The Securities and Exchange Commission is expected to amend the listing rules pertaining to disclosures on director dealings, to chuck out some ambiguities that have fuelled late disclosures by some parties.
According to SEC Deputy Director General/Officer in Charge, Dhammika Perera, a specific time period will be indicated in the new rules for directors to disclose their dealings.
The Colombo Stock Exchange’s present listing rules direct listed entities to make an immediate announcement of disclosures made by a director in terms of Section 200 of the Companies Act.
The Section 200 of the Companies Act requires directors to make disclosures of an acquisition or disposal of shares of their companies to the board of directors.
Those familiar with the regulatory aspects in connection to director dealings said, most of the directors tend to use the infrequency of board meetings as an excuse to make delayed disclosures.