JVP calls Speaker to take over controversial bond investigations

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Jan 24, 2017 (LBO) – Sri Lanka’s Marxist JVP today demanded that Speaker Karu Jayasuriya takes over the future course of action against the controversial bond issue under him.

Speaking at the bond debate in Parliament, JVP leader Anura Kumara Dissanayake emphasized that they have no faith over the investigations of the government.

“We propose you to take over and observe the litigation process as well as the Attorney General’s activities on behalf of the Parliament,” Dissanayake said.

He said during the period of 27 February 2015 and 31 May 2016, a total of 227 billion rupees worth bonds have been purchased by Perpetual Treasuries.

“A confidential report to monetary board in November shows that the EPF has incurred a loss of 14.9 billion rupees loss within this period,” he said.

“That is because 95 percent of the said bonds have been repurchased by the EPF through the secondary market.”

Dissanayake quoting the report said the asset base of the Perpetual Treasuries has increased by 1,853 percent over the past two years whereas only 31 percent increase was shown by other primary bond dealers.

Sri Lanka’s Central Bank yesterday said an internal and external examination is currently underway under the direction of the Monetary Board on transactions of EPF in government securities during 2015 and 2016.

Speaking at the Parliament debate Minister Susil Premjayanth condemned the appointment of former Central Bank Governor Arjuna Mahendran as one of the Prime Minister’s advisors.

Meanwhile, the finance ministry denies media reports that Arjuna Mahendran currently acts as an advisor to the Ministry of Finance on the Central bank.

The ministry emphasized that the former Governor of the Central Bank is not working in any capacity in the Ministry of Finance.