Saturday, 25 January 2020 09:20

Arjuna and Ajith implicate in great bond robbery by Forensic audit

Former Central Bank Governors Arjuna Mahendran and Ajith Nivard Cabral have been allegedly implicated in Central Bank bond scam in lengthy findings of five Forensic Audits claiming that the country has lost Rs11 billion from transactions.

The audit by BDO India was commissioned following a recommendation of a presidential commission of inquiry into so-called ‘bondscams’ in 2015 and 2016 through rigged auctions.

A sum of between Rs. 6.6 billion rupees and Ra. 6.9 billion may have been lost in 2015 and 2016 though the rigged auctions, were insider information may been used by dealers like Perpetual Treasuries Ltd, connected to a relative of then-Central Bank Governor Arjuna Mahendran, reports indicated.

The forensic audit also points out the possible conflicts of interest during Ajith Nivard Cabraal’s time at the Central Bank during the Mahinda Rajapaksa regime as Cabraal’s family members were directors of Primary Dealer companies as well as banks under the supervision of CBSL.

Siromi Noel Wickramasinghe, sister of Ajith Nivard Cabraal was associated with the holding company of PTL, Perpetual Capital Holdings (Private) Limited as a director from 23 December 2013 till 9 March 2015.

In addition, the report says Shibani Renuka Thambiayah, niece of Ajith Nivard Cabraal associated with Renuka Group

Nineteen companies have been named in forensic audit reports of the Central Bank for allegedly having caused losses to the Employees’ Provident Fund through ‘pump and dump’ schemes.

The investments had taken place mostly between 2010 and 2012 and include some of the largest corporate entities in the country, a senior official said adding that the five reports note, adding the total losses from these transactions have been calculated to be at least Rs. 9 billion.

The EPF has a fund of Rs. 2.3 trillion which annually receives Rs. 12 billion interest income, with 18 million contributors or employees and 85,000 employers.


(LI)

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