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Apr.24 (LBO) – The District Court Monday turned down a request by Malaysian based investor A P Jagaiah to postpone the NDB Bank’s annual general meeting.

-LBO Newsdesk Jagaiah sought legal recourse after NDB Bank refused to register 9.36 percent or 5.2 million shares owned by him, the bank said in a statement.

In a letter to HSBC International Nominees Ltd-Credit Suisse Zurich Catana Ltd, NDB’s Company Secretary C L Jayawardena sought clarifications on who the ultimate beneficiary of the shares were and if Jagaiah were connected to GoldQuest International Ltd.

GoldQuest’s marketing plans have been investigated by the Central Bank under Sri Lanka’s anti-pyramiding laws.

“The Central Bank is presently said to be investigating the recent large purchases of shares by investors who may have contravened banking regulations, and be connected to the controversial company Goldquest, which is under investigation,” NDB said.

GoldQuest is believed to have picked up the NDB parcel from Janashakthi Group recently by allegedly using Credit Suisse and Fast Gains as a front.

Current Banking Laws limits single ownership to 10 percent