29 October, 2020

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Writ Of Quo Warranto Filed Preventing Arjuna Mahendran From Holding Post Of CB Governor

The Anti-Corruption Front (ACF) and the Campaign for Free and Fair Elections (CaFFE) today filed a petition to prevent Governor of the Central Bank Arjuna Mahendran from continuing to hold the post of Governor.

The Central Bank Governor - Arjuna Mahendran

The Central Bank Governor – Arjuna Mahendran

The petition to obtain a Writ of Quo Warranto preventing Arjuna Mahendran from holding the position of governor of Central Bank, was filed this afternoon at the Court of Appeals, by ACF Adviser Rajith Keerthi Tennakoon.

In the petition, Tennakoon drew attention to the ‘serious allegations of corruption’ against Mahendran, in particular in the issuance of Treasury Bonds on 27th February 2015.

The petition said; “a) On 27.02.2015, the Central Bank of Sri Lanka announced an auction of issuing 30 year treasury bonds for Rs. 1000 million and thereafter Public Debt Department of the Central Bank contacted commercial banks and primary dealers over the phone canvassing bids for the above auction around the market rate of 9.35% to 9.75% range,”

b) At the auction Central Bank of Sri Lanka accepted bids for Rs. 1000 million at weighted average of 11.73%. However bids for Rs. 3000 million from the primary dealer Perpetual Treasuries Ltd., owned by the Respondent’s son in law was accepted at 12.50%. Most of the other banks and the primary dealers bid at low rates below 11.00%.

c) Soon after the conclusion of the above auction, on 27.02.2015 the Central Bank announced a policy change removing restrictions to excess funds of commercial banks at the standing deposit facility of the Central Bank and effectively increasing overnight money market rates by around 1%. This policy change was done only 3 days after the previous monetary policy announcement where monetary board stated that there was no need to change the monetary policy.

d) The activities of the said primary dealer Perpetual Treasuries Ltd., who successfully bid for Rs. 3000 million at 12.50 %and Rs. 2000 million at around 12.00% at the auction clearly indicates prior knowledge of impending monetary policy changes.”

Tennakoon added that based on the foresaid circumstances and the conduct of Mahendran, holding of office as the Governor of the Central Bank of Sri Lanka is obnoxious to all the norms of good governance.

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Latest comments

  • 11
    7

    Well done! Mr Thennakoon it is clear “inside trading” and more irregularities. I really d o not understand why Ranil and UNP trying to cover up. Do they have a share of profit. Obviously Ranil spoils Yahapalanaya then MRs hooligans

    • 7
      3

      Well done CaFFE!

      Mahendran and Cabraal must be held accountable so that never again will this kind of looting of the national economy happen at the Central Bank. FUTURE Accountability of CB governors must be ensured and hence Mahendan and Nivard Cabraal must be PROSECUTED and the IMPUNITY and IMMUNITY enjoyed by these two crooks under Ranil Wickramasinghe and Sira Ayahapalanay govt. must end.

      Civil society should ask for the assets of Mahendran and Nivard Cabraall to be frozen and Perpetual Treasuries investigated. It is not enough to simply ask that Mahendran’s contract has ended – and let him off to go and live the high life on his ill gotten gains in Singapore!

      A full investigation of Mahendran and Nivard Cabraal and their bond scams, insider trading and currency manipulations is necessary.

    • 1
      4

      The IMPUNITY and IMMUNITY for financial crimes enjoyed by Nivard Cabraal and Mahendran under Mahinda Jarapassa, Ranil Wickramasinghe and Sira Ayahapalanay govt. must end.

      FUTURE Accountability of CB governors must be ensured and hence Mahendan and Nivard Cabraal must be PROSECUTED for financial crimes.

      Civil Society groups should petition the United Nations High Commissioner for Human Rights (UNHRC) to end impunity of corrupt Govt. officials on the basis of the Economic and Social Rights and Justice of the people of Sri Lanka.

      Civil society should ask for the assets of Mahendran and Nivard Cabraall to be frozen and Perpetual Treasuries investigated and all the others named in Panama Papers. It is not enough to simply ask that Mahendran’s contract has ended – and let him off to go and live the high life on his ill gotten gains in Singapore!

