The four former Directors of Edirisinghe Trust Investments (ETI) Finance Limited, who were arrested by the Criminal Investigations Department, were further remanded till January 15 by Colombo Chief Magistrate Mohommed Mihail yesterday.
They were arrested last Friday by the Criminal Investigations Department on the directive of Attorney General Dappula de Livera on charges of criminal misappropriation, cheating, money laundering and other offences at ETI Finance.
They are Jeevaka Edirisinghe, Anjali Edirisinghe, Asanka Edirisinghe and Nalaka Edirisinghe, who served as Directors of ETI Finance and Swarnamahal Jewellers.
When the matter was taken up before the court yesterday, senior Deputy Solicitor General Haripriya Jayasundara appearing on behalf of the Attorney General’s Department told court that ETI Finance has defrauded deposits worth over Rs. 13 billion.
As per the report of the Presidential Commission of Inquiry appointed to probe the matter, the directors of ETI Finance have violated the sections of penal code pertaining to fraud, criminal misconduct, criminal breach of trust, and money laundering, the Senior Deputy Solicitor General added.
The Senior Deputy Solicitor General further stated that the ETI Finance had maintained undisclosed accounts which were not subject to Central Bank regulations. Nearly 43,000 depositors had already deposited money in ETI Finance by then, SDSG Haripriya Jayasundara added.
However, the ETI Finance had defrauded money while continuing to accept deposits in violation of the restrictions imposed by the Central Bank, the Senior Deputy Solicitor General noted.
The directors of ETI Finance have utilized the money defrauded from the depositors for renovating cinema halls, purchasing vehicles and charity events, she also added.
The Central Bank had appointed a Board of Management in 2018 to manage these institutions and halted accepting of deposits, the Senior Deputy Solicitor General said, noting that the total sum of money owed by ETI Finance to depositors stands at over Rs.13 billion.
SDSG Jayasundara pleaded to issue a travel ban on four suspects. She also noted that suspects may abscond court if they were granted bail.
Counsel appearing on behalf of the suspects pleaded to release their clients on bail.
State Counsel Chathuri Wijesinghe, Tashya Gajanayake, Senior State Counsel Lakmini Girihagama with Senior Deputy Solicitor General Haripriya Jayasundara appeared on behalf of the prosecution.
President’s Counsel Anuja Premarathne with attorneys Anura Seneviratne and Asela Rekawa appeared on behalf of the four suspects. Senior Counsel Ashoka Weerasuriya appeared on behalf of the depositors.
Taking the submissions into consideration, the Magistrate fixed the order for January 15.
