Sri Lanka: EPF Defaulter Lakshaman Bandaranayake to sell LBO for EPF-Bond Deal Maker Perpetual Ranjan Hulugalle

Stock Broker Ranjan Hulugalle to Bailout EPF Defaulter cum Sarvodaya SEEDS Chairman Lakshaman Bandaranayake 'Before Bond Deals' with Arjun Aloysius

Sri Lanka’s foremost leak site Colombo Stock Exchange Leaks – CSE Leaks now have come to reveal another ‘Deal in the Offing’.

Lakshaman Bandaranayake

Accordingly Sri Lanka’s so called ‘Philanthropist’ Sarvodaya Founder Dr. A.T. Ariyaratne owned unregistered Microfinance financial arm Sarvodaya SEEDS’ Chairman turned former Vanguard Founder Lakshaman Bandaranayake who was scouting to sell his Vanguard 4 websites including LBO, LBR, Vimasuma and ColomboSpirit for over Rs.500 million in ‘An Unworthy’ deal thinking LBO is a 'Sri Lankan Social Media Icon' has now come to a negotiation to sign a ‘Deal’ to sell the Vanguard for First Guardian Equities – Director Equities Ranjan Hulugalle who is also a shareholder of the First Guardian Equities. Ranjan Hulugalle had recently joined 'Perpetual Group' of Companies of Sri Lanka's emerging 'Bond King' Arjun Aloysius - the Grand Son of Sri Lanka's Kattar Aloysius - and Arjun Aloysius had committed the largest 'Bond Fraud Deal' with his Father-In-Law Sri Lanka's present Central Bank Governor - Arjuna Mahendran on 27th February 2015 which will come to light soon. 

Prof. Rohan Samarajiva

Dr. Harsha De Silva

According to Employees and Insiders of Vanguard, and Officials of EPF; Lakshaman Bandaranayake the Founder of Vanguard has defaulted over Rs.5 million to Sri Lanka’s Private Sector Worker’s Savings Fund - Employees Provident Fund (EPF) without paying his employees dues for EPF and over Rs.20 million as Employees salaries; in which he fired several employees of Vanguard and let employees leave without paying their salaries from 2010 onwards. These EPF defaults had been committed by Lakshaman Banadaranayake despite Lakshaman Bandaranayake heavily promoting ‘So titled Not So Transparent- EPF Stock Market Deals’ on his Vanguard owned LBO, LBR and Vimasuma where his Chief Editor (who was mainly paid by United States New York Former Mayor Michael Bloomberg owned Bloomberg operations in Sri Lanka) heavily promoted UNP Member of Parliament Dr. Harsha De Silva who was then an Independent Economist at LIRNE Asia. By promoting Dr. Harsha De Silva on LBO,LBR and Vimasuma Lakshaman Bandaranayake the EPF Defaulter brought and articulated Dr. Harsha to become an UNP Politician after his not so Economical career at DFCC Bank and LIRNE Asia and as a gift Lakshaman Bandaranayake  the EPF Defaulter got a Director post at LIRNE Asia from Dr. Harsha De Silva and LIRNE Asia Founder Prof.Rohan Samarajiva fame. Lakshaman Bandaranayake presently is the Chairman of Sarvodaya SEEDS (Sarvodaya Economic Enterprise Development Services (Guarantee) Ltd) that owns Deshodaya Development Finance Company (DDFC) that seeks a listing through its merger and acquisition of George Stuart Finance PLC (which was concluded late last year).

First Guardian Equities (FGE) is one of the premier stockbrokers in Sri Lanka. A licensed trading member of the Colombo Stock Exchange, FGE focuses on a sound synergy between finely honed market research and avant-garde financial consulting in providing customized solutions to address clients imperative financial and investment needs. First Guardian Equities is the only Stock Brokering firm operating on the Colombo Stock Exchange with an International Certification for Systems Standardisation - ISO 9001-2008 from Moody International - UK.

Ranajn Hulugalle

A US-based Sri Lankan lawyer and President of Hulugalle Capital, a Las Vegas based fund management company, Ranjan Hulugalle is a Registered Investment Advisor, advising clients on wealth management, estate planning, and wealth transfer services in the United States. He has a Bachelor of Science degree with a concentration in Biology from Loyola Marymount University, as well as a Juris Doctorate and MBA from Georgetown University. Being a lawyer by profession he is a member of the Washington DC Bar. Hulugalle Capital is housed at 2487, Emerald Avenue Las Vegas, NV 89120, Phone: (702) 987-4607.

Accordingly market analysts stresses this as a more ‘Inside Deal’ that gives Win-Win Situation mostly to Lakshaman Bandaranayake where he will back Arjun Aloysius's 'Bond Frauds' by 'White-Washing' articles written by his LBO.lk editor Chamath Ariyadasa whilst EPF Department Insiders says that Dr. Harsha De Silva has promised to remove Lakshaman Bandaranayake’s name from EPF Black Listed ‘Big Black Book’ that lists EPF Defaulters and remove Lakshaman Bandaranayake’s name from Credit Information Bureau of Sri Lanka (CRIB) where Lakshaman had been listed as bank loan defaulter. These effects will take place before Lakshaman is eyeing to list Deshodaya Finance Company (DDFC) shares under George Stuart Finance PLC name in which case Ranjan Hulugalle has promised Lakshaman Bandaranayake to manipulate the share price of Deshodaya Development Finance Company (DDFC that appears as GSF or George Stuart Finance after listing) via First Guardian Equities and LBO, LBR, Vimasuma articles.