      A full investigation of Mahendran and Nivard Cabraal and their bond scams, insider trading and currency manipulations is necessary.

  • 10
    2

    Looks like Indrajith is PMs interim choice. He is around 65 years and may have a few years left in the tank.

    Cannot think of a good candidate in the longer term from the age group 45-60.

    Bond auctions and sales have been manupulated for years and will continue to do so,

    How did the BoC survive after they had a say in these transactions as well? Mmmmmmmm

    Also EPF staff is sitting pretty as well as if nothing happened.!!!

    It is the same shit with a different set of flies!!!

    • 7
      1

      If its Indrajith Coomamarasamy as you say its a fantastic choice.He is one of the brilliant son of Sri Lanka whose talent had been tapped by other countries to their advantage and now its a golden opportunity for SL to use his reputed capability. Coming from a renowned Sri Lankan family in my opinion he is the right choice for the post.As for his age 65 as you say it should be no barrier when Donald Trump at 70 is aspiring to become President of the United States.

      • 4
        3

        Coomaraswamy will also turn a blind eye to corruption!

        I have heard him say at the Sri Lanka business forum addressing Basil Rajapaksa when the latter was Minister of Economic Affairs that Commonwealth Institute used to tell Affrican Dictators that corruption was ok if the job was done! This is how the IMF and World Bank have legalized financial corruption and Inequality and poverty in the global economy with trickle up policies that enable rich to get richer and today 63 individuals own over half the world;s wealth according to OXFAM.

        IC also loves the IMF and World bank! He should be told to ask IMF and WB to use their so-called experts to track down the looted funds from Sri Lanka stored in off shore bank accounts to pay off the debt of Sri Lanka, and investigate those named in Panama Papers, rather than asking for cut backs on social sector and welfare spending and asking the poor to subsidized the rich and enable TRICKLE UP and more poverty and INEQUALITY and VIOLENCE in Sri Lanka.

  • 9
    0

    It cant be only the Governor who is involved in the alleged scam.In my opinion many more are involved. It is a pity only the Governor has to take the rap:

  • 0
    1

    Indrajith Coomarawamy [Edited out]

  • 6
    1

    This is wrong and unlawful. There is a verdict given by the supreme court. No one is talk about that judgement. They only talk about what Wimal Weerawansa, Vasidewa and Rajapaksha s slogan.What I am saying is that is wrong and accusing a person for wrong doijng or allegations are not enough to getting someones service for the country. There may be plenty of other competent people. But if anyone has allegations or corruption chrarges, they have to prove it. If not it will applicable to Mahinda Rajpaksha and his sons too.

    • 3
      0

      What I said is ” Only allegations and accusation for something is not enough to discontinue someones valuable service for the country”. They should prove it. Until then it is ok to postpone his appointment as CB governor. But all these allegations are target on Government and Prime minister. Not only Mahendran.

  • 2
    1

    Worldwide search for a qualified experienced person to fill the post of Governor of Central Bank of Sri Lanka, is imperative – by advertisement in relevant journals and websites.
    Persons in Sri Lanka too may apply.

  • 4
    9

    We may consider Dinesh weerakody, the son in law of long time UNP strongman and Minister for Christian affairs and Tourism John Amaratunga.

    Dinesh Weerakody who is an authority on “human resource” management was even recognized by the Rajapakses during which rule he was voted in the Chairman Commercial Bank. The government controlled EPF also voted for him then. He was actively promoting the sporting culture initiated by Namal Rajapakse, playing badminton with him on the army courts . Dinesh also became a Director of Sumal Perera’s Access Group during the Rajapakse regime.

    After the government changed on 8 January 2015 Weerakody became an adviser to Ranil Wickramasinghe. He also wrote an extremely learned book on how he almost single handedly plotted the victory of the Yahapalanaya government. Dinesh is now director of several business entities including the Galle face Hotel. But as there could be conflict of interest between Tourism Ministry and Galle face Hotel Dinesh quite rightly hardly ever takes part in Board meetings.

