Tuesday July 23, 2019

Sri Lanka bond probe says former CB governor leaked info, recommends legal action against Ravi

Jan 03, 2018 18:45 PM GMT+0530 | 4 Comment(s)


ECONOMYNEXT – Sri Lanka's President Maithripala Sirisena said a Presidential Commission which probed Sri Lanka’s biggest securities scam has held former central bank governor Arjuna Mahendren responsible for leaking market sensitive information and also recommended legal action against former finance minister Ravi Karunanayake.

Making a special statement to media on the Presidential Bond Commission report, Sirisena said they had recommended legal action against all those responsible for the scam.

The commission of inquiry probed a series of rigged bond auctions conducted by the central bank under then Governor Arjuna Mahendran where his son-in-law's company Perpetual Treasuries bought securities at low prices (high yields).

“The report stated that the Perpetual Treasuries Limited has made profits through illegal means with the involvement of Mr Arjuna Mahendran, Bank officials and some outside individuals,” Sirisena said.

In the auction held on 27th February 2015 alone the Perpetual Treasuries Limited has made a minimum gain of over Rs 688 million, Sirisena said.

“Perpetual Treasuries Limited has made undue profit of Rs 11,145 millions in the secondary market. In this Employees Provident Fund and other government institutions had lost more than Rs 8.5 billion.”

Sirisena said the Commission report has held former Finance Minister Ravi Karunanayake responsible for the payment of rent for his penthouse apartment belonging to the Aloysius family and their Walt and Rowe Company.

It recommended  legal action against Karunanayake under the penal codes for giving false evidence at the Commission.

(COLOMBO, January 03, 2018)


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  1. Gamarala January 04, 06:48 AM

    Arjun Mahendran who is only an economic graduate claimed to be the greatest economist has thieved poor Sri Lankans money along with his Son in Law, the fraudster, who refused to give evidence. AG should immediately charge these two thieves under the Penal Code and if Sirisena does not act promptly before the election that would be the burial of the Yahapalana Govt.

  2. sacre blieu January 04, 05:27 AM

    Now that they are cornered the admission of the facts to soften criticism should not end with the long delay to justice. The laws' delay in our country is the biggest injustice, and the President should appoint a separate bench exclusively to concentrate and see justice done without conspired delay, and very carefully selected prosecutors.

  3. Banda January 04, 03:16 AM


  4. Voter January 03, 08:26 AM

    Very unfair to prosecute Ravi for lying to the commission. He is a politician. Politicians always lie. That is job.

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