Ravi K admits longstanding friendship with Arjun Aloysius 

Foreign Minister Ravi Karunanayake appeared before the Commission of Inquiry on the Central Bank bond issue on Wednesday, in a widely-awaited move, after evidence surfaced last week that Arjun Aloysius, whose company Perpetual Treasuries is implicated in the bond scam, paid the minister’s apartment lease.

During the course of the morning’s proceedings, the Attorney General’s team of lawyers in addition to other matters sought to establish the connection between Karunanayake, former Finance Minister, and Aloysius.

In his evidence, Mr. Karunanayake said that the need to raise Rs. 75 billion to pay contractors of road development projects was emphasized at a meeting held at the Central Bank on February 25, 2015 as the Treasury was facing serious cash flow problems at that time.

Answering questions from Additional Solicitor General (ASG), President's Counsel Dappula de Livera, he said he gave a letter in May or June 2016 at the request of the then Central Bank Governor Arjuna Mahendran indicating that there is an urgent  need to raise money.

He also submitted documents pertaining to the financial position at that time for the reference of the commission. Giving evidence, Minister Karunanayake admitted that he and his family has had a long-standing friendly relationship with Arjun Aloysius, director of Perpetual Treasuries Ltd and his family.

ASG de Livera tabled details of SMS received and sent from Mr. Aloysius’s mobile phone which had some references to a name RK and Ravi K soliciting some financial favours from BoC (Bank of Ceylon).

But the minister said that he has no idea about the contents of those SMS. He told the Commission that he has resigned from all directorships in around eight companies and his wife and daughter are heading those companies since January 2015.

Answering a question as to whether he met Mr. Aloysius on his visits to Singapore 13 times during March to December 2016 as the latter had the same itinerary during that period, Mr. Karunanyake said that he met him one or two occasions specially during the Sri Lanka Investment Summit in Singapore in March 2016. Perpetual Treasuries was one of the prime sponsors of the summit, he said. (Bandula)