Compliance

Company: Horton Group

Date: June 2025

Horton Group is committed to operating with the highest standards of legal, regulatory, and ethical compliance across all its portfolio companies and investments. This page outlines the key compliance frameworks that govern our operations in Sri Lanka and in the sectors we participate in.

1. Corporate Compliance

All entities within the Horton Group are incorporated and operate in accordance with the Companies Act No. 7 of 2007 (Sri Lanka). We maintain accurate and up-to-date statutory registers, company records, and filings with the Registrar of Companies as required under applicable law.

  • Annual returns and financial statements are filed in accordance with statutory timelines.
  • Board governance policies are maintained in line with best practices for private holding companies.
  • All directors and officers fulfil their duties of care, loyalty, and good faith as required by Sri Lankan corporate law.

2. Financial & Tax Compliance

Horton Group and its subsidiaries comply with Sri Lankan tax laws administered by the Inland Revenue Department (IRD) and the Customs Department, where applicable. This includes:

  • Corporate income tax obligations under the Inland Revenue Act No. 24 of 2017 (as amended).
  • Value Added Tax (VAT) compliance where applicable to business activities.
  • Withholding tax obligations on dividends, interest, and management fees.
  • Transfer pricing policies governing related-party transactions.

3. Anti-Money Laundering (AML) & Know Your Customer (KYC)

We take our obligations under Sri Lanka’s Financial Intelligence Unit (FIU) and the Financial Transactions Reporting Act No. 6 of 2006 seriously. Our compliance programme includes:

  • KYC verification for all investors, counterparties, and business partners prior to engagement.
  • Screening against internationally recognised sanctions lists and politically exposed person (PEP) databases.
  • Internal procedures to detect, assess, and report suspicious transactions where required.
  • Staff awareness and training on AML obligations.

4. Sector-Specific Regulatory Compliance

4.1 Building Materials & Cement

Our operations in cement and building materials comply with regulations issued by the Sri Lanka Standards Institution (SLSI), the Central Environmental Authority (CEA), and all relevant import/export licensing requirements.

4.2 Real Estate

Horton Realty operates in full compliance with the Land (Restrictions on Alienation) Act, the Condominium Property Act, and all applicable regulations governing property transactions. All agents and representatives are qualified and operate within the legal framework governing real estate brokerage in Sri Lanka.

5. Data Protection

We are committed to the responsible handling of personal data in accordance with applicable data protection principles and Sri Lanka’s evolving data protection legislation. Our Privacy Policy outlines the specific measures we have implemented to protect personal information. We do not share personal data with unauthorised third parties.

6. Environmental & Social Compliance

Horton Group conducts environmental and social impact assessments as required under the National Environmental Act (NEA) and its regulations prior to commencing new projects or expansions. We aim to conduct business in a manner that is socially responsible and minimises environmental impact.

7. Ethical Business Conduct

We maintain a zero-tolerance policy towards bribery, corruption, and fraudulent conduct. Our internal policies align with the principles of the United Nations Global Compact, and we expect all employees, contractors, and business partners to adhere to equivalent standards of ethical conduct.

8. Whistleblower Protection

Horton Group maintains a confidential reporting channel for employees and stakeholders to raise concerns about potential legal, ethical, or compliance violations without fear of retaliation. Reports may be submitted to info@horton.lk marked for the attention of the Compliance Office.

9. Contact — Compliance Enquiries

For compliance-related matters, please direct correspondence to:

Company: Horton Group

Address: No. 2 Arunachalam Avenue, Horton Place, Colombo 07, Sri Lanka

Phone: +94 11 289 898

Email: info@horton.lk