|
|
 |
 |
| Sunday, 4 July 2004 |
 |
|
 |
News |  |
| News Business Features Editorial
|
Gold quest drains off Rs. 900m by Jayantha Sri Nissanka About Rs. 900 million has been drained off from Sri Lanka to the Gold Quest Company during the last 16 months, Controller of Exchange H.A.G Hettiarchchi told the Sunday Observer yesterday. Sri Lanka's financial market would have been threatened if banks had granted loans for persons to enter this pyramid scheme, but when the pyramid scheme collapses the people will not be able to repay the loans. In case if one had made a half payment he tends to lose not only the money but also the product. However, the Bankers' Association had issued notices for banks not to grant loans for this scheme, sources said. Meanwhile, the victims of the gold coin racket plead law enforcement authorities to find the agents and get them to refund their money as these agents have gone underground. Many victims speaking to the Sunday Observer said it is difficult to trace agents who misled them as many victims have asked for refunds or at least half of it from the agents. The gold coin racket got its ugly face on the Poya day (Friday) when Custom Superintendent Athula Lankadewa who seized a massive gold coin consignment from Singapore was shot at in Maharagama by a three member gang but escaped unharmed. According to Police he had received death threats after the detention of the consignment. Exchange Controller Hettiarchchi said that about 4000 agents who promoted this business have been identified and they will be liable to pay three times the amount of the illegal transactions made on behalf of a third party. Failing which legal action will be taken at the Magistrate's Courts or at the High Courts. If the cases are heard at a Magistrate's court, offenders will receive imprisonment not exceeding 18 months and a fine. If it is heard at a High Court imprisonment will not exceed five years. Hettiarchchi said that he will issue show cause letters asking explanation from agents. However, the proactive alert on the racket will be highlighted in the media with Central Bank notices educating people not to prey fall to this trap. |
|
News | Business | Features
| Editorial | Security Produced by Lake House |
