CID probing Mavilaru compensation fraud

Sarath MALALASEKERA

COLOMBO: The Criminal Investigations Department (CID) probing a massive fraud at the Agrarian Insurance Department yesterday arrested its Chairman Namal Ratnayake and detained him until the completion of investigations.

According to CID investigations, the Chairman is alleged to have misappropriated millions of rupees allocated for distribution among farmers affected by the LTTE’s closure of the Mavilaru anicut.

The CID earlier took into custody three senior officials of the Department for allegedly misappropriating Government funds amounting to Rs.6,787,796, which was to be distributed among the farmers.

S. Rasaiah, a female clerk attached to the Agrarian Insurance was also taken into custody by the CID in connection with the same transaction and was produced before Colombo Fort Additional Magistrate Sujatha Alahapperuma and remanded till April 11.