Legal action has been taken to liquidate a US company in real estate, subsidiary of the failed Ceylinco Shriram group, in an effort to return all Ceylinco funds invested in the company, to Sri Lanka.
A civil case has been filed by some shareholders at the Columbia Civil Court to liquidate Ceylinco Real Estate Holdings LLC USA.
A senior official of the Attorney General’s Department said, action has been filed against the directors of the company - Lalith Kotelawala, Sicile Kotelawala, Hiran de Silva and Punarjeewa Karunanayake, and also Philip Howell, another shareholder and US-based Wachavio Bank. Investigations have revealed that Mr Karunanayake and Mr de Silva had objected to the sale of the assets of the US company and returning the funds to Sri Lanka and instead had planned to keep these assets in their second US subsidiary, Sri Lanka Travel INC.
The official said that a sum of US$ 1.1 million has been sent to Ceylinco Real Estate Holdings,USA violating Sri Lanka’s exchange control regulations with Mr Karunanayake being questioned by the Central Bank on this matter recently. The US company has been placed in trust with the District of Columbia Court System until further notice for liquidation, dissolution or reorganization with respect to Ceylinco Consolidated funds and collateral interest. |
E-mail