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Wider Definition


The countrys banking laws will be amended this year to regulate dozens of unlicensed deposit taking companies.
Authorities are considering Amendments to the Banking Act with a fresh definition of what constitutes a lquote Deposit.


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rnExperts say the Amendments will prevent unregulated Limited Liability Companies from taking public deposits unless they come under the Banking Act.rn

rnThe Banking Supervision Department of the Central Bank is able to inspect the books of all licensed commercial banks. Under the Amendments, all deposit taking companies will have to open their books to the Central Bank.

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rnldblquote The current definition (of deposit) is not broad enough, it is limited, dblquote says Dr. Wickrema Weerasuriya, Consultant, Central Bank.

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rnHe says Central Banks Deputy governor Mr. Manik Nagahawatte has studied it and has given a broad definition.

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"And if that Law is enacted we can cover the loopholes that exist today.
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" rn

rnldblquote There are certain companies that exploit the

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