Watchdog Action

Sri Lankan Police forming a human chain in parliament to protect the Speaker and enable a vote.

Sept 14, 2011 (LBO) – Sri Lanka’s Securities and Exchange Commission said it will take a stock advisor to court and had warned seven others including two investors over suspected price manipulation. An investment would be charged over s suspected trades in shares of MTD Walkers during January 2010 following decision taken on August 19.

The SEC said had also probed trading and unusual price rises in Dankotuwa Porcelain, Blue Diamonds Jewellery Worldwide, Touchwood Investments and in the warrants of Environmental Resources Investments during July 2010.

It had found that trades by five investment advisors including a trainee from three broking firms and two investors could be manipulative.

SEC said it had cautioned them in writing following a meeting on August 19.