New Life

July 31, 2007 (LBO) – The failed Pramuka Bank had been given the nod by the Central Bank to re-open for business from August 01, as the state owned Sri Lanka Savings Bank Ltd, the regulator said. The new bank will settle the liabilities of Pramuka to depositors and creditors according to a scheme to be announced soon, and take all action to recover any dues, the Central Bank said in a statement.

These measures were being taken under new provisions of the Banking Act, empowering the Monetary Board of the Central Bank to vest the business of Pramuka in the state bank and formulate a scheme to meet claims.

The Sri Lanka Savings Bank Ltd., located at 110, D S Senanayake Mawatha, Colombo 8, "will carry on the business of accepting time and savings deposits from the public and investing such funds in government securities," the Central Bank said.

All properties, assets, liabilities, rights, contracts, etc. relating to the business of Pramuka Bank will be a part of the business of Sri Lanka Savings Bank Ltd.

The scheme for settling depositors' claims will be published in the newspapers once the Board of Directors of Sri Lanka Savings Bank Ltd. gives its consent, the statement said.