Further analysts note that Ranjan Hulugallle will soon do a deal with Colombo Stock Exchange to change the website via Ranjan Hulugalle's related company EFutures where EFutures will introduce a new Colombo Stock Exchange App soon for share trading to manipulate the market via a 'Mobile App' and 'Trading Algorithms Changing' to help Arjun Aloysius's manipulative trading in which case later Arjun Aloysius will buy the shares of EFutures to manipulate the country's only capital market and mislead the 22 million population of Sri Lanka.

Thilak Karunanaratne

Further, analysts and insiders at First Guardian Equities highlights that Ranjan Hulugalle has been scouting to sell his nearly 30% stake of First Guardian Equities with the new Deal Lakshaman Bandaranayake has agreed to finder a buyer or buy the Ranjan Hulugalle’s stake of First Guardian Equities under Deshodaya Development Finance Company or Sarvodaya SEEDS in which Lakshaman Bandaranayake the EPF Defaulter lead Deshodaya Development Finance will own a Stock Brokering company. 

Daya Muthukumarana 

In another development Sri Lanka's Central Bank and Financial Market Investigators pointed out that Sarvodaya SEEDS and Deshodaya Development Finance former Chairman Dayananda Muthukumarana has submitted a 'Fraud' Audit report in 2011-2012 era to receive the official Non-Banking Finance License for Sarvodaya SEEDS lead Deshodaya Development Finance whilst former Director General at the Stock Market Regulator's house -Securities and Exchange Commission (SEC) Channa De Silva  is the present Deputy Chairman of Deshodaya Development Finance company.

Meanwhile Sri Lanka’s Stock Market Regulator - Securities and Exchange Commission (SEC) insiders say SEC may not carry out an investigation when Ranjan Huugalle and Lakshaman Bandaranayake manipulates shares of Deshodaya Development Finance and George Stuart Finance (DDFC and GSF) since Dr. Harsha De Silva’s Ministry looks after SEC, CSE and EPF and ETF where Dr. Harsha has appointed the ‘Bankrupted’ Touchwood Investments major shareholder Multi Chemi Exports Chairman  Thilak Karunaratne as the SEC Chairman.

SEC Banned front runner; alleged Manipulator Dinal Wijemanne’s friend Ravi Karunanayake sends a letter to COPE?

Ravi Karunanayake

The Colombo District, United National Party (UNP) MP -Sandresh Ravindra Karunanayake (Ravi K) has recently send a letter to Chairman, Committee On Public Enterprises (COPE) requesting him to summon officials of the Securities and Exchange Commission (SEC) and the Colombo Stock Exchange (CSE) over the fiasco in capital markets and boost investor confidence.

Investors praise at least one politician has woken up and at least written a letter thinking it would boost investor confidence. The Government, the Opposition and the Stock Brokers have not taken any significant steps to boost investor confidence here and abroad. The Government and Opposition politicians do not understand the Capital Markets and do not bother about it as it does not concern their electorates. They do also not know the importance of the Capital markets although it depicts the health of the economy.

The Opposition 'Big Talk' has successfully scared off all Government Institutions to stop even all legitimate purchases in the Stock Market when most company share prices have fallen over 50% from February 2011 to date. In fact the Opposition big talk has created over hundred thousand small investors cursing the Opposition while has been compounding losses for these institutions which have funds of the public.

The only good outcome of Opposition big talk is that the Government may at least now think of checking the theoretical media leaking officials of the SEC who are inefficient to take to task the "Pumpers & Dumpers" affiliated to the Government and the Opposition while some of the Stock Brokers  aiding and abetting manipulators also will be put into place.

However, the public laugh that the boosting investor confidence effort should not be commenced by Ravi K who does not know how to boost the confidence of investors. 

CSE Leaks learns that Late Lalith Athulathmudali’s that time proxy/nominee investor (it is a popular famous secret in cocktail circles) Ravi Karunanayake nourished Dinal Wijemanne at Ministry of Commerce and Consumer Affairs from 2001 under the United National Party Regime as the Director, Investments and Projects at the Ministry of Commerce and Consumer Affairs

Further, it is known in media circles and business  circles that the SEC Banned manipulator -Dinal Wijemanne CEO/ Director of Taprobane Securities was one time nourished as a top official under Ministry of Commerce and Consumer Affairs when Ravi Karunanayake was Minister of Commerce and Consumer Affairs of the Ranil Wickramasinghe led UNP Government in 2001. 

