Reforming the Enforcement of Directors' Duties in Sri Lanka: Adopting Australia's Civil Penalty Regime

Abstract

This article evaluates the effectiveness of the criminal penalty regime governing directors’ duties in Sri Lanka and considers whether the adoption of Australia’s civil pecuniary penalty regime would provide a more effective and proportionate enforcement mechanism. The article examines the theoretical foundations of responsive regulation, analyzes the Australian experience with civil penalties over three decades and proposes a framework for implementing similar reforms in Sri Lanka.