SEC DG transferred to Finance Ministry

Securities and Exchange Commission Director General Vajira Wijegunawardane has been removed from his post with immediate effect and transferred to the Finance, Economy and Policy Development Ministry, as an Advisor.

Replacing Wijegunawardane would be SEC Director Litigation Chinthaka Mendis.

However, when the DG post becomes vacant, it must be advertised and only an acting appointment can be made or alternatively an Officer-in-Charge. As per the SEC Act, the DG is appointed by the finance minister on the recommendation of the commissioners.

The finance minister can remove a SEC DG with or without the commissioners’ advice.

In this case, it was not clear whether the Commissioners had taken a decision to remove Wijegunawardane.

Wijegunawardane is the second SEC DG to be transferred to the Finance Ministry.

In 2011, the then SEC DG Malik Cader was transferred to the Finance Ministry on the claims that his actions were discouraging investor sentiment.