A report in Pakistan’s media outlines in 2002 that when a Pakistan delegation was invited to INTRAD 2002 exhibition organized by the National Chamber of Commerce & Industry in Sri Lanka Pakistani delegation had detailed discussions with a group of Sri Lankans led by Ravi Karunanayake and Prof. G.L. Pieris where Dinal Wijemanne represented Ministry of Commerce and Consumer Affairs as Director, Investments and Projects. 

Go to Link : http://majydaziz.blogspot.com/2011/05/at-saarcs-1985-inaugural-summit-in.html

In another development in 2001 an ‘Expression of Interest (EOI)’ advertisement published behalf of ‘Mahapola Higher Education Scholarship Trust Fund’ in the Sunday Observer outlines that for any clarification to contact Mr. Dinal Wijemanne, Director - Investment and Projects, Ministry of Commerce & Consumer Affairs on telephone number 94-1-312152 or email address dinal@commerce.gov.lk . 

Go to Link: 

http://www.sundayobserver.lk/2001/pix/ad_so-mahapola.html & http://www.dailynews.lk/2001/pix/ad_cdn-mahapola.html 

It was during 2001-2004 UNP Regime that Sri Lanka Insurance Corporation (SLIC) and Lanka Marine Services Limited (LMSL) was privatised and PERC was under the guidance of UNP Minister Milinda Moragoda where Dr. P.B. Jayasundera headed it as the Chairman and at the same era Dinal Wijemanne also held the position of Senior Manager of the Public Enterprise Reform Commission (PERC).

That is why although Ravi Karunanayake and so called Independent Economists is not mentioning about Dinal Wijemanne in their ‘Big Talks’ in television channels and parliament” a top UNP source told CSE Leaks.

Accordingly although an Independent Economist onetime who always lost money by investing in the Stock market (according to DFCC sources who knew  him at the time he was a small banker at DFCC)  gave a ‘Big Speech about the ‘Controversial NSB-TFC Doomed Deal’ at the parliament recently and he was cautious enough to protect the  SEC banned stock broker Dinal Wijemanne’s  name throughout without mentioning Wijemanne's name. 

"Independent Economist mentioned about Dinal Wijemanne's boss - the Bond King turned Ajith Lasantha Devasurendra may be without knowing the small financial assistance by Devasurendra to United National Party (UNP) led by the Opposition Leader and UNP Leader Ranil Wickramasinghe prior to the 2005 November Presidential Elections" another UNP insider revealed to CSE Leaks.

Extract from Ravi K's letter to COPE- "Over the last five to six months the country’s economy has been traversing through some turbulent times. If these trying times are a result of uncontrollable factors and world economic meltdown being one of there we can console ourselves and accept it. However, if it is owing to arrogance, ignorance, corruption and manipulative practices where insider trading is being pursued by a few at the expense of the majority we need to expose and eliminate these white collar fraudsters.

You as the Chairman have been alive and responsive to our requests to act on institutions such as Central Bank, SriLankan Airlines, Ports Authority, Ceylon Electricity Board, National Savings Bank, Lankaputhra Bank, EPF and Bank of Ceylon, etc.

The recent development of the National Savings Bank and The Finance Company Ltd. share purchase transaction reversal has led to exposing many problems, this only being the ‘tip of the iceberg’.

We also should bear in mind and recall with respect Indrani Sugathadasa, who a couple of months ago tendered her resignation in disgust trying to ameliorate the wrongs that were happening in the Securities and Stock Exchange. Considering her close political affiliation, it is nothing but right to commend her bold act of protecting her good name and also honouring the dignity of high office by resigning to prove a point.

Therefore, let us not lose this opportunity to take cognisance of the fact of her resignation and summon the Securities Exchange, the Stock Exchange, the former Chairperson and the present Chairman, the former Director General, the present Directors General and the senior officers of both institutions before COPE for immediate investigation.

I would look forward to your usual prompt and favourable response in order to restore confidence among the Sri Lankan foreign investors and the citizens of our country.”

Sri Lanka investors praise Dr. P. B. Jayasundera's action in terminating ‘Controversial NSB-TFC Deal’ at Colombo Stock Exchange!

Sri Lanka’s Dr. Punchi Banda Jayasundera had now become a ‘Terminator’ in island nation’s ‘Controversial Deals’, investors at Colombo Stock Exchange told CSE Leaks.

“It is good I think when he stepped down from Treasury Secretary Position in September 2008 after the Supreme Court Judgement; he told media that he will be taking some rest at home reading books before taking up new assignments; so since he came back to the seat from end of September 2009 after filing a motion I think he has learned a lot about Good Governance from reading books” a source told CSE Leaks.

According to market analysts and general public becoming a ‘Terminator’ in Sri Lanka’s Controversial Deals; Dr. Punchi Banda Jayasundera this time took steps to block a ‘Deal’ that was going to earn some ‘Bucks’ to Bond King Devasurendra, Anura Fernando, Dinal Wijemanne and Pradeep Kariyawasam – The husband of Present Chief Justice Dr. Shirani Bandaranayake -

Dr.Jayasundera this time said the finance ministry will issue a circular to set up investment committees at state entities to make equity purchases through a defined process with exposure limits, after terminating the 'Controversial NSB-TFC Deal'

"A new circular on investment committees will be issued," Jayasundera told reporters after releasing the finance ministry's annual report recently on Thursday the 24th May 2012.

