The Ministry of Finance says that a four-member committee has been appointed to look into the allegations of irregularities, unproductive measures and instances where actions were taken contrary to the objectives at the four main state banks of the country, during the last 05 years.

Issuing a statement today, the ministry said that the Cabinet of Ministers granted approval to the Cabinet paper submitted by Prime Minister Mahinda Rajapaksa in his capacity as the Minister of Finance, to streamline the state banking system and make it efficient in order to strengthen the national economy, and also to look into irregularities that had taken place within state banks. 

Accordingly a four-member committee has been appointed to formally study the irregularities, instances of violating the objectives and procedures of respective institutions, provision of the Banking Act as well as the unproductive activities and transactions at the Bank of Ceylon, People’s Bank, National Savings Bank (NSB), Regional Development Bank (RDB) and affiliated institutions after January 08, 2015.

The said committee has also been tasked with submitting recommendations on legal, financial and administrative steps required to prevent any such situation from occurring in the future and also to identify the officials and external parties responsible for financial losses. The committee will also make recommendations to transform the state banking system into a more people-friendly service.

The committee is chaired by former High Court Judge Sisira Ratnayake and also includes Charted Accountant Susantha de Silva and retired Additional Auditor General W. Premananda. A representative of the Finance Ministry will serve as the Secretary of the committee.
  
The has been instructed to submit its report within 03 months to the Secretary of the Finance Ministry who in turn will present it to the Cabinet of Ministers.