21. Replacement of section 38 of the principal enactment

Official English translation. Where it differs from the Sinhala or Tamil text, the Act itself says which text prevails.

Section 38 of the principal enactment is hereby repealed and the following is substituted therefor:-

38. (1) Every licensed commercial bank incorporated or established within Sri

Lanka shall,-

(a)

transmit within three months after the closure of its financial year, to the

Director of

Bank

Supervision, its audited financial statements in solo and consolidated basis for such financial year in respect of its business in and outside Sri Lanka;

(b)

exhibit such statements in a conspicuous place at each of its places of business until the solo and consolidated financial statements for the succeeding financial year are prepared and exhibited; and

(c)

publish such statements at least once within the period specified in paragraph (a) in at least one

“Publication of financial statements by licensed commercial banks

Sinhala, Tamil and English daily newspaper circulating in Sri

Lanka, and in the official website of the respective bank.

(2)

Every licensed commercial bank incorporated outside Sri Lanka shall,-

(a)

transmit within three months after the closure of its financial year, to the

Director of

Bank

Supervision, its audited financial statements for such financial year in respect of its business in Sri

Lanka;

(b)

exhibit such statements in a conspicuous place at each of its places of business until the financial statements for the succeeding financial year are prepared and exhibited; and

(c)

publish such statements at least once within the period specified in paragraph (a) in at least one

Sinhala, Tamil and English daily newspaper circulating in Sri

Lanka, and in the official website of the respective bank.

(3)

The Central Bank may specify the form of the financial statements referred to in subsections (1) and (2) including any disclosure requirements to be made and where such form is specified, the financial statements of every licensed commercial bank shall be prepared in such form.

(4)

Where the Central Bank determines that a disclosure made under subsection (3)

does not contain information which is required to contain or is otherwise false or misleading, the Central Bank may, by notice in writing, require such bank –

(a)

to publish a disclosure statement including the information that was previously omitted;

(b)

to publish a disclosure statement without including false or misleading information; or

(c)

to take such other corrective action as may be specified in the notice.”.

Read on from s 22