Sri Lanka state funds lost Rs8.5bn in bond scam, probe reveals
Jan 03, 2018 19:24 PM GMT+0530 | 0 Comment(s)
ECONOMYNEXT – State funds lost Rs8.5 billion in Sri Lanka’s biggest securities scam while primary dealer Perpetual Treasuries Ltd. (PTL) made an undue profit of Rs11 billion, President Maithripala Sirisena said.
The Presidential Commission which probed the scam also recommended special laws to be passed by parliament to recover the funds, Sirisens said,, making a special statement to media on the Presidential Bond Commission report.
The Employees Provident Fund (EPF) and other government institutions had lost more than Rs 8,524 million or Rs 8.5 billion,” he said.
Losses were also made by Mahapola Scholarship Fund, National Savings Bank and Sri Lanka Insurance Corporation.
“The balance (loss) was from private institutions,” Sirisena said. “Perpetual Treasuries Limited has made this profit of Rs 11,145 million within a short period of 5 months.
Sirisena said that under normal circumstances, recovery of money can be done through civil legal action.
“However, it is a time consuming method. As an alternative, the Commission recommends that a Parliamentary legislation could be passed and the money could be recovered in a speedy manner following a Parliamentary approval. We agree to that recommendation.”
(COLOMBO, January 03, 2018)