The Statement sets out the responsibility of the Board of Directors, in relation to the Financial Statements of Ceylinco Life Insurance Limited (CLIL). In terms of Sections 150 (1), 151, 152 and 153 (1) & (2) of the Companies Act No. 07 of 2007 and amendments thereto, the Board of Directors of CLIL is responsible for ensuring that the Company keeps proper books of accounts of all the transactions and prepares Financial Statements that give a true and fair view of the financial position of the Company as at the end of the financial year and of the financial performance during the year and place them before a general meeting. The Financial Statements comprise of the Statement of Financial Position as at December 31, 2024, the Income Statement and Statement of Profit or Loss and Other Comprehensive Income, Statement of Changes in Equity, Statement of Cash Flows for the year then ended and Notes thereto.

Accordingly, the Board of Directors confirms that the Financial Statements of CLIL give a true and fair view of the –

▶ financial position of CLIL as at 31 December 2024 ; and

▶ financial performance of CLIL for the financial year then ended.

PROFESSIONAL ADVICE

The Committee is authorized to obtain professional advice internally and/ or externally as and when it deems necessary, at the Company’s expense.

COMPLIANCE

The Board of Directors accepts responsibility for the integrity and objectivity of the Financial Statements prepared and presented. The Directors confirm that:

I. In preparing the Financial Statements, appropriate accounting policies have been selected and applied in a consistent manner and material departures, if any have been disclosed and explained.

II. Reasonable and prudent judgments and estimates have been used so that the form and substance of transactions are appropriately reflected.

III. Sufficient accounting records have been maintained to disclose with reasonable accuracy, the financial position of the Company and to ensure that the Financial Statements have been prepared and presented in accordance with the Sri Lanka Accounting Standards and provide the information required by the Companies Act No. 7 of 2007.

IV. Financial Statements have been prepared on a going-concern basis and sufficient funds and other resources are available within the Company to continue its operations and to facilitate planned future expansions and capital commitment.

V. Reasonable measures have been taken to safeguard the assets of the Company and to prevent and detect fraud and other irregularities. Accordingly, the Directors have taken steps to establish appropriate systems of internal controls comprising internal audit checks, risk assessment tests and financial and other controls to safeguard its assets and secure as far as practicable, the accuracy and reliability of the records.

VI. As required by the Sections 166 (1) and 167 (1) of the Companies Act, they have prepared this Annual Report in time and ensured that a copy thereof is sent to Ceylinco Holdings PLC, the sole shareholder of the Company.

VII. External Auditors, Messrs Ernst & Young who were re-appointed by the shareholder at the last Annual General Meeting held on 28th March 2024 were provided with every opportunity to undertake the inspections they considered appropriate to enable them to give their audit opinion. They have examined the Financial Statements made available to them by the Board of Directors together with all the financial records, related data and Minutes of shareholders’ and Directors’ Meetings and expressed their opinion in the “Independent Auditors’ Report” which appears as reported by them on pages 273 to 274.

VIII. To the best of their knowledge and belief all statutory payments in relation to regulatory and statutory authorities that were due, in respect of the Company as at the Reporting date have been duly paid or where relevant, provided for.

Accordingly, the Board of Directors is of the view that they have discharged their responsibilities as set out in this Statement.

By Order of the Board,

K I Weththasinghe

Company Secretary

20th February 2025
Colombo