SEC unlikely to ratify Asanga’s appointment at CSE

The Securities and Exchange Commission (SEC) is unlikely to approve Colombo Stock Exchange (CSE) Director, Asanga Seneviratne's reappointment owing to “certain issues”.

While the CSE appoints its directors, SEC approval is also required. Informed sources said Mr. Seneviratne, a CSE director since 2014, has had many issues at his company, Nation Lanka Equities which has been struggling with liquidity issues. For these reasons, he had been barred by the SEC from attending CSE board meetings in recent months.

The company had failed to comply with some CSE’s rules which say that a broking company should comply with certain minimum capital adequacy requirements. Thereafter the CSE had directed the company to stop business from October 9.

Mr. Seneviratne was re- elected at the CSE AGM in May this year. The CSE board has five stockbroker representations and four government appointments. State-appointed directors are Dakshitha Thalgodapitiya, Anton Godfrey, Shanil Fernando and Jivan Niriella. They continue on the CSE board.

Before the May AGM, Vajira Kulatilleke was the CSE chairman with Moksevi Prelis, Aravinda Perera, Chairman Royal Ceramics PLC, Ray Abeywardena, Managing Director of Acuity Partners and Mr. Seneviratne as directors. In May, Mr. Abeywardena was appointed as the CSE chairman while Mr. Kulatilleke and Mr. Prelis resigned. Dumith Fernando was elected as a Director of the CSE Board in place of Mr. Kulatilleke. Recently Dilshan Weerasekera was appointed as a director to replace Mr. Prelis. Mr. Perera resigned at the last CSE board meeting.