The Criminal Investigation Department (CID) is preparing to launch investigations into all banking transactions of certain officials of the National Development Bank PLC (NDB) and their family members in connection with the large-scale financial fraud reported at the bank, according to internal CID sources.
It is also reported that the CID plans to present facts before court and obtain the necessary orders in this regard.
The move follows suspicions that a group of individuals formerly employed at the institution and linked to the alleged fraud had deposited the misappropriated funds in various financial institutions and banks.
Meanwhile, Colombo Chief Magistrate Asanga S. Bodaragama yesterday (20) granted permission to record statements from four suspects, including a remanded businessman, who are alleged to have aided and abetted the fraudulent misappropriation of Rs. 380 million by unlawfully accessing the bank’s general ledger account via the internet.
This permission was granted after considering a request made to court by the Computer Crimes Investigation Division of the CID.
Accordingly, approval was given to record statements from the remanded suspects Lahiru Harshana, Pathum Kotalawala, Kosala Tharanga and Mohamed Inhamul Hashan in connection with the incident.
Presenting facts to court, the CID stated that the suspects, who had allegedly attempted to misappropriate Rs. 600 million belonging to the bank, need to be further questioned, and requested permission to visit the prison to obtain statements.
64 fraudulent accounts… stolen funds traced to Binance accounts
The CID further informed court that statements need to be recorded regarding the depositing of the allegedly stolen Rs. 380 million into Binance accounts through 64 fraudulent bank accounts.
Investigations have revealed that funds credited to the bank’s general ledger account were diverted through 64 bank accounts into 100 additional accounts, and subsequently channelled into five accounts, including those used by the suspects, thereby facilitating the fraud.
According to data from the bank’s automated security account monitoring system, deposits and withdrawals were being made intermittently from across the island into a single account. Upon detecting this irregular activity, the bank suspended the relevant accounts and lodged a complaint, enabling it to safeguard Rs. 310 million. However, the funds credited to the suspects’ accounts had already been misappropriated, the CID stated.
Having considered the submissions, the Chief Magistrate granted permission for the request and ordered that the progress of the investigations be reported to court expeditiously.