Jayasundera had said that there will be a process where the committee will be protected from interference. His comments came after the sale of stock in The Finance Company PLC (TFC) whose liabilities exceed its assets by Rs. 3.7 billion by December 2011 at over 65% above market price to state-run National Savings Bank (NSB).

Meanwhile ‘Controversial Deal Terminator’ Dr. Punchi Banda Jayasundera had said that said there was no interference by ruling politicians on this matter and that NSB had halted the deal after Jayasundera intervened.

“Jayasundera had said he had told the board of NSB to stick to the bank's core business while a committee had been appointed to investigate the deal”

In Sri Lanka resignations over financial scandals are rare according to general public comments. And people opine that the country does not have an independent civil service to ensure rule of law or justice as the institution of permanent secretary was broken by successive constitutions in 1972 and 1978 paving the way to arbitrary rule.

However Dr. Punchi Banda had highlighted that there were Treasury nominees in many state entities but they did not necessarily have expertise in stock purchases.

"There are people who know better in these institutions. Also government entities have to depend on market participants to make investments," he had said to reporters adding that "If there is a defined process it will protect everyone. These institutions also have to set exposure limits."

Dr. Punchi Banda Jayasundera had said there was a justification for long term contractual savings institutions, including the EPF to invest in stocks and that some state entities had also rushed into stock when interest rates fell to improve returns.

However after Dr. Punchi Banda Jayasundera intervened to ‘Terminate’ Controversial ‘NSB-TFC Deal’ according to him all except one director of National Savings Bank (NSB)  had resigned and Sri Lanka's post master general had been appointed and was acting as chairman of NSB until the appointment of a new board.

Reports outline that only four directors were needed for a quorum and senior career officers of the bank had been unhappy at the deal, according to reports.

Meanwhile several general public, concerned investors at Colombo Bourse say that ‘Controversial Deal Terminator’ turned Dr. Punchi Banda’s immediate intervention is needed to prevent repeat of several purchases of stocks done by the Employees Provident Fund , including investments in Galadari, Nawaloka Hospitals, Central  Finance PLC, Ceylon Grain Elevators, Diesel & Motor Engineering (DIMO), Brown & Company PLC, LOLC, Eden Hotel, Richard Pieris & Company and Colombo Dockyard since they have been controversial and most of the time the sellers have been the Bond King Ajith Devasurendra led cartel that including many of his companies and ‘EPF Deal Contractor’ former collapsed bankrupt tea company - Gold Quest connected Fern Tea Chairman - Anura Fernando, Now SEC banned stock broker Dinal Wijemanne, Kattar Aloysius Grandson Arjun Aloysius, former ceylinco money broker Harsha De Silva led Navara Capital and few others. Sources close to Bond King Ajith Devasurendra outlines that Ajith Devasurendra had discretionary powers on one billion Rupee worth trading portfolio of LOLC.

History of ‘Controversial Deal Temrinator’ turned Punchi Banda Jayasundera

Dr. Punchi Banda Jayasundera has been in the civil service for the last 33 over years. Prior to his appointment as the Secretary to the Treasury, he was Deputy Secretary to the Treasury from 1997-1999, Director General, Department of Fiscal Policy and Economic Affairs in 1995, and Economic Advisor in 1990. He held several senior positions in the Central Bank of Sri Lanka before joining the Ministry of Finance and Planning.

In addition to the office at the Ministry of Finance & Planning, Dr. Jayasundera has also held office as Chairman, Public Enterprises Reform Commission, Senior Policy Advisor, Ernst & Young, and as consultant to the IMF and the World Bank on country assignments.

Dr. Jayasundera holds a Master’s and a Doctorate degree in Economics (1984) from Boston University, USA, a Master’s degree in Development Economics (1979 – 1980) from Williams College, USA; and a bachelor’s degree in Economics (1973) and Phil Economics (1974) from the University of Colombo, Sri Lanka.

Sri Lanka Gonibilla Price Band creator- Royalist - Former DFCC Fund Manager now SEC Surveillance Director Chandu Epitawala creates a 'Market Devastating' Press Release?

Chandu Epitawala - Then

Industry sources outline that twice best performed Second best capital market in the world till early 2011 Colombo Stock Exchange started to collapse since August 2010 when former fund manager of DFCC Bank and Namal Asset Management, Chandu Epitawala who is the present Director Surveillance of Securities and Exchange Commission submitted a paper considering to put a 10% 'Price Band' or 'Gonibilla Theory' for rising Colombo Stocks and when Sri Lanka’s tall thin accountant type Sujeewa Mudalige of Pricewaterhouse Coopers (PWC) provided his expertise to hamper the broker provided credit for retailers.

According to SEC insiders more recently the same Gonibilla Price Band Creator Chandu Epitwala had done and created a stock market devastating sentence by writing in a SEC Press Release that said 'There is a General Rule Change which will Prohibit employees and Directors of all market intermediaries to trade (buy shares and sell within six months of buying) except in the case of IPO purchases. Investments (over 6 months) are allowed.

