Sri Lankan Rupees 2,700 billion Illegal Transaction over a 03 year period

 

ARREST THEM  ARREST THEM  ARREST THEM

22/May/2015

 

Committee appointed to look into the allegations of the recent Central Bank Treasury Bond issue has disclosed that an illegal transaction of Rs 2,700 billion had taken place at the Central Bank in 2012, 2013 and 2014, without following the proper tender procedure, Prime Minister Ranil Wickremesinghe said. He was addressing the media at Sirikotha yesterday.

The Prime Minister said Rs. 2,700 billion was taken by the Central Bank during the three year period, without adhering to the proper tender procedure.

The amount was taken by the Central Bank issuing Treasury Bonds, but, overlooking the proper tender procedure through private placement.

It has been reveled that only the friends of the former government were issued these bonds.

“We appointed a Committee on our own to investigate these allegations regarding the Rs 10 billion Central Bank Treasury Bond issue in February and against the Central Bank Governor Arjun Mahendran,” the PM said. “The committee has said that the Rs 10 billion bond issues was done through a public auction and the decision was taken by the tender committee and the governor only to approve the decision of the tender committee,” he said.

“Subsequently, some of the parties petitioned the Supreme Court seeking a fundamental right order. But, after a four day hearing, it was dismissed by the Supreme Court at the preliminary stage,” he added. “We did this to ensure the transparency of the government,” he stressed. “Now, the Speaker has directed it to the COPE to look into the issue. We have no objection as we always believe that Parliament is the supreme body, which holds the responsibility of financial management,” he added.

“But in the process the Committee discovered that Rs 2,700 billion was taken by the Central Bank through private placement in the years 2012 and 2013 and 2014. This figures amounts to over Rs 2.7 trillion. Only the friends of the previous regime benefited by this. This is 270 times the amount involved in the February transaction,” the Prime Minister revealed. The Prime Minister said that he sought a report from the Central Bank over these transactions and the report will be submitted to Parliament.