Cabinet approval to reorganize Non-Bank Financial Institutions Supervision Department

Oct 13, 2020 (LBO) – Sri Lanka’s Cabinet of Ministers has approved a proposal to completely reorganize the Department of Supervision of Non-Bank Financial Institutions of the Central Bank.

The cabinet has also decided to formulate a new institutional structure for the regulation of finance companies.

Meanwhile, the cabinet nod has been received to implement the recommendations of the Presidential Commission on Edirisinghe Trust Investments Limited.

It has also been decided to refer it to the Attorney General for immediate legal action to implement the recommendations of the report regarding the financial and real estate irregularities in ETI.

The Commission’s observations and recommendations show that a number of offenses have been committed under the Companies Act, the Financial Companies Act, the Money Laundering Act, the Financial Information Reporting Act, the legal framework for the transfer of land to foreigners, as well as the Penal Code.

The Minister of Justice is to present the Commission Report to the Parliament along with the steps taken by him in accordance with the report of the Commission.