By Amrit Muttukumaru –
Amrit Muttukumaru
The NDB FRAUD in terms of its IMPLICATIONS to the country is the most dangerous FINANCIAL FRAUD in recent times – more dangerous than even the Bond Scam. This is because it affects the ENTIRE Banking/Financial system due to CBSL COLLUSION with the potential to undermine Sri Lanka’s CREDIBILITY.
The question is why powerful interests led by REGULATORS are DESPERATE to BURY this FRAUD? They have DEVIOUSLY introduced DISTRACTIONS – the latest being the missing USD 2.5 Million from the Treasury. Has not the NDB Fraud largely gone off the radar? Even in RARE instances when the Fraud is mentioned, not a word is said of the NEGLIGENCE of the ‘Director Board’, CBSL’s Bank Supervision Department and External Auditor Ernst & Young. Crucially OMITTED are the REASONS for the RESIGNATION of ‘Board Director’ Shanil Fernando and the ‘Conflict of Interest’ in the appointment of ‘Deloitte India’ as the Forensic Auditor.
Even in terms of VALUE while the Treasury Scam is SLR 805 Million, the NDB Fraud is placed at a minimum of SLR 13.2 Billion!
Although without question the country must get to the bottom of the COAL SCAM and other credible instances of corruption which include the missing USD 2.5 Million from the Treasury, it is DANGEROUS for the country to take the eye off the ball from the NDB Fraud.
One area in which successive governments, oppositions in Sri Lanka and the media have CONSENSUS is in giving a FREE PASS to the PRIVATE SECTOR which for the most part is the MOTHER of political corruption.
Reasons to bury the NDB Fraud
1) Involvement of Duminda Hulangamuwa, Senior Economic Adviser to President AKD.
He is the Managing Partner of NDB External Auditor Ernst & Young. If appointing him due to the obvious ‘conflict of interest’ was bad enough, is not CONTINUING to have him as AKD’s ‘Adviser’ despite his involvement in the massive NDB Fraud far worse? Does not anyone in this country realize that Hulangamuwa has the potential to pass on sensitive information to EY clients?
2) CBSL COLLUSION by way of (i) NEGLIGENCE of ‘Bank Supervision Department’ (ii) allowing the NDB ‘Director Board’ which FAILED to PREVENT the Fraud to CONTINUE
UNHINDERED (iii) allowing this same ‘Director Board’ to APPOINT the “international firm” to carry out the ‘Forensic Audit’. CBSL falls under the purview of the Ministry of Finance of which the subject Minister is President AKD.
3) ‘Conflict of Interest’ in the appointment of ‘DELOITTE INDIA’ to carry out the FORENSIC AUDIT. NDB ‘Board Director’ and Chairman of its ‘Audit Committee’ SUJEEWA MUDALIGE was a former Managing Partner of PwC Sri Lanka which is now part of the DELOITTE WORLDWIDE FAMILY.
4) Involvement of some of the BIGGEST NAMES in the PRIVATE SECTOR on the ‘Director Board’ of NDB Bank PLC. This includes Hasitha Premaratne – Managing Director of Brandix Group, Bernard Sinniah – former Managing Director of Citibank, Sujeewa Mudalige – former Managing Partner of PwC (now Deloitte) / Past President of CA Sri Lanka and Shanil Fernando – founding member of Virtusa Corporation/Co-Founder of Sysco Labs.
5) Involvement of some of the most PROMINENT Chartered Accountants/Auditors in the country – Sujeewa Mudalige (former Managing Partner of PwC / Past President of CA Sri Lanka) and Duminda Hulangamuwa (Managing Partner of Ernst & Young).
Worst fears realized
Our worst fears are now realized with NDB appointing DELOITTE INDIA to carry out the FORENSIC AUDIT.
NDB ‘Board Director’ and Chairman of its ‘Audit Committee’ SUJEEWA MUDALIGE was a former Managing Partner of PwC Sri Lanka which is now part of the DELOITTE WORLDWIDE FAMILY. Hence, is there not the possibility that the NDB ‘Director Board’ could ‘MANAGE’ the Forensic Audit with the ‘blessings’ of the CBSL?
This ASPECT does not seem to bother ANYONE in this country – not even leading opposition member DR. HARSHA DE SILVA – Chairman, Parliament’s Committee on Public Finance keeping in mind that the government through the EPF/ETF/SLIC/BOC is the MAJOR SHAREHOLDER of publicly owned NDB Bank PLC.
Even the SEC which must fulfil its corporate governance responsibility since NDB Bank is a PLC company is SILENT on the appointment of Deloitte India. SEC Chairman – Dr. Hareendra Dissabandara is an appointee of the Ministry of Finance of which President AKD is Minister.
