The Securities and Exchange Commission of Sri Lanka (SEC) has issued a strong warning against individuals and groups publishing investment-related content on social media without proper authorisation.
In a notice issued today, the regulator said that any content amounting to investment recommendations must not be made unless the person is a Registered Investment Advisor or an entity licensed by the SEC. It said such posts, made without a proper basis or licence, mislead the public and carry significant legal consequences.
The SEC said it will take strict action against those who violate these requirements, adding that anyone contravening Part 5 of the SEC Act can be prosecuted before the High Court. Upon conviction, offenders are liable to a fine of not less than Rs. 10 million, imprisonment for up to ten years, or both.
The Commission stated that these measures are intended to protect the interests of investors, which remain one of its core regulatory objectives.
