The repayment plan of troubled finance company Ceylinco Shriram, has been disputed by its depositors amidst claims by the Central Bank that ‘it may be implemented’.

According to a press notice published by the Central Bank on Monday, steps should be taken to recover Rs.300 million by disposing assets, of the company such as quoted shares earmarked for disposal. The total value of assets of the company is in the region of Rs.821.76 million. The value of immovable property including software in use is Rs.187.67. The repayment plan prepared by Wealth Lanka Company proposes to make repayment amounting Rs. 6,850 million for around 4,000 depositors within 45 months.

However, President of the Ceylinco Shriram Depositors Association Senarath Wimalasena told the Business Times that the repayment plan cannot be implemented because there was no money for repayment and the full audit of the company has not been completed. He said the Central Bank informed the Supreme Court that it was impossible to pay a sum of Rs. 5.7 billion out of the total amount of Rs. 6.8 billion due to depositors from the assets of Ceylinco Multi Finance, Ceylinco Shriram Asset Management and Ceylinco Shriram Securities owing to discrepancy in accounts. The Court also issued a directive to investigate into assets and liabilities of 22 other subsidiary companies of Ceylinco Shriram.

He added that they have submitted a proposal to the 3-member accountants committee on a directive of the Supreme Court requesting the authorities to repay depositors on an equal percentage basis. The Central Bank should consider their proposal before taking a decision on the implementation of the re-payment plan in accordance with the Supreme Court order, he said. According to the Central Bank, there were no records on dues amounting to Rs.4.8 billion to be recovered by Ceylinco Shriram Securities Holding Company. Under these circumstances only a sum of Rs. 100 million could be recovered by selling assets of Ceylinco Multi Finance, Ceylinco Shriram Asset Management and Ceylinco Shriram Securities.