Dubsy Prabasaran Kanagaratnam

Dubsy Prabasaran Kanagaratnam, Managing Director of George Steuart’s among Sri Lanka’s oldest companies, has been declared bankrupt by a British High court and its reciprocal enforcement in Sri Lanka was allowed by the Colombo District Court, court documents show.

However the order and proceedings of the Colombo District Court on May 2, 2008 was stayed till September 1, 2008 by the Colombo Civil Appellate Court after lawyers for Mr Kanagaratnam petitioned the court, contesting the issue. Four years ago on January 14, 2004, a British High Court issued an order declaring Mr Kanagaratnam, who had businesses in the UK, as bankrupt. His trustee in bankruptcy is Michael Solomon of Regents Park Road, London. The process was however delayed due to years of correspondence and allegations that Mr Kanagaratnam was absconding.

George Steuarts was also informed of the action and asked to take cognisance of it in terms of the accused’s shares in the company, the documents show Then on May 2, 2008, the Colombo District Court has asked to register the judgement of the British High Court declaring Mr. Kanagaratnam bankrupt and for reciprocal enforcement in Sri Lanka. This order was made under the provisions of the Reciprocal Enforcement of Judgments Ordinance No. 41 of 1921 by considering an appeal made by lawyers appearing on behalf of his trustee in bankruptcy, Mr Solomon.

Documents exchanged between the trustee and George Steuarts show that repeated requests made by Mr. Solomon to transfer the shares of Mr Kanagaratnam in George Steuart’s and hand over his assets in Sri Lanka under the provisions of the Insolvency Act went unheeded, disregarding his obligations to his trustee and creditors as alleged by the trustee. Mr. Kanagaratnam holds 34 percent or 625,000 shares in the company.