{"id":161258,"date":"2016-04-25T12:26:05","date_gmt":"2016-04-25T06:56:05","guid":{"rendered":"https:\/\/www.colombotelegraph.com\/?p=161258"},"modified":"2016-04-25T12:26:05","modified_gmt":"2016-04-25T06:56:05","slug":"jvp-to-take-central-bank-governor-to-task-over-latest-bond-scam","status":"publish","type":"post","link":"https:\/\/www.colombotelegraph.com\/index.php\/jvp-to-take-central-bank-governor-to-task-over-latest-bond-scam\/","title":{"rendered":"JVP To Take Central Bank Governor To Task Over Latest Bond Scam"},"content":{"rendered":"

The Janatha Vimukthi Peramuna (JVP) will lodge a complaint against the Governor of the Central Bank, Arjuna Mahendran<\/span><\/a>, for his alleged involvement in a second bond scam<\/span><\/a> amounting to Rs. 80 billion.<\/p>\n

\"Mahendran\"<\/a>

Mahendran<\/p><\/div>\n

JVP member, Wasantha Samarasinghe<\/span><\/a> announced that a complain will be lodged with the Commission to Investigate Allegations of Bribery or Corruption requesting for a speedy investigation over the issuance of treasury bonds to the tune of Rs. 80 billion on March 29, 2016, even though the Central Bank originally stated that treasury bonds will be issued only for Rs. 40 billion.<\/p>\n

\u201cCorrupt deals are continuing at the Central Bank, and no action is being taken,\u201d Samarasinghe said.<\/p>\n

In mid-April, former chairman of the Committee on Public Enterprises (COPE) and leader of the Communist Party, DEW Gunasekera demanded<\/span><\/a> to know as to why the Central Bank did not utilize the EPF Fund, or state banks such as People\u2019s Bank or the National Savings Bank to obtain a short term loan facility instead of selling treasury bonds to \u2018private capital owners\u2019 at a high interest of 14%.<\/p>\n

Gunasekera charged that even though the Central Bank had initially announced that it was going to issue treasury bonds to the tune of Rs. 40 billion in March 2016, the bank had instead issued bonds to the tune of Rs. 80 billion. \u201cThis is the second biggest financial scam within a year,\u201d Gunasekera said.<\/p>\n

Meanwhile, Dr. W.A. Wijewardena, a former Deputy Governor of the Central Bank of Sri Lanka in the column published today<\/span><\/a> warned that the Monetary Board cannot just keep a blind eye on these happenings since they would cause irreversible damages to market confidence as well as to the board\u2019s own credibility.<\/p>\n

In a letter addressed to the Secretary of the Monetary Board of Sri Lanka on April 19, good governance activist and former Chairman of the Ceylon Chamber of Commerce, Chandra Jayaratne has demanded the Secretary of the Central Bank\u2019s Monetary Board<\/span><\/a> to furnish him within 14 days all information pertaining to the recent Treasury Bond issuance from the Central Bank.<\/p>\n","protected":false},"excerpt":{"rendered":"

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