Four executives from private banking institutions have been remanded in custody as authorities investigate an alleged scheme involving the illegal transfer of nearly US$1 billion overseas using fraudulent documentation.
Four executive officers employed by separate private banks were remanded until August 20 following their arrest on Monday in connection with investigations into a suspected international fraud operation. The suspects were presented before Colombo Additional Magistrate Liyan Varushavithana, with authorities alleging the individuals facilitated the illegal transfer of approximately US$1 billion overseas by submitting false import documentation to Sri Lankan authorities.
According to the Police Financial Crimes Investigation Division, the four detained individuals held differing levels of involvement in the suspected scheme. Investigators allege that one branch manager was linked to transferring US$5.5 million, while a sales promotions manager from another institution conducted 25 telegraphic transfers totalling US$647,207. Two additional executive officers are accused of facilitating 1,067 and 943 electronic fund transfers respectively, with alleged transfers of US$24.6 million and US$32 million through these transactions.
Authorities contend that the suspects violated Central Bank of Sri Lanka regulations and received financial benefits in exchange for processing the fraudulent transactions. The investigation has reportedly uncovered evidence that customs reports and supporting documents were forged, and that the accused individuals trained others on preparing fraudulent paperwork. The principal suspect in the broader investigation, Jiffry Mohamed, remains in remand custody and was first arrested on June 19. He was previously remanded until August 20 when presented before Colombo Chief Magistrate Asanga S. Bodaragama on August 6.
