The Monetary Board of the Central Bank yesterday said it has decided to extend the suspension of business and activities of the primary dealer operations of Pan Asia Banking Corporation PLC (PABC) for a period of six months, with effect from today.
The Central Bank said the suspension is extended to continue the investigations conducted by them.
In August last year, the Central Bank suspended the business activities of the primary dealer of Pan Asia Bank for a period of six months. Then in February, the suspension was extended by another six months.
At the time of the suspension, the Central Bank earlier said the regulatory action is based on the findings of an investigation carried out by them related to Pan Asia Bank’s transactions with the controversial primary dealer Perpetual Treasuries—whose business operations have also been suspended— in the government securities market.
The Central Bank emphasized that this regulatory action restricts Pan Asia Bank’s access to the primary auctions for government securities but it does not affect any of the other activities
of the bank.