CB suspends primary dealer biz of NatWealth Securities

Tuesday, 2 June 2020 01:07 - - {{hitsCtrl.values.hits}}

Says measures will be taken to ensure regulatory action does not impact Govt. securities market

The Central Bank has suspended the primary dealer license of NatWealth Securities Ltd. but assured that steps will be taken to ensure the regulatory action does not disrupt the Government securities market, in a statement released yesterday.

The Monetary Board of the Central Bank of Sri Lanka (CBSL) at its meeting held on 28 May, having considered the continuous failure to comply with the Directions applicable to NatWealth Securities Ltd. (NWSL) as a Primary Dealer, acting in terms of the Regulations made under the Registered Stocks and Securities Ordinance and the Local Treasury Bills Ordinance, decided to suspend NWSL from carrying on the business and activities of a Primary Dealer for a period of six months with effect from 1 June.

The CBSL said it would take necessary measures to ensure that this regulatory action did not have a disruptive impact on the Government Securities market. It added that action would also be taken to facilitate the handling of the interests of the customers and counterparties of NWSL in an orderly manner.