Sri Lanka’s CB to take-over Entrust Securities

Jan 04, 2015 (LBO) – Sri Lanka’s Central Bank is to take-over Entrust Securities Plc, primary dealer in government securities if the company fails to submit a viable restructuring plan today, Governor Arjuna Mahendran said.

If a re-structuring plan is not submitted by 6 p.m today the company will be taken-over to protect the government securities market and a state bank will be entrusted with the management, he said.

“We want to ensure stability and also confidence in the market and this was the reason we decided to offer the management of Entrust to a government bank.” Mahendran said.

If there is fraud involved action will be taken against the management and other officials in the company.