Justice for depositors
View(s):This is to highlight the injustice caused to depositors by a company called Ceylinco Investments and Realty, a company operating from No: 277, Union Place, Colombo 2. Being a Ceylinco company many investors had invested their hard earned savings in this cmpany. However, this company defaulted and refused to pay depositors interest on their deposits as well as the principal sums invested by them. This was in January 2011.
Defaulters complained to the Central Bank but in vain. To add insult to injury the Central Bank gave approval to this company to operate under a new company called Standard Credit and Finance Ltd, at the same address without ensuring that the depositors of the failed company be given relief. According to information the failure of Ceylinco Investments and Realty was due to fraudulent conduct by the directors and lack of supervision by the Central Bank. The Central Bank is a public institution and is maintained by public funds. The present position of the depositors is that they are still without relief.
Thereafter an institution by name of “Action Team of Depositors of Standard Credit” came forward and informed the depositors that it will fight for the rights of the depositors, held a few meetings collected money from the poor depositors to take matters to court but now says that the court has dismissed the claims of the depositors. This cannot be so and therefore it is suspected that this so called action team is an agent of the directors of the defaulting finance company.
The government spends vast sums of money on various projects. The Central Bank which has failed to properly supervise the finance companies has contributed to the woes of the depositors. It is the duty of the government and the Central Bank to ensure relief to these depositors who have been reduced to penury.
Anthony Rodrigo
Aluthmawatha Road,
Colombo 15.