Sri Lanka’s Company Registrar has garnered more than $ 13.6 Mn (Rs 1.8Bn) in its Company Fund in on-going operations.
“Sri Lanka's Company Registrar under the Ministry of Industry and Commerce of Sri Lanka has already met 60% of new start-up registration targets for 2012 and as a result of its continuous work; we now have 55238 entities operating in Sri Lanka under the Registrar. More importantly, the Registrar has reported cumulative reserves in its Company Fund to the tune of $ 13.6 Mn (Rs 1.8Bn) which is a highly commendable performance for a state sector institution” said Rishad Bathiudeen, Minister of Industry and Commerce of Sri Lanka on 22 August.
Minister Bathiudeen was discussing with his high ranking officials during the Ministry’s departmental budget and operations review held on 22 August at the Ministry of Industry and Commerce, Colombo.
The reserves in the Company Funds have all been safely invested by the Company Registrar in Treasury Bonds –the risk free, widely reputed medium and long term government debt instrument (managed by the Central Bank of Sri Lanka).
According to Section 479 of the Companies Act, No. 07 of 2007, two-thirds of every fee or charge prescribed, levied or recovered by the Registrar shall be paid in to the Fund. One-third of every fee or charge prescribed, levied or recovered (under the Companies Act) by the Registrar, shall be paid into the Consolidated Fund.
DoR officials also informed Minister Bathiudeen that a new Oracle based, online powered software is being developed to upgrade the Department of Registrar’s (DoR) system at Rs 140 Mn ($1.058 Mn) and is now at its final stages of development. “The system testing is scheduled to commence in the due course” revealed DK Hettiarachchi, the Registrar. Once operational, the new, online system can handle the total company registration process through online payments and can also issue certified copies online by accepting international credit card payments.
The new start-up numbers in January to July 31 showed 2012’s seven months of operations have exceeded initial projections. As of July 31, new company registrations of all forms stood at 4182 for 2012 January-June, along with Rs 47.7 Mn ($ 361094) revenue from all types of company registrations, thereby meeting 60% this year’s targets. It registered 15077 annual reports at Rs 45.14 Mn ($ 341322) meeting 43% of this years targets by July 31.
Meanwhile, the registration figures (final) from the DoR at the end of Y2011 revealed that 51056 total companies in existence in Sri Lanka of which 7905 are new born-companies in 2011 [private limited companies (7027), public limited liability companies (635), companies limited by guarantee (44), associations (139), foregin companies (52) and one off shore firm], re-registration of companies in 2011 at 2680 with a total re-registered companies numbering 25093 and total already registered companies numbering 25963.