BREAKING: Supreme Court Clears Way for Prosecution in Bond Scam

COLOMBO (News 1st); The Supreme Court today (1) set aside a previous order issued by the Colombo High Court Trial-at-Bar, which had ruled that charges filed under the Public Property Act could not be maintained against the accused in the 2016 Central Bank bond issuance case.

The case relates to allegations that government funds were misused during a bond issuance carried out by the Central Bank of Sri Lanka in March 2016.

The Attorney General had filed indictments against a group of defendants, including Perpetual Treasuries Limited, former Central Bank Governor Arjuna Mahendran, and former Finance Minister Ravi Karunanayake, among others.

The Colombo High Court Trial-at-Bar had earlier determined that charges under the Public Property Act could not be sustained against the accused.

However, following an appeal filed by the Attorney General, the Supreme Court has now overturned that decision.

The ruling was delivered by Supreme Court Judge Mahinda Samayawardhena, with the concurrence of Chief Justice Preethi Padman Surasena and Justices Shiran Gooneratne, Achala Wengappuli, and Arjuna Obeyesekere.

In its decision, the Supreme Court held that the charges filed under the Public Property Act could indeed be lawfully maintained against the defendants, including Perpetual Treasuries Limited.

The Court further directed that the case be expedited and heard without delay.

The 2016 Central Bank bond issuance controversy remains one of the most debated financial scandals in Sri Lanka’s recent history, with allegations of large-scale financial irregularities and abuse of public funds.