PRESS COMMUNIQUE

 

 

1. The Financial Services Commission (the "Commission") has been appraised of the arrest of the General Manager and the Assistant General Manager of the Mauritius Commercial Bank Ltd. (MCB), a bank listed on the Stock Exchange. While bearing in mind the principle relating to the presumption of innocence, the Board of the Commission is of the view that the present circumstances require that utmost consideration should be given by all parties concerned to ensure the soundness of our financial market, and the protection of the interests of the public, including depositors and shareholders.

 

2. It is the duty of the Commission to take appropriate steps in collaboration with other regulatory bodies, including the Stock Exchange of Mauritius, to ensure the integrity of the financial system of Mauritius in which the MCB plays a critical role. Discussions have been held this morning with the Chairman and other members of the Board of the MCB to express the views of the Commission, specifically as regards upholding the highest level of ethical values in the governance of a major listed institution.

 

3. The Board of Directors of the MCB has been requested to anxiously weigh the social responsibility considerations and its business principles in determining the course of action required to maintain market confidence in the current situation and in promoting the operational integrity of the institution for the sake of its stakeholders and particularly the investors.

 

4. At a special meeting this afternoon, the Board of the FSC has reaffirmed the need for financial institutions and related service providers to adhere to the highest standards of behaviour and demonstrate their continued ability to maintain them in the safe and sound conduct of business.

 

 

Financial Services Commission

 

24th June 2003