Tuesday, June 28, 2011

Colombo Hilton owning firm HDL celebrates ‘Decade of default’ today

Colombo Hilton owning company Hotel Developers (Lanka) Ltd., (HDP) perhaps deserves insidious ‘congratulations’ for celebrating an unprecedented decade on the Colombo Stock Exchange’s Default Board today.

Exactly on 28 June, 2001, HDL was relegated to the CSE’s Default Board for non submission of Annual Reports for the financial year ended on 31 March, 1991. Today marks a decade on the Default Board whilst the company has also not released accounts for 20 years.

The market has been waiting with dismay for the release of accounts which the HDL Board a few months ago finalised and rushed Board approval in a jiffy. Despite nearly two months since then no disclosure has been made by the company either.

Analysts have been urging the capital market regulator the Securities and Exchange Commission (SEC) to suspend trading of HDL for a few days until investors have fully comprehended 20 years of accounts.

HDL share ended last week at Rs. 135, up by Rs. 11 from the previous week whilst it 52-week highest is Rs. 165. There was no trading on HDL shares yesterday. When the market opens today a dubious toast could await HDL for remaining on default board for 10 years and also for the SEC and CSE for accommodating same apart from letting the share trade despite no accounts for 20 years.

source - www.ft.lk

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