Jana1 wrote:I think Central bank kept diary of Deepthi since 2009. Deepthi u could write a book mate...
Chairman of the Board Prof L R Amarasekara has failed to attend 1 out of 3 meetings held in 2011 (up to April) 6 out of 9 meetings held in 2010 and failed to comply with section 3(4) of the Corporate Governance Direction by doing so.
In March 2011 Independent Non Executive Director K.N. Indatissa has been entrusted with the task of liaising with the CID to resolve D Net Case and Non Executive Directors D.M. N. Ramanayake (now resigned) and S . P. Daluwatta have been made responsible for signing FD certificates, renewal letters and Embassy letters. However, by virtue of the definition, Non Executive Directors cannot participate in such routine business functions.
The major shareholder of CIFL Deepthi Perera has played a dominant role in the decisions made of the Board Meetings held in 2009. His excessive-influence is viewed as hindering the independence of the Board, which curtails progressive decision-making towards the well-being of all stake holders. Though his presence is not visible at subsequent Board Meetings, we feel that his dominance is still present in most of the major decisions made by the company, especially as he’s the Aspic Group Chairman, and the extent of fraudulent related party transactions done by CIFL and fraudulent accounting entries passed by CIFL in relation to parties related to the Aspic Group.
There was lack of attention to detail, non-existence of questioning culture, lack of guidance and supervision by senior officials.
Daily operational issues were not addressed on a timely basis (creating backlogs forever)
There was high dependence on few individuals rather that relying on good systems and procedures.
There was employee ignorance on routine tasks performed, reluctance to acknowledge responsibility, lack of integrity.
http://www.sundaytimes.lk/131027/business-times/cifl-ran-like-a-ponzi-scheme-cb-audit-in-2011says-66714.html
As you can see DP involvement in CIFL in 2009, As I openly stated many times, that's when the CIFL had a Deposit Run in 2009. Their Chairman got ill due to the Pressure and Deputy Chairman Left the Company with out even informing, Other Directors was not reporting to work. CEO resigned and left the Country So there was virtually no one responsible for the Crisis, and Staff of CIFL requested me to Come back to Sri Lanka and to Involve in this matter. "Do people or CBSL expect me to stay silent when my company is getting busted? NO. I got involved and managed the Situation, Sold most of Assets of Aspic, Personal Cars, and paid the Depositors, There were No one to Help at the time of the Deposit run CIFL had enough liquidity, but was not enough for a week, Total Unpaid amount piled up to 600 Million, and CBSL came for the Audit, they met me too, but why they dont publish those audit reports? NO one was there to help CIFL, during the same period there were few companies taking over all of our senior Staff, CBSL was Sleeping, Then in 2011, they publish this Audit Report. Mrs, Jayasingha the Chief Auditