With the completion of the sale of Ceylinco Ceysands Hotel, depositors of the failed Golden Key Credit Card Company (GK) are now receiving the second repayment of Rs.100, 000 or 75% of their deposit, whichever is higher.
The Central Bank (CB) has posted cheques of Rs.100, 000 each to around 7,000 depositors with around 800 more eligible deposit holders to receive the second installment, CB officials said. The star-class but run-down hotel at Bentota was sold to the Softlogic Group for Rs. 925 million. However with other stakeholders also getting their due share, only a sum of Rs. 600 million has been channeled to the dedicated fund set up to repay depositors, who are struggling to survive due to the loss of their interest income of GK.
Around Rs 850 million will be required to make the second round of repayments, as directed by the Supreme Court. Cardholders who have more than one investment under the same name will be treated as a single depositor and be entitled to only one repayment on the basis of 100,000 rupees or 75% of their deposit, the officials revealed.
This effectively means that, a depositor who had invested Rs 500,000 in five separate accounts under his name (and NIC number) will receive only Rs 100,000, they added.
The first phase of the repayment of security deposits involving Rs 772.93 million for GK depositors has been completed, the Committee of Chartered Accountants has reported. Some 7,838 security deposit holders received this payment.
Two years and four months have elapsed since the GK crashed and the majority of depositors have so far received two payments of Rs. 100, 000 each on the same basis in terms of the quantum. |
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