April 27, 2009 (LBO) – Sri Lanka’s Supreme Court has ordered a list of assets of the failed Golden Key Credit Card Company and its directors to be filed by May 11, to be seized and sold to repay depositors, lawyers said. Golden Key, a unit of Sri Lanka’s Ceylinco group collapsed in December 2008, causing a run on other Ceylinco group financial firms.
At a hearing Monday, the Supreme Court said a process of collecting affidavits from directors by the Central Bank is too slow and the Attorney General’s department should investigate and compile a list of assets by May 11.
Authorities were asked to find assets of Golden Key, its subsidiaries, associates, directors, past directors, managers and assets held by nominees.
Court had indicated that a writ would be issued to enable the assets of Golden Key and directors to be seized and sold to repay customers.
Supreme court had earlier directed the central bank to take action to repay the depositors after ruling that the firm should have been regulated after lawyers M A Bastiansz with Sudath Jayasundera went to court on behalf of more than the 30 Golden Key customers.
Wijedasa Rajapakse appeared for Golden Key and Ceylinco chief Lalith Kotelawala, who wa