Timber Scams

Local regulators are taking a hard look at a rise timber investment companies to prevent the public from depositing funds in unlicenced institutions.
The move comes after Central Bank on Tuesday for the first time in history, named 27 companies for mobilising public funds without regulatory approval.rn

rnAmong the warning list were a few companies that invest in timber plantations. One of these firms even had a public offering on the Colombo Stock Exchange last year.rn

rnCompanies investing in timber plantations have been on the rise. Timber plantations are profitable if it is marketed and managed properly.rn

rnldblquote But as with any investments there are risks. Unscrupulous promoters in several countries have been touting bogus ventures, promising impossibly high returns,
dblquote says Ravi Abeysuriya, CEO Fitch Ratings Lanka Ltd., addressing a seminar on educating savers on Wednesday.rn

rnldblquote There have been instances in other countries, where most of the money went to management fe