Securities Commission irks MTSL

By NATHAN WOTI
THE Melanesian Trustee Services Limited (MTSL) has slammed the Securities Commission of Papua New Guinea (SCPNG) for allegedly “breaching the law based on incomplete information”.
MTSL chief executive officer Lawrence Stephens told The National that SCPNG claimed that an investigation was initiated on June 29, however, SCPNG did not reach out to MTSL during the “investigation” nor requested for information.
“We are certain that the decision by SCPNG is in breach of the law and based on incomplete information,” he said.
“Accordingly, MTSL is appealing against the decision and is taking all necessary legal action to defend the interests of the unitholders of Pacific Balance Fund (PBF) against unlawful actions taken by government officials.”
He said last Wednesday, MTSL received a letter from the SCPNG dated Aug 9, 2023, revoking the approvals for a Capital Market Licence granted to the MTSL as Trustee for PBF pursuant to the Capital Markets Act 2015 (Letter of Revocation), effective immediately.
Stephens added that the SCPNG had not followed the correct procedure by issuing the Letter of Revocation and was in breach of the Capital Markets Act.
MTSL has appealed against the decisions of SCPNG to the National Court and applied to stay the decision to revoke MTSL’s licence and appoint an alternate trustee and fund manager until the determination of the appeal. Furthermore, Stephens mentioned that MTSL as trustee and interim fund manager had maintained prudent and transparent governance with continuous improvements.
“MTSL’s governance is similar to the major superannuation funds and provides transparency for SECOM and the unit holders at any time upon request,” he said.
“MTSL remains available for all stakeholders during this period and will continue represent the best interests of the unitholders and ensure that appropriate legal procedures are followed,” he added.
Meanwhile, SCPNG recently appointed Weathermen Capital Advisors as the new interim trustee for PBF, effective on Aug 7, 2023, after revoking the licence of the former trustee, MTSL.
The appointment of Weathermen Capital Advisors was made by the SCPNG pursuant to its powers under Section 202 of the Capital Market Act 2015 after the commission’s decision not to renew the Capital Markets Licence (CML) of MTSL.