Four managers of private commercial banks have been arrested over an alleged racket in which about US$1 billion was transferred out of Sri Lanka without any goods being imported in return, police said on Monday.
The arrests were made by the Financial Crimes Investigation Division (FCID) of the Criminal Investigation Department following a special investigation, Ada Derana reported. All four managers, each from a different private bank, were taken into custody at their respective branches.
Police said this is the first time bank managers have been arrested in Sri Lanka in connection with a case of this kind.
Money changer at the centre of the inquiry
Investigators allege the funds were moved abroad through a money exchange business in Colombo’s Fort area, with no corresponding imports arriving in the country, according to Ada Derana and Hiru News. Daily Mirror described the case as a racket in which an estimated US$1 billion was illegally transferred out of Sri Lanka to foreign countries, and said the four managers were from leading private banks.
Weekly payments alleged
Investigations have revealed that the main individual allegedly behind the operation made weekly payments to the four bank officials, all three outlets reported. The sums cited were Rs. 30,000, Rs. 50,000 and Rs. 100,000 per week at different instances.
One of the four arrested managers is also alleged to have received a payment of around Rs. 1 million on a single occasion.
Neither the banks involved nor the money changer has been named, and no charges have yet been filed in court. Further investigations are being conducted by the FCID.
