Central Bank freezes assets of 6 companies and their directors
The Central Bank of Sri Lanka (CBSL) has issued freezing orders against six companies and their directors, preventing them from disposing of, transferring or otherwise dealing with their properties and other assets. In a statement issued on September 22, CBSL said the orders were made under Section 44 of the Finance Business Act No. 42 of 2011 and had subsequently been confirmed and extended by the Colombo High Court.
The freezing orders currently cover Kasagala Green Plantation (Private) Limited, Ceylon Green Life Plantation (Private) Limited, Singhe Capital Investment Limited, Pro Shop Advertising Holdings (Private) Limited, Athens International Education Centre (Private) Limited and Eyon Lanka Investment & Film Production International Company (Private) Limited.CBSL said investigations into Kasagala Green Plantation and Ceylon Green Life Plantation are currently being conducted under Section 42 of the Finance Business Act.
The Central Bank said it has already determined that the other four companies had carried on finance business and/or accepted deposits in contravention of Section 2 of the Act. CBSL warned the public to deposit money only with legally authorized institutions, noting that only institutions licensed under the Banking Act or Finance Business Act, or specifically exempted from those laws, are permitted to accept deposits from the public.
The regulator said investigations are also underway into several other institutions and individuals following complaints over possible unauthorized finance businesses and deposit-taking.CBSL previously confirmed that it was investigating Kasagala Green Plantation to determine whether it had conducted finance business or accepted public deposits in violation of the Finance Business Act.
