SLID calls for independence of regulatory bodies

The Sri Lanka Institute of Directors (SLID) has joined the chorus for greater independence at the Securities and Exchange Commission (SEC) by issuing a statement urging the Government to act appropriately.

The SLID statement is as follows:

The Sri Lanka Institute of Directors (SLID), which has the furtherance of corporate governance as its foremost objective, is perturbed by the recent and ongoing developments concerning the Securities and Exchange Commission (SEC).

The institute believes that the independence of regulatory bodies is an important contributing factor towards entrenching confidence in a country’s capital market and economy.  Therefore, any attempts to negatively interfere with the professionalism and independence of a regulatory body such as the SEC will only lead to widespread indiscipline and a breakdown in law and order and the resultant negative impact on the workings of the capital market.

We urge the governing authorities to take the immediate necessary steps in redressing the current situation at the SEC and ensure that regulatory bodies are given the freedom to manage independently.