Chandu Epitawala - Now

This in turn will affect the stock trading done by Sri Lanka's top billionaires, stock traders and investors as they are board of directors of many market intermediaries.

It is learnt from a Press advertisement of SEC that several licensed Commercial Bank's including Commercial Bank PLC (COMB), National Development Bank PLC (NDB), Hatton National Bank PLC (HNB), Sampath Bank PLC (SAMP), Bank of Ceylon (BOC), margin trading providers such as Seylan Bank PLC (SEYB), Pan Asia Banking Corporation (PABC), Divasa Finance, Asia Asset Finance and Ceylon Investment PLC (CINV) and Ceylon Guardian Investment Trust PLC GUAR) are also falling in to the category of 'Market Intermediaries'  where some top billionaires of the island nation who trade daily on stock exchange are on the Director Boards.

  

According to market sources Chandu Epitawala's 'Sentencing' will affect some of the top Sri Lankan Billionaires and stock market traders in Sri Lanka including Mano Selvanathan, Hari Selvanathan, Ajitha De Zoysa, Alex Lovell, Ashok Pathirage, Bond King Ajith Devasurendra, CSE Chairman Krishan Balendra, Harry Jayawardena, Dilith Jayaweera, Nimal Perera, Dammika Perera, Ishara Nanyakkara, and Dr. Sena Yaddehige.

"This definition will let all these billionaires to hold on to their equities for more than six months" top stock market analysts said.

Chandu Epitawala Exposed!

Passed out from Royal College in 1979 and went Switzerland to pursue languages and a course in Hotel Management. Later in 1989 went US to pursue University education. Obtained bachelors degree from Hawaii Pacific University and MBA from University of Texas at Arlington. On his return in 1995, Chandu Epitawala joined a fund management firm and later got seconded to DFCC bank. In 2000 went to Seychelles to manage funds for a wealthy individual. On second return in 2002, joined Public Enterprises Reforms Commission (PERC) the privatizing arm of the government. After four years there, in 2005 joined the Securities and Exchange Commission where he work at present devastated the stock market by writing a 'Concept Paper on 10% Price Band which he submitted to SEC' according to insiders.

Was it the School Days ‘Match Fixing’ that helped them to do ‘Fixed Stock Market Deals’, Did these two individuals teach ‘Match Fixing’ to Sri Lankans?

Sri Lankan ‘Bond King – Ajith Devasurendra’ Exposed by industry analysts

Ajith Lasantha Devasurendra

NSB Chairman Pradeep Kariyawasam

Several stock market analysts and many retail and institutional investors of Colombo Stock Exchange has expressed concerns whether it was school day cricket experience that helped some top corporate executives in Sri Lanka’s finance sector to play out with hard earned savings of the majority of public or the tax paying citizen’s money in the island nation.

High on the heels of exclusive revelations of NSB-TFC Deal that involved former Browns group employee now influential personality who sits on NSB Board as Chairman Pradeep Kariyawasam and former money broker bond and securitization consultant Ajith Devasurendra; according to many investors of the island it has been probably the ‘Cricket’ the famous sport in Sri Lanka that had taught them to do ‘Unethical Fixed Stock Market Deals’

Cricket has been a much popular game in Sri Lanka and since post 1996 ‘World Cup’ island nation’s several cricketers have come in to the spotlight of ‘Match Fixing’ among international and local community.

However several cricket fans and the general public had now  raised concerns and curiosity with latest developments in Sri Lanka’s financial and capital market industry whether the money management of the country has gone into a few  good old school cricketers who played for Sri Lanka’s premier Boys School in Colombo 07 (which nourished top professionals and politicians in the country) at a time when Sri Lankan’s did not know about match fixing.

Match Fixing is termed to be a dishonest activity to make sure that one team or an individual wins or lose a particular sports match while several sport deal makers get money in ‘Underhand Deals’.

In fact former money broker and First Capital Group Chief Executive officer (CEO) Ajith Lasantha Devasurendra was ‘Stylish Right handed middle order batsman and Right-arm off-spin bowler and headed the Royal College of Colombo’s 1981 Cricket Team.

And former Sri Lanka Insurance Chairman (SLIC) now National Savings Bank (NSB) Chairman Pradeep Kariyawasam who was a player in Royal College Cricket Team was also the Vice-Captain of the Royal College Past Pupils Cricket Team in 1980 when the school was celebrating the 100th Celebration of ‘The Battle of The Blues’. Pradeep G. S. Kariyawasam was in fact  a Third year player and Right handed opening batsman and scored several half centuries in School Cricket history of Royal College Colombo. Kariyawasam’s brother Prasanna N. S. Kariyawasam also captained Royal College Cricket Team in 1975.

Ashantha De Mel

On another development it is surprising to note that another cricketer from the same school; Ashantha Lakdasa Francis De Mel (born 9 May 1959, Colombo) who was involved in Sri Lanka’s controversial oil hedging deal that lead the country to lose billions and also lead some local and international banks in the country to report billions of losses when Ashantha De Mel was the Chairman of state owned oil utility Ceylon Petroleum Corporation.

