The Colombo District Court ordered written submissions to be filed by Ceylinco Insurance and its companies that have been proposed to be segregated and a shareholder, who earlier petitioned court alleging that Ceylinco Insurance had no acted in accordance to the Companies act when segregating the business.

 

When the matter was taken up today, Counsel for Ceylinco Insurance Palitha Kumarasinghe PC objected to the Petition filed by the shareholder.

 

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A shareholder of Ceylinco Insurance filed a Petition on October 17th, stating Ceylinco Insurance had not acted under the law when it obtained approval for the segregation of the life and general divisions of the company.

 

The Petition also said that despite undertakings by the Chairman of Ceylinco Insurance the company failed to inform the shareholders about the mechanism of the segeregation.

 

The Insurance Industry Act specifies that all Insurance Companies segregate its Life and General divisions.

 

The Petitioner stated that all other insurance Companies in the country, which abided by the Act had first informed and sought the consent of the Shareholders of the respective companies prior to the segregation.

 

According to Ceylinco Insurance website, J.G. Perera is the Chairman of the company while Ajith Gunawardena acts as the Managing Director and the CEO. H.D. K. P Alwis, T.N.M. Pieris, W.C.J Alwis, D.W.P. Upali, N.D Nugawela and P.M.B. Fernando are the members of the director board of the company.