Move to safeguard investments, expedite recovery of deposits:

Depositors of three Ceylinco companies form Assn

Charumini DE SILVA

The depositors of Ceylinco Shriram, Ceylinco Capital Investment and Ceylinco Leasing Company Asset Management have formed an Association to safeguard their investments and expedite the recovery of deposits.

President, Depositors Association Colombo Branch, Senarath Wimalasena said, “Our Association has 478 registered members and another 200 were registered at the third General Meeting recently. At present we are holding discussions with the Association’s directors and we have informed the CID of our Association and the membership”.

“We are expecting a report from these companies and the depositors will reach a conclusion if the report is truthful and acceptable. The Association has promised to carry out a due diligence by an independent audit firm on confirmation of the tangible assets. We wish to appoint an independent trustee to settle the investments”, he said. “If these companies fail to execute a reasonable solution to resolve the investments and expedite the recovery of the deposits, we will take legal action against the companies”, he said.

Director, Ceylinco Shriram, Hiran de Silva said, “We have consulted a firm which has experience in banking and financial institutions. We are awaiting a report this week and as soon as we get the results of the report, we will finalize the assets according to the report and inform all our depositors. At present we are working on different options and we will come up with a positive resolution”.

“Liquidating the companies is not a difficulty, but we would not like to sell them at a low cost. In the coming months the interest rates will drop and there will be greater economic growth. If the depositors give us a little time, we will be able to return a greater proportion. To make this possible, we need the help of all our depositors. The majority of the depositors are in agreement to support the companies”, he said.

“We will be able to return the deposits in a medium term payment plan within the next four years, but for this we need the support of the depositors. When the economy improves the companies will be able to make profits again”, he said.