, the capital markets also play an important equalizing role. Viz – it attracts the participation of a large number of people in the economy by investing in securities and other derivatives.

“Therefore the role of the regulator becomes even more important as there is a large number of stakeholders involved. It follows that a well regulated market will encourage more people to come in as investors and contribute to the development of the economy.”

“We continued to remain vigilant and maintain robust surveillance of the trading activities to ensure that the market operates in a fair and orderly manner and promote efficient price discovery. The SEC is able to monitor trading activities on a real time basis to detect a wide range of possible market misconduct. This enabled us to act promptly to curb potential market misconduct and enhance investor protection,” he added.

Last year it was midst or in the aftermath of apparent investigations in to some trades by high profile investors that triggered the exit of SEC’s Director General Malik Cader as well as Chairperson Indrani Sugathadasa. However when the duo left the SEC, the market was relatively active judging by Rs. 2.2 trillion market capitalization as opposed to its slump to Rs. 1.9 trillion at present. Colombo Bourse remains Asia’s worst performer with a negative return of over 17% year to date whilst during past three market days there has been return of bargain hunters.
http://www.ft.lk/2012/06/19/top-govt-politico-among-investors-summoned-by-sec-via-fiery-notice/

http://sharemarket-srilanka.blogspot.co.uk/

K.Haputantri

K.Haputantri
Co-Admin
It is customary that legal notices are couched in formal terms. ?They will not have terms like "God bless you". If a person gets offended by such formal letters & resist, then, they should not invest in the share market in the first place and resort to gambling or burglary where they can have their own way. Its a regulated place.

sriranga

sriranga
Co-Admin
By Duruthu Edirimuni Chandrasekera

The Securities and Exchange Commission (SEC), continuing its longtime probe into manipulation and insider trading, took a new turn when it sought information from parliamentarian and Deputy Speaker Chandima Weerakkody, sources say.

“We have written to a politician and asked him certain things pertaining to an ongoing investigation in order to obtain different views from various people,” a SEC source told the Business Times, adding that the politician won’t be summoned to the SEC. He added that these views are sought from certain investors in a bid to ascertain specific information relating to patterns of trading.

“I heard this first from the media. When I checked, I saw a letter from the SEC and they wanted to know the beneficiary of my investment, who my stockbrokers are, etc,” Chandima Weerakkody, Deputy Speaker told the Business Times. He added that SEC is ascertaining some transactions pertaining to certain shares.

The SEC source said that this isn’t the first time a politician was asked for information. “Two politicians were sent letters sometime ago relating to a different case,” he said. Meanwhile SEC Chairman Tilak Karunaratne, Treasury Secretary Dr. P.B. Jayasundera, Central Bank Governor Nivard Cabraal and former Attorney General Mohan Peiris met the President two weeks ago and had a ‘friendly chat’ on the economy. “He was concerned about the small investors,” he said. He added that the President wanted to meet this team again on his return from Brazil.

Last year, a total of 20 cases of suspected market malpractices which included two insider dealing, two front running, one circular trading and 15 price manipulations were referred by the Colombo Stock Exchange (CSE) to the SEC for further investigations and necessary action. The SEC source said that selected cases are now being pursued.
http://www.sundaytimes.lk/120624/business-times/sec-seeks-info-from-deputy-speaker-on-stock-market-deals-3861.html

http://sharemarket-srilanka.blogspot.co.uk/

Sponsored content


Back to top  Message [Page 1 of 1]

Permissions in this forum:
You cannot reply to topics in this forum