Ashantha De Mel is a former Sri Lankan cricketer and selector for the national team. He was one of few Sri Lanka bowlers in the 1980s who could get the ball to anything above medium pace, and he was also said to have the ability to get the ball to swing out. He only played one Test match outside the Indian subcontinent, which may explain why his Test average is so high, as conditions there are generally not thought suitable for swing bowlers. He often made small contributions with the bat, and only made ducks three times. He was educated at Isipathana Vidyalaya Colombo up to ordinary level and then moved to Royal College Colombo.

How did Ajith Devasurendra became ‘The Bond King of Sri Lanka’

According to market analysts, primary dealers and top investors in the country Ajith Lasantha Devasurendra has earned the name "Bond King" as he leveraged in billions and bought bonds.

Rohini Nanayakkara

Ajith Lasantha Devasurendra currently serve as the Managing Director and Chief Executive Officer of Taprobane Holdings Limited. Mr. Devasurendra earlier served as Group Chief Executive Officer of First Capital Group prior to his position at Taprobane. According to reports he has over 30 years experience both in Sri Lanka and overseas in the financial sector. Several Sri Lankan financial reports outline that Devasurendra was also instrumental in pioneering the money broking and Government Securities markets in Sri Lanka and he had served as a consultant to PricewaterhouseCoopers, Bombay. 

However, a former Chief Executive (CEO) of First Capital recently explained to CSE Leaks how Ajith Devasurendra was so bold in becoming the 'Bond King' of Sri Lanka. “Ajith Devasurendra gave a room in the First Capital premises to Mano Tittawala, when he was the Chairman Peoples Bank and put a First Capital employee as the head of the Treasury in Peoples Bank. Then got a high leverage for his large purchases and when the Bond Prices collapsed Devasurendra sold all the Bonds to Peoples Bank.”

This is how Devasurendra started his ‘Bond King’ career in island nation by letting state owned banks (that has public deposits) to run into billions of losses.

“Following years later Ajith Devasurendra got leverage from Head of Treasury of Seylan Bank and when the next time the Bond prices collapsed Devasurendra sold all his personal Bonds to First Capital making First Capital loose a few hundred millions” our source said.

Dharma Dheerasighe

Our source went on to say that finding about when Ajith Devasurendra’s ‘Fraudulent White Collar Criminal Activities’ – “Ajith Devasurendra who was then Managing Director of First Capital and its Chairperson Rohini Nanayakkara were going to be charged by the Chairman S. K. Wickramasinghe and Hemeka Amarasuriya but before that they left the company and sold their shares to Singer Group and Sumith Guruge.” 

According to our sources there after Rohini Nanayakkara introduced popular vehicle dealer Ishara Chinthaka Nanayakkara and they all started the Taprobane Group with Rohini Nanayakkara as the Chairperson and appointing her also to the LOLC group as the Chairperson. Several industry sources also outline that an Assistant Governor of Central Bank who is now the Deputy Chairman of Commercial Bank PLC Dharma Dheerasinghe was instrumental for ‘Ajith Devasurendra’ having the best information to be regarded as the "Bond King".

Dharma Dheerasinghe served as the Deputy Governor of the Central Bank since May 2009. Prior to this he was the Assistant Governor since 2004.

From September 2007 to January 2010 he was released to the International Monetary Fund (IMF) where he served as the Alternate Executive Director for Bangladesh, Bhutan, India and Sri Lanka.


In another development it is now learnt by CSE Leaks that Dharma Dheerasinghe's wife now an Assistant Governor of Central Bank was managing and overlooking the Investment rationals of country's largest Pension Fund Employees Provident Fund (EPF) being the Superintendent of EPF. One time since 2009 Ajith Devasurendra lead fame including Ishara Nanayakkara, Arjun Aloysius, Navara Capital lead Harsha De Silva 'Dumped' so many stocks to making EPF the cash 'Pump' by getting rich at the expense of Sri Lanka's working populations hard earned savings. 

Malik Cader

 Meanwhile, top insiders said to CSE Leaks that ‘Ajith Devasurendra’ celebrated his last Birthday as a ‘King’ at Eden Hotel (before closing it down for refurbishments’ with  taking out for the weekend all those who helped him in hundreds of corrupt transactions in the last few years. The invitees included former up-stair kicked shame vested interests pursued regulator Malik Carder - who protected Ajith Devasurendra and his CEO Dinal Wijemanne in dozens of ‘Pump & Dump’ Colombo Stock Exchange ‘Scams.’ Some opine that Malik Cader finally invested some money he earned by protecting these individuals in Ajith Devasurendra lead investor consortium owned " Amethyst Resort" in Passikudah which is a unit of Amethyst Leisure (Pvt) Ltd.

Not the First ‘White Collar Crime’ together!

Bar Tenders’ circles and Cocktail circles in Colombo outlined to CSE Leaks that NSB Chairman Predeep Kariyawasam and Ajith Devasurendra were finalizing the terms at the Pub at Excel World the day before the corrupt transaction of The Finance shares being bought by NSB happened. However, Ajith Devasurendra and Dinal Wijemanne have been in the last two months planning and going through all hurdles to sell The Finance shares to NSB said a close confidant of a Director of NSB, to CSE Leaks.

