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.