Shanil’s Resignation & Deloitte’s Credibility
If Deloitte India wants to demonstrate even a semblance of credibility should not its first order of business be to obtain the RESIGNATION LETTER of ‘Board Director’ Shanil Fernando which should give the REASONS for his resignation? This is precisely what is being HIDDEN from the country.
Regulatory agencies are doing their damnedest to PORTRAY Shanil Fernando as the villain of the piece for the Fraud. Being DOWNPLAYED is that he only became a ‘Board Director’ in January 2026.
By highlighting Shanil Fernando’s IMPRESSIVE Digital Technology credentials such as being the ‘Co-Founder of Sysco Labs’ those concerned are MISCHIEVOUSLY attempting to portray him as being NEGLIGENT to ALERT the ‘Director Board’.
The letter from NDB Company Secretary Shehani Ranasinghe to the Chief Regulatory Officer of the CSE dated 27 April 2026 merely refers to Shanil Fernando’s RESIGNATION effective from that date WITHOUT giving any REASONS for his resignation. The only other issue mentioned by her is presumably a SUBTERFUGE – “The Shareholding of Mr. Shanil Fernando as at the date of his resignation will be notified in due course.”
The CSE website under ‘CORPORATE DISCLOSURES’ does not mention a word about the REASONS for his RESIGNATION. Are not the REASONS CRUCIAL to shareholders/depositors of NDB?
Conclusion
1) CBSL must ensure that the ‘Terms of Reference’ for the FORENSIC AUDIT by DELOITTE INDIA must COMMENCE with the RESIGNATION LETTER of ‘Board Director’ Shanil Fernando.
2) The SEC must DEMAND that CSE FORTHWITH PUBLISHES Shanil Fernando’s letter of RESIGNATION on its WEBSITE under ‘CORPORATE DISCLOSURES’.
SEC Chairman, Dr. Hareendra Dissabandara is an appointee of President AKD in his capacity as Minister of Finance.
3) President AKD as Finance Minister or Dr. Anil Jayantha Fernando – Deputy Minister of Finance must PUBLICLY ask CBSL Governor, Dr. Nandalal Weerasinghe why he ALLOWED (i) the NDB ‘Director Board’ which FAILED to prevent the FRAUD to CONTINUE UNHIDERED? (ii) the same ‘Director Board’ to APPOINT the FORENSIC AUDITOR?
4) The REPORT of the Forensic Auditor (Deloitte India) must be PUBLICLY available on the WEBSITE of the Ministry of Finance since the government is the MAJOR SHAREHOLDER of NDB Bank PLC.
5) Parliament’s ‘Committee on Public Finance’ (COPF) of which leading opposition member DR. HARSHA DE SILVA is Chairman must INSIST on (1), (2), (3) and (4) given immediately above.
I end by pointing out that the country’s only stand-alone business newspaper ‘Daily FT’ while reporting as recently as 14 May the credentials of new ‘Board Directors’ of Harischandra Mills PLC has crucially SUPPRESSED the fact that SUJEEWA MUDALIGE is a ‘Board Director’ of NDB Bank PLC and Chairman of its ‘Audit Committee’. This is what the country is up against.
Jit / May 18, 2026
Amrit, what are the evidences that you have to prove the NDB investigations are ‘buried’?? Information about the case probably are not on everyday news items but it does not mean an investigation is ‘buried’. I am sure the Central Bank, Police and other related institutions are following the due process but not interested in giving voice cuts everyday.
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Amrit Muttukumaru / May 18, 2026
Jit
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I can do no better than repeat the old English proverb “There are none so blind as those who will not see.”
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In conjunction with what I state in my above article, I cite two other powerful examples to demonstrate DESPERATE attempts to ‘Bury the NDB Fraud’:
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1) Without a shadow of doubt the HIGHEST CIRCULATION print media company in Sri Lanka is Wijeya Newspapers Limited (WNL) which inter alia publishes the ‘Daily Mirror’ and the country’s ONLY stand-alone business newspaper ‘Daily FT’.
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2) The ‘Daily Mirror’ of 16 May 2026 in reporting on its front page ”Major Fraud Cases Reported April & May 2026” has SUPPRESSED the NDB Fraud which hit the public domain on 2 April 2026. (‘Daily FT’ confirmed this on 7 April). Even in terms of VALUE none of them come CLOSE to the NDB Fraud!
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3) The ‘Daily FT’ of 14 May 2026 while reporting the credentials of new ‘Board Directors’ of Harischandra Mills PLC has crucially SUPPRESSED the fact that SUJEEWA MUDALIGE is a ‘Board Director’ of NDB Bank PLC and Chairman of its ‘Audit Committee’.
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Need I say more?
