ACL loses Portfolio Manager's license for contravening law

Registrar of Financial Institutions has suspended Portfolio Manager's license for Alliance Capital Limited (ACL) for contravening financial services law. According to a press statement signed by Registrar of Financial Institutions Dr. Wilson Banda which Nthanda Times has seen, the decision to suspend the license aims to safeguard interests of investors and general public and to ensure that the company honors its existing obligations to its clients and other creditors. The statement further says the suspension is effective 31st March 2021. “Pursuant to section 27 (2) (b) of the Financial Services Act (Cap. 44:05 Laws of Malawi) as read with section 22 (2) of the Securities Act (Cap. 46:06 Laws of Malawi), the Registrar of Financial Institutions (“the Registrar”) has suspended the portfolio manager’s license for Alliance Capital Limited (‘the company’) on the ground that the company has contravened financial services laws.  The suspension of license shall be for a period of twelve months from the date of the Order, effective 31st March 2021,” reads the statement. Banda : ACL contravened financial services law The statement further says, during the 12 months suspension of the license, ACL will only concentrate on settling liabilities to investors and creditors. “During the period of the suspension of the license, the company shall not be allowed to accept new business. However, the company will concentrate on repaying liabilities to investors and other creditors,” reads the statement. Meanwhile, the Registrar has issued ancillary directions and reporting obligations on ACL to safeguarding clients' interests. Alliance Capital Limited is one of the leading financial institutions in Malawi with unlocking the county's diverse investment opportunities for economic diversification and sustainable development. Its main objectives on clients are centered on pension fund assessment management, portfolio management and corporate finance advisory services. Sharing is Caring!