    It is difficult to beat his credentials for this very important position especially because we have good governance now.

    • 3
      0

      Harry Hatton I cannot tell whether you are being sarcastic or not.

      What qualifications does Dinesh W have to govern a central bank? He is a CIMA qualified HR person who has mainly got ahead thanks to his father in law. I have worked with him many times and he is highly disorganized. His so called learned articles are mainly plagiarized outright or written for him by others. He is however skilled at surrounding himself with people who are capable and can do the work for him to take the credit, so this may still be a good skill to have as a governor.

      I am not saying he is a crook and he is a decent enough chap. Just that he has very little real technical knowledge on the subject (or any subject), and no knowledge of economics. Being the politically appointed chairman of a bank does very little to change that. In fact no former banker should be made the governor due to the obvious conflict of interest. Good economists and administrators are what is needed.

  • 2
    2

    Whats all ha hoo about the appointment of Governor of Central Bank. A M should decline even if they consider his reappointment. He has better opportunities. Dinesh Weerakody seems to not interested. There are many other retired top Banker with integrity arent they eligible.

  • 3
    3

    Dinesh is in the running for the job.

  • 5
    2

    Arjun Mahendran will laugh all the way to a Singaporean bank now to deposit his loot whilst [Edited out] Sira, [Edited out] Ranil and [Edited out] Mangala were disappointed the Uncle Kerry’s Home Land Security or Department of Justice could not trace a single Rajapaksa dime.

    • 2
      2

      Mahendran wont be laughing all the way to a singaporean bank to deposit his loot. After he deposits his loot and the following day the bugger gets a heart attack from which he may never recover what is his loot worth ?????????????????
      Not worth a bloody tuppence. !!!!!!!!!!!!!

      What would happen if the bugger is diagnosed with cancer or some other incurable illness from which there is no recovery after time ?????
      Not worth a damn tuppence. !!!!!!!!!!!!!

      These idiots think that money is everything and they do so because they are corrupt fools.

      Mahendran most probably must be a atheist and money must be his all powerful god so the buffoon must be unaware of the saying in the Bible as follows.

      ” Fool tonight i will call for your soul.”

      Let him enjoy while the going is good.

  • 3
    3

    I mean,…… after the heavily-laden LTTE Raj Rajaratnam insider-trading daylight robbery heist, why in God’s name did Yahapalanaya neatly turn over the country’s finances over to the same bird-of-a-feather? Very fishy indeed!

    • 1
      1

      Her Romona, is life good for you there in dusty pennsylvania? Why dont you come over and help the country rather than spouting rubbish while living the so called nondescript good life?

      • 0
        0

        Helping the country much better this way, Hemingway……seeing the beautiful greenery of Pennsylvania is enough to convince me that cutting down Lankan trees for profit is the greatest non-no possible. The socialized capitalism is another very poignant thing that I have learned there – property, county, state and federal, and sales taxes are taken very seriously here.

        • 0
          0

          no-no*

  • 0
    2

    SF was victimized and hounded out from his home, service career, family and then dragged him into jail on a trumped up charge of unawareness of son’s alleged profiteering from an army contract for equipment. AS it turned out, SF hardly knew of the alleged scam, if there was one, and the sum of money involved was a pittance compared with the colossal amounts involved in this AM scam at International Level.

    I feel like puking as I am viewing the wholly inadequate, inequitable and unjust manner the successive governments (President, PM and all) and the country’s law enforcement agency chiefs have handled these two cases. If the leaders of the country turn a blind eye to such outrageous scam by the elite level rogues in smart suits, what future holds for us. Sad, sad, sad….. but I am, as much as many other readers here, also seething with anger inside over this injustice.

  • 2
    0

    Rk, 4 yr information mr Dinesh Weerakoddy is very much awaiting the calling to be the next Governor.
    He writes bullshit articles on other websites saying ‘Don’t toss my name around’.
    He twinkling his toes & his fingers as well as his father in laws Willi waiting to be called up & to hear the Governor Dinesh ass hole Weerakoddy!
    Can’t wait to see his whole family including Johnny, hopefully w:o a bulge smiling at the cameras accepting the letter.

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