Over the past months, there have been efforts by a group of dedicated individuals who are Independent Minority Shareholders (IMS) of public listed companies (PLCs) to form an association. The proposed association would represent their interests the interests of IMS, irrespective of whether they are members or not, a statement said.
"The need for an effective, ethical and professionaly-run association that would represent investors of this category has been a long-felt need ever since the 1980s when the stock market began growing and expanding in a free market society," minority share holder rights and good governance activist K. C. Vignarajah, on behalf of the Core Group, said.
"The urgency for such a body intensified recently in the context of developments in the market in the past 8 months which has seen the resignations of two honorable/respected and upright individuals, Ms Indrani Sugathadasa and Dr Thilak Karunaratne, as chairpersons of the SEC in their efforts to ensure fairness, equity and a level-playing field for all investors.
"In June 2012, around 45 investors met at the auditorium of the Organization of Professional Association (OPA) and after a discussion, a core group amongst them was selected to prepare the structure of the association, its formation and the way forward, with the convenor / moderator being given the discretion to make adjustments based on complains, objections and / or needs of IMS.
"The core group met on several occasions and has worked hard to develop an organizational structure, membership form with criteria for membership, and other details. Investors desiring to be members of this association will be admitted based on the listed criteria.
"At the second meeting of the proposed association held last Monday at the OPA auditorium which drew a large appreciative and focused set of investors, details of structure and its formation was explained.
"It was also explained that the Association is aimed at meeting the long-term needs of its members in all aspects including creating awareness on how to invest and a clear understanding of all aspects of the stock market.
"The next steps of the association will be communicated to the media shortly," the statement said.