Colombo Telegraph

Mahendran Under Fire

Central Bank Governor Arjuna Mahendran has come under fire from all ends, with complaints lodged against him at the Bribery and Corruption Commission along with demands made for his removal from the position.

Arjuna Mahendran

The JVP, during a media briefing yesterday called for Mahendran to be removed from the position or called for his resignation in order to allow an impartial inquiry to be conducted into the allegations. They noted that he should be removed from his position at least, as a temporary measure until the probe against him that conducted by a three-member committee appointed by the Prime Minister, concludes.

Meanwhile, the UPFA parliamentarians Mahinda Amaraweera and Jagath Pushpakumara today lodged a complaint at the Bribery and Corruption Commission against Mahendran over the controversial treasury bonds issue.

CB Governor Arjuna Mahendran’s controversy emerged a few weeks ago with concern to his intervention in the issuance of Treasury Bonds through which his son-in-law had been given an upper-hand in the bidding process.

Mahendran was accused of blatant abuse of power when the rates of the treasury bonds that opened on February 27 through which a sum of Rs. 1 billion was offered, was hiked up. The allegation was that although the rates of the bonds were expected to be in the range of 9.5%, it had been escalated up to 12.5 % under the instructions of Mahendran. Media reports claim his son-in-law was fully aware of this step and as a result, managed to gain a massive profit by bidding at the renewed rates.

Back to Home page