“This is not the first time Pradeep Kariyawasam and Ajith Devasurendra created a mess in a large Government Financial Institutions. When  Kariyawasam was the Chairman of Sri Lanka Insurance Corpaoration (SLIC) , Ajith Devasurendra had got Pradeep Kariyawasam recommend to buy a portion of NDB (National Development Bank PLC) for LOLC when the other Directors said what was approved was to buy NDB shares via SLIC and Employees Provident Fund (EPF) in 2009.

According a then SLIC served top Director; SLIC that time got the approval from Treasury Secretary Dr. P.B. Jayasundara  to buy up to a nearly 16% of NDB Bank (NDB Bank shares held by Vijay Eswaran led Gold Quest) through SLIC and EPF at an attractive price.

“However that time going against the SLIC Investment Committee and Boar Approval Pradeep Kariyawasam –Chairman of SLIC – September to December 2009 - went alone and promoted a part stake of NDB to LOLC” our source told.

“Kariyawasam was on his own and he was disagreeing on many board decisions that were favoured by majority of board members. So we decided to bring this issue to note for higher authorities. Finally the Board was dissolved and Pradeep Kariyawasam was tipped to be the NSB Chairman through influence” the same source told to CSE Leaks adding Kariyawasam had done so many controversial deals at SLIC too.

How Will They Cancel TFC-NSB Deal on Today-Exclusive

Sri Lanka’s famous ‘King of Bonds’ former money broker Ajith Devasurendra lead Taprobane Holdings own Taprobane Securities which was recently involved in the controversial The Finance Company (TFC) and National Savings Bank (NSB) deal will soon announce its clarification on the cancelation of the ‘Deal’ today to Colombo Bourse, CSE Leaks learn.

“Accordingly ‘King of Bonds’ Ajith Devasurendra articulated and pioneered Taprobane Securities will write a letter requesting the transfer of shares of TFC from NSB Custodian account to Taprobane Securities Suspense Account’ market analysts told CSE Leaks.

“Further thereby Sampath Bank will get the opportunity to recover the loss of over Rs.390 million  and the market would return to normal” the analysts added.

Earlier CSE Leaks reported that Sri Lanka's state owned public deposit rich National Savings Bank bought a 13.02% stake of former Ceylinco owned oldest finance golden house of the island The Finance Company PLC (TFC) on 27 April 2012; after the transaction a filing by Sri Lanka's former Money Broker and Bond marketer Ajith Devasurendra lead Taprobane Securities said. However it is now been a question while Sri Lanka’s Bond Market Pioneer Ajith Devasurendra had represented the mother entity Taprobane Holdings’ Director Board, sources outline that Devasurendra had not been representing the board of Directors of Taprobane Securities, the stock brokering arm which Devasurendra’s junior Dinal Wijemanne-one of TFC Directors who shed shares to NSB at a premium price-is the CEO/Managing Director position of the entity.

On 27^th April National Savings Bank had bought 7,863,362 ordinary voting shares of TFC at an average price of Rs.49.74 per share. TFC was the largest contributor to the day's turnover with Rs.394.09 million and a total of 7,982,705 shares traded via 58 trades. Several crossings were done whilst TFC stocks changed hands in parcels of 2,904,983  and 4,237,400 shares at Rs.50 per share and 701,761 shares at Rs.45 per share whilst the sellers were believed to be Taprobane Securities CEO Dinal Wijemanne, Raynnor Silva and former Chairman of failed Tea Company Fern Tea Nirmala Anura Fernando who sold 50,000 shares at Rs.45 per share. Yogananda Perera and Nandadeva Perera who held TFC shares also sold their quantities on the same day whilst the TFC share opened at Rs.30 on April 27, and during the month of April, the TFC share had been trading between Rs.30-32.50.

On another development The Finance Company PLC (TFC), whose some directors are involved in a controversial share transaction National Savings Bank (NSB) made a quite surprising disclosure of a share purchase transaction of TFC shares by its Director Dinal Wijemanne who is also the CEO of Taprobane Securities. The disclosure which is as old as 3-weeks said Dinal Wijemanne the director recently sold nearly little over 2.9 million shares at Rs.50 on 27th April; had bought  4,983 shares at Rs 30 per share on 16th April, 2012 just one and half weeks before the selling transaction came in to effect.

But majority investors had raised concerns and questions since Wijemanne's selling transaction was disclosed to Colombo Bourse on 27th April (on the same day which transaction took place) whilst the buying transaction was disclosed way later on the 8th May 2012 according to reports.

Meanwhile it was reported that the Securities and Exchange Commission (SEC) will be meeting the Board of Directors of Taprobane Securities today in connection to the contentious The Finance - National Savings Bank deal, quoting a SEC top official.

