Dec 30, 2008 (LBO) – Three new directors has been appointed to Sri Lanka’s Seylan Bank, which was put under the control of a state bank by the monetary board, a media report said. Experienced banker E Narangoda, who was earlier at state-run National Savings Bank had been appointed chairman, The Island newspaper said. Lalith Withana and Neomal Gunawardena have been appointed directors with two vacancies yet to be filled, the report said.
Seylan Bank’s board was dissolved by the Central Bank Monday and put under state-run Bank of Ceylon.
Sri Lanka’s Ceylinco group which controls the bank has announced that it was selling out to repay customers of a group company which had run into a crisis.
Depositors had been withdrawing money from Seylan Bank amid uncertainty and the Central Bank said it was taking action to stabilize the system.