Bond Scam: Mr. Prime Minister, Facts Are Stubborn!
Rusiripala Tennakoon
“You can fool all the people some of the time and some of the people all the time, but you cannot fool all the people all the time..” – Abraham Lincoln
Hon. Ranil Wickremesinghe was the Minister in charge of the CBSL when the infamous Bond Scams were perpetrated there in 2015 February and 2016 March. He still continues as the Minister in charge of the CBSL. He is also the Prime Minister of the country.
A Presidential Commission of Inquiry has completed an investigation and the findings of the Commission are now published in a report by them.
During the court proceedings now in progress (according to action taken by the Attorney General), many revelations concerning direct involvements of politicians, parliamentarians and even Ministers of the Government keep on surfacing causing alarm and shock waves among the public.
One of the main persons responsible for the wrong doing wanted by the Courts for judicial action is evading arrest. He is the former Governor of the Central Bank of Sri Lanka who served there until the completion of his term even after the Bond Scam was exposed. The persons responsible for his appointment, continuation in office amidst various public protests and reprimands by Parliamentarians, are maintaining a dead quietness about his disappearance from the scenario.
Public have a right to raise an issue in this regard. Isn’t there any responsibility falling on those who made this very special appointment amidst heavy objections and criticisms to produce him for purposes of jurisdictional.
In the context it is relevant to recall certain references made in this regard at different forums.
First we will quote from the Presidential Commission Report:
CHAPTER 26
THE HON. PRIME MINISTER’S ROLE IN MATTERS RELEVANT TO OUR MANDATE
Mr. Arjuna Mahendran was appointed the Governor of the CBSL, on 23rd January 2015.
Thus, the appointment of Mr. Mahendran was made before the period of our Mandate commenced and we have no jurisdiction to determine the merits or demerits of that appointment.
However, we cannot be insensible to the fact that, there have been concerns expressed in the public domain with regard to the propriety of Mr. Mahendran’s appointment following reports of his alleged intervention in the Treasury Bond Auction held on 27thFebruary 2015 and his relationship with Mr. Arjun Aloysius who has close connections with Perpetual Treasuries Ltd, which obtained the lion’s share of the Bids accepted at that Auction.
Concerns have also been expressed in the public domain, with regard to whether the fact that, Mr. Mahendran is not a Citizen of Sri Lanka, made it unlawful or unsuitable for him to have been appointed the Governor of the CBSL.
Therefore, we decided to briefly look at these issues, though we will not, in view of the confines of our Mandate, venture to arrive at any determination on these issues.
When Mr. Mahendran gave evidence before us, he stated that, he had been working in Dubai in January 2015 and that, he had received a telephone call from the Hon. Prime Minister, Ranil Wickremesinghe, MP, who had invited Mr. Mahendran to accept appointment to the office of the Governor of the CBSL.
In these circumstances, the Commission of Inquiry asked the Hon. Prime Minister whether he had invited Mr. Mahendran to accept appointment as the Governor of the CBSL. In reply, the Hon. Prime Minister stated, “Yes. It is correct that sometime in January 2015, I Invited Mr. Arjuna Mahendran to serve as the Governor of the CBSL of Sri Lanka (CBSL).”
In this connection, we note that, the Hon. Prime Minister is also the Minister of National Policies and Economic Affairs under which the CBSL has been placed.
Next, in view of the requirements of Section 12 (1) of the Monetary Law Act which states that, an appointment of the Governor of the CBSL has to be made by the President on the recommendation of the Minister of Finance, the Commission of Inquiry asked the Hon. Prime Minister whether Mr. Mahendran was appointed on recommendation made by the then Minister of Finance and/or on a recommendation made by the Hon. Prime Minister, as the Minister of National Policies and Economic Affairs under which the CBSL has been placed.
The Hon. Prime Minister replied, “Upon the formation of the new Government in January 2015 there was a general consensus within the Government that Mr. Mahendran should be appointed to the post of Governor of CBSL. I discussed the proposed appointment with the then Minister of Finance who agreed that Mr. Mahendran was the most suitable candidate. Accordingly, the then Minister of Finance with my concurrence recommended to His Excellency the President that Mr. Mahendran should be appointed. His Excellency the President acting upon the said recommendation appointed Mr. Arjuna Mahendran as the Governor of the CBSL.”
Thereafter, the Commission of Inquiry asked the Hon. Prime Minister the reasons why he considered Mr. Mahendran to be a fit and suitable person to be appointed the Governor of the CBSL.
