Court Orders Arrest of Senior Officials in LKR 13 Billion Bank Fraud Probe

The Colombo Chief Magistrate, Asanga S. Bodaragama, has ordered the Criminal Investigation Department (CID) to arrest any senior officials, including directors, of a leading private commercial bank found to have aided and abetted a LKR 13 billion fraud. The alleged fraud, which occurred through the bank's general ledger account between 2024 and March 2026, prompted the Magistrate to also demand a detailed report on any suppressed Central Bank recommendations related to the incident. Four suspects, including a businessman, have been remanded in connection with the case, with the CID authorized to record their statements. However, the CID's Computer Crime Investigation Division informed the court that no internal or external audit reports pertaining to the problematic section of the fraud were found within the bank, despite previous court orders for their submission. The court has also ordered statements from five bank officials involved in data entry and an investigation into all internal audit reports from 2024 to present.