ANKARA - A draft law, designed to modify the existing Capital Market Code, will provide a protection up to 20 thousand Euros for investors. The Fund to Protect Investors now includes all financial means, it was stated.
Efforts are being made to change the existing laws on the Capital Market Code and make it compatible with the norms of the European Union. The proposed legal arrangement makes it easier for investment partnerships. All restrictions on investment funds are being lifted. Furthermore, constraints on portfolio managers are removed.
The draft law puts a limit of five years on the ability of the executive boards to raise capital. While companies are being encouraged to inform the public regularly, the law gives the Board the authority to organize the purchase of shares by partnerships.
With the new resolution, stock markets could be established as separate legal entities.
According to the draft, courts are given more say in searches.
The new arrangement will make it possible for the Board to fine individuals and the directors if they act against their obligations under the law.
(ULG) 22.10.2004