Transparency International Sri Lanka (TISL) has filed a petition in the Supreme Court challenging the Bill issued on August 6, 2024, to amend the Companies Act No. 07 of 2007. TISL argues that the proposed Beneficial Ownership register, intended to enhance transparency by requiring companies to disclose their ultimate owners, is compromised by exemptions that could undermine its effectiveness.

The petition highlights concerns that Section 130A(10) exempts offshore companies from disclosing ownership information, potentially facilitating the creation of shell companies for fraudulent activities. TISL contends that this exemption violates the fundamental right to equal protection under the law, as it differentiates between local and foreign companies.

Additionally, the petition criticizes Section 130D for limiting public access to beneficial ownership details, which could hinder the right to access meaningful information as enshrined in Article 14A of the Constitution. TISL calls for the Court to deem the Bill inconsistent with constitutional rights and to require a two-thirds majority vote in Parliament for its passage.

The Attorney General has been named as the respondent in this public interest case, as TISL seeks to ensure effective implementation of anti-corruption measures in Sri Lanka's legal framework.