Over 4,000 swindled by bogus finance company

Chaminda PERERA

The Mirihana Police has commenced a comprehensive investigation into the dealings of a famous English teacher who swindled nearly Rs 1000 million from unsuspecting investors.

According to Police spokesman SSP Ranjith Gunasekera, the Police are receiving hundreds of complaints a day against the bogus investment company run by this teacher who is believed to have fled the country.

This investment company had launched a massive advertising campaign to entice potential investors by promising higher returns which are much above the rates offered by the Central Bank registered financial institutions.

Over 4,000 people including State and private sector employees, pensioners, retired service personnel and people engaged in self employment have invested their wealth in this company.

The Mirihana Police on Tuesday opened a special unit to receive the complaints. Meanwhile the Central Bank yesterday said they have commenced a full scale probe into financial institutions which illegally accept deposits from people.

Central Bank officials and Police are inquiring into the whereabouts of the main suspect calling himself Sakvithi Ranasinghe alias Chandrakumara Ranasinghe.

Thousands of depositors voiced their anger at the Mirihana Police station.

A depositor who remained anonymous told the Daily News that he retired from the service of RCDC on a Voluntary Retirement Scheme and invested his funds in the institution expecting better returns. "I received monthly interest for few months and later they evaded paying me the interest and when inquired they sent me a cheque which was returned in a few days. My family is helpless today as we have no income. We have no income at all and my children's education has collapsed." A number of pensioners and Security Forces personnel have been left stranded by this company by issuing receipts for their deposits under various company names such as Sakvithi House Construction Company, IT Managements Solutions Private Limited.

Nugegoda SSP Deshabandu Tennakoon yesterday said three suspects including a woman who have held various positions in this financial institution are being interrogated over these dealings.

A hunt on this English master who is believed to have fled the country under a fake name is on and a breakthrough is imminent, he said.