Oct 08, Colombo: The Court of Appeal of Sri Lanka has issued a stay order against the proposed restructuring of Central Investments and Finance PLC.
The troubled investment firm said in a stock market disclosure that it has halted the implementation of the restructuring plan of the Sri Lanka Central Bank until 11th October 2013.
The Monetary Board of the Central Bank approved the company restructuring proposal and informed the firm on 26th August, 2013.
Considering the prevailing liquidity and management issues of Central Investments, the Monetary Board appointed People's Leasing & Finance PLC as the Managing Agent of the investment firm in July this year improve its financial status within a reasonable period of time. The Central Bank was to closely monitor the progress.
The court has issued the stay order in response to writ application filed by 3 petitioners. There are 17 respondents in the petition and all of them have been issued with notices.
The firm said it has suspended all activities relating to the implementation of the restructuring plan until October 11th and awaiting further directions with regard to the next course of action.