Day 25 of the Presidential Commission of Inquiry:

Assistant Director of the Central Bank Sepala Ratnayake, providing evidence before the Commission made deliberations on the Tender Board meeting of February 27, 2015.

Ratnayake expressed  shock when he was informed that the option sheet presented to the meeting was an amended one, and that the original option sheet recommended the bank accept 2.6 billion in bids from the auction.

In his evidence, Ratnayake protested and raised concerns over Arjuna Mahendran’s directive to accept Rs. 10.058 billion in bids.

He said, he did so considering the cost that the government would have to incur.

When questioned by the state on what would happen if such an amount was accepted, the witness said it would cause market interest rates to increase.

The witness was also questioned on the collapse of Golden Key, as it happened when Ratnayake was serving in the Department of Supervision of the Non Bank Financial Institution.

He said at the time that due to legal limitations, the Central Bank of Sri Lanka could not take legal action on Golden Key. He stressed, there were no regulations to control or regulate it.

• CMG begins “75 Days to Celebrate UDHR75”
• The Dance of Gaja, a documentary by News 1st, showcases Sri Lanka’s potential for tourism
• IMF Review on Sri Lanka : Key Take-aways
• Watch a Special episode of The People’s Platform. IMF in Sri Lanka : Beyond Ticking Boxes
• Despite signs of stabilization, full economic recovery not yet assured – IMF Mission