The Committee on Public Enterprises (COPE) has issued Central Bank Governor Arjuna Mahendran a two week ultimatum, ordering him to furnish all details in relation to the bond transactions to the Auditor General within this period.
On Wednesday, COPE summoned Mahendran and his Deputy Governors, to follow up on a complaint lodged by the Auditor General that the Central Bank had refused to provide him with the relevant information on the bond transactions.
Sources said that the denial of information to the Auditor General is a violation of the Constitution, as per Section 154 (5) (a).
It is learnt that during the meeting Mahendran had remained mum, while his Deputy Governors had tried to argue with members of COPE claiming that the release of the details pertaining to the bond transactions can lead to a market collapse, due to the market sensitivity of the information.
However, several COPE members had continued to grill the Governor and his Deputies, and during the meeting they had not been successful in giving any reasonable reasons as to why they were withholding information pertaining to the bond transactions from the Auditor General.
The meeting concluded after the COPE ordered Mahendran and his Deputies to comply with the Auditor General’s request within two weeks.