“We have summoned the director board of Taprobane Securities, the brokerage involved in this deal for discussions. Last Friday we summoned Taprobane CEO/ Director Dinal Wijemanne for clarifications,” SEC Chairman Tilak Karunaratne had told reporters. He had also said that the SEC has ordered Wijemanne to provide all his explanations in writing by this Friday according to reports.

“We’ve told him to submit his explanations in writing by May 8. However, he had asked for time till this Friday,” Karunaratne had told reporters.

In the TFC-NSB deal Taprobane Securities had been the broker for the both buyer and seller. Meanwhile SEC Chairman had told reporters that this is the first default that has taken place in the history of the Colombo Stock Exchange in which NSB had not paid the sum of its buying transaction. He had also confirmed to reporters that the SEC is also currently investigating into any possible incidents of ‘Insider Dealing’ related to the TFC-NSB deal and said that the SEC officials last Friday visited the premises of Taprobane Securities and took into possession several documents and data that might be useful in the investigation process.

When asked about the actions that can be taken against Taprobane, Karunaratne had said that if there is proof of malpractice, the penalty can range from a temporary ban to the revocation of brokering license according to reports.

SEC Chairman had also noted reporters that as the regulator, the SEC will be doing its maximum to discover whether; had there been any wrongdoing with regard to this deal, and said the SEC has also drawn the attention of the Central Bank on the matter.

White Wash?

Having a Board Meeting with Treasury officials on the ‘Reconfirmation of the Cancellation of the Controversial TFC-NSB Deal’ on Tuesday May 8 (from 3:00 p.m. to 6:00 p.m.) at NSB 

Premises the bank’s Board of Directors which stood silence from 27^th April issued a statement to some media organizations of the country.

NSB said the following in the Statement:

“The offer from TFC initially came to NSB to subscribe for their voting shares in January 2011. The bank carried out a detailed analysis on the TFC and was willing to purchase the voting shares up to approximately 8.33%. However, since the share issue had been oversubscribed, we were not in a position to proceed”

“Similarly, the bank received an invitation from a stock broker to purchase voting shares in March 2012. Since the bank had already carried out a detailed analysis in January 2011, the Board Sub Committee on Corporate Lending and Equity Investment decided to relook at the investment from a strategic initiative point of view with further analysis. Having done a further analysis, a favourable consideration was given to purchase voting shares of TFC, amounting to 10%-15%”

“However, since the Board was of the view that benefits of this investment are not as strong enough to proceed with, a decision was taken not to make the payment, due on this transaction”

“The above decision was conveyed to the Secretary to the Treasury Dr. P. B. Jayasundera at the meeting held on 8 May 2012 with the entire Board of Directors of NSB. Other relevant parties too have been informed of this development, accordingly. The Secretary advised the Board that the Bank should not move out from its core activity and advised to promote NSB as a premier savings bank without exposing its risk profile to maintain public confidence”

“As a socially conscious and a responsible State-owned financial institution, we wish to give a strong pledge to the general public that we would continue to uphold all traditions of our bank and as done in the past, continue our quest in having the depositors’ and other stakeholders’ total interest foremost in our minds in the future as well as the leader in developing you and the country.”

Meanwhile, Sri Lanka’s Pink Paper said the county’s premier business chamber, Ceylon Chamber of Commerce (CCC) which has been so far silent about the state-owned pension funds and institutions making peculiar investments in the market, Tuesday issued a statement praising the timely intervention by the officials in the TFC-NSB deal.

“The Ceylon Chamber of Commerce (CCC) notes with concern the recent transaction of approximately 13% of The Finance Company PLC. The chamber believes that ensuring integrity and transparency are vital to maintain investor confidence in the Colombo Stock Exchange (CSE) for the capital market to buyer and seller, Taprobane cannot avoid its responsibility towards the completion of this transaction” Pink Paper said.

However, on Tuesday, Banking Watchdog Central Bank Governor Ajith Nivard Cabraal had told reporters that as the banking regulator, it has no role to play in the transaction. Cabraal had told the media that the banking regulator in a broad sense generally defines the parameters within which banks can engage in equity investments, and said that thereafter it is "their business."

Sri Lanka’s Financial Market Watchdog discusses that LOLC may cause another financial industry crash?

LOLC burdened with over Rs.65 billion (US $ 520 million) debt-Analysts

Sri Lanka’s financial market watchdog lead by the Board that is handling monetary matters had discussed a crucial issue that may cause another financial industry downturn in the country which would be a result of former veteran lady banker Rohini Nanayakkara and vehicle dealer Ishara Nanayakkara lead Lanka Orix Leasing Company which has an alliance with the Japanese Financial giant Orix Corporation, CSE Leaks learns from inside sources of the financial industry.

Driving forces of LOLC

Accordingly sources outline that several transactions that had happened among LOLC group lead fame and new buyouts had caused LOLC financials weaker and weaker leading the group in to a debt portfolio valued to the tune of Rs.65 billion or nearly US $ 520 million.

Further financial watchdogs had also opined that it may effect on another financial industry crash that is more problematic than the Ceylinco lead Golden Key fiasco and other related subsidiaries that started with a Rs.26 billion financial fraud in an unregistered public deposit canvassing credit card entity.