Golden Key second stage repayments next month

by Lalin FERNANDOPULLE

The payment of the first instalment for the Golden Key Credit Card (GKCC) depositors under the second category of the repayment scheme will commence next month, said Central Bank sources. Depositors with a balance of between Rs. 1 million and Rs. 2.5 million will be paid Rs. 100,000 under this category. Sources said depositors will be paid subject to auditing of GKCC accounts. The balance will be paid after the realisation of the assets of the GKCC.

Around 2,500 depositors will be paid instalments under the second repayment schedule. The first scheme was completed recently with payments for depositors of less than Rs. 1 million. Under this scheme 3,863 depositors received their money.

“Around 70 percent of the depositors will be covered with the completion of the first and second categories of repayment”, sources said.

The third repayment scheme will be made for deposits above Rs. 2.5 million. Following a Court directive, a three-member committee of Chartered Accountants was appointed to prepare a repayment scheme to depositors of the now defunct GKCC.

The total liabilities of GKCC amount to Rs. 26 billion with interest. The total number of depositors are around 9,000.

Depositors of the GKCC filed fundamental rights applications calling for the payment of their money from the company which faced a crisis last year. The Supreme Court, having considered the representations made in the applications on May 18, 2009 appointed the committee to examine the assets and liabilities of GKCC and to prepare a scheme for the disbursement of deposits.