By Rathindra Kuruwita
A non Central Bank approved Financial Institution, allegedly run by EAP Edirisinghe Group, was raided by the Central Bank last week. Director Supervision Non-bank Financial Institutions Central Bank Sepala Rathnayake told The Nation that a team from the Bank visited ‘Pro Note’ as a part of their ongoing investigations against several un-registered institutions.

“A team from the Central Bank visited this institution which was situated in the Swarna Mahal branch in Colpetty because we received information that they are issuing promissory notes. We are currently conducting investigations about the activities of this institution,” he said.

“After the Sakvithi incident, we are conducting thorough investigations regarding these unlicensed institutions that keep on issuing promissory notes. We visited ‘Pro Note’ as part of this exercise,’ he added.

Sources revealed that ‘Pro Note’ has been operating for several years side by side with the Central Bank approved Swarna Mahal Finance Limited.

“There is the Central Bank approved Swarna Mahal Finance Limited which is licensed under the Provisions of the Finance Companies Act; but it is offering only 18-19%, so when customers come to invest they are directed to ‘Pro Note,’ which offers a higher rate of interest,” they said.

Meanwhile, The Nation’s efforts to contact the Managing Director of Swarnawahini, Jeewaka Edirisinghe in this regard proved unsuccessful.

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