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Amrit Muttukumaru
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Jit / May 19, 2026
“….Need I say more?…”
Sure you do Amrit! Because you have not answered my main point – “….Central Bank, Police and other related institutions are following the due process but not interested in giving voice cuts everyday…”
Quoting Daily Mirror or any of Wijewardene family rags is the last place you should visit to seek truth! That said, I have already agreed with you in your previous article that Hulangamuwa presence as a party to the external auditors is highly uncalled for! And the current board should be replaced by a special board of directors by the CB cuz they have the absolute power to do so. I am very disappointed that did not happen but it does not mean the CIB investigations can be compromised whatsoever way. The truth should come out as there are no political interferences in this case.
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Amrit Muttukumaru / May 19, 2026
Jit
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“Central Bank, Police and other related institutions are following the due process”
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You must be living on ANOTHER PLANET to say this!
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I quote from my article:
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“President AKD as Finance Minister or Dr. Anil Jayantha Fernando – Deputy Minister of Finance must PUBLICLY ask CBSL Governor, Dr. Nandalal Weerasinghe why he ALLOWED (i) the NDB ‘Director Board’ which FAILED to prevent the FRAUD to CONTINUE UNHIDERED? (ii) the same ‘Director Board’ to APPOINT the FORENSIC AUDITOR?”
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You also say:
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“there are no political interferences in this case.”
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Let us see whether AKD as Finance Minister or his Deputy Dr. Anil Jayantha Fernando will “PUBLICLY ask CBSL Governor, Dr. Nandalal Weerasinghe” the above questions. I am not holding my breath!
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Whether we like it or not, WNL as the “HIGHEST CIRCULATION print media company in Sri Lanka” SIGNIFICANTLY influences PUBLIC OPINION and by their MISCHIEF does immeasurable damage to the well-being of the country.
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Amrit Muttukumaru
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Jit / May 20, 2026
Amrit,
Even the ‘private investigator’ in you cannot ‘publicly’ declare and conclude that the investigations on NDB by all relevant authorities ARE dead?? That the investigations have been stopped by AKD as the FM, by NW as the Governor and by PW as the IGP? Please enlighten us if you have the exact position of those investigations before you demand voice cuts from the President et al. Because in financial crime investigations, the genuineness of the progress is not measured by open statements by VIPs. That is why CB Governor recently did a rare media interview covering the current issues and watch that please to understand how soberly senior officers handle the important matters, quite different to bulls in China shops.
I would not even bother to comment further about Lankadeepa, DM or the Wijewardene family agenda.
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Truthteller / May 18, 2026
I for one believe that the management of NDB should be handed over to a highly reputable private bank, such as Cargills Bank. Cargills Bank does not allow even relatives of the owners to interfere in its affairs. I think Amrit can shed more light on that aspect.
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J.C. Lately / May 19, 2026
Amrit, there was another burial of truth the other day at Borella Kanatte. Kapila Chandrasena. His retraction counts for nothing. He gets a highly paid PC to be observer at the financial crimes inquiry. At adjournment the PC derelicts his duty to warn his client not to say anything in his absence. B.Eng.and MBA educated Chandrasena himself doesn’t realize he should remain silent in the absence of his lawyer. If there was threat the resumed statement should have started with mention of the threat. The learned PC should read out the retraction to braided Chinese and not to a court.
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J.C. Lately / May 19, 2026
Truthteller,
Only two Sundays ago one read in the ‘Sunday Times’ – detested by Amrit Muttukumaru – his progeny writing a glowing tribute ‘in memoriam’ to his maternal uncle, Anthony A Page Jr.
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leelagemalli / May 19, 2026
A serious question being raised by the public today is why the alleged NDB fraud issue appears to have been quietly buried without transparency or accountability. Many citizens feel that the government is attempting to downplay or mitigate every major fraud or controversy that has surfaced so far. From the harbour container dispute, to the coal procurement tender controversy, and even the reported USD 2.5 million phishing-related financial loss, there is growing concern that no proper action or clear explanations are being given to the people. Instead of demonstrating accountability and strong governance, the authorities appear increasingly defensive and disconnected from public expectations.
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The current government’s shortcomings are becoming clearer day by day. Despite strong pre-election rhetoric and promises of expert-led governance, there appears to be a serious lack of capacity and direction in addressing the country’s worsening economic and administrative challenges. The depreciation of the Sri Lankan rupee, rising diesel prices, and mounting losses in the power sector have placed further pressure on ordinary citizens. Questions are also being raised about poor decisions surrounding low-quality coal imports and delays affecting energy-related operations due to bad weather and inadequate planning. Meanwhile, negotiations with foreign institutions and investment partners have failed to produce the progress that was promised to the nation.
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