The Securities Exchange Commission (SEC) has barred Nation Lanka Equities (Pvt) Ltd from canvassing for new clients due to continuous non-compliance with the SEC Act and stockbroker rules of the Colombo Stock Exchange.
The SEC had deliberated on the matter last week after Nation Lanka Equities sent a letter on October 15, pursuant to a SEC directive to explain and show cause for the said non-compliance.
“Being dissatisfied with the explanations provided, SECdecided to issue this directive,” an SEC letter to the stockbroker said.
The market regulator warned that failure to comply with the new directive would bring serious repercussions, as Nation Lanka Equities has forwarded an application to renew its brokerage license.
Nation Lanka Equities is owned by a consortium of investors.
According to the company’s official website’, investor and veteran stockbroker Asanga Seneviratne functions as the Chairman of Nation Lanka Equities.
Seneviratne is also sitting as a Director of the Colombo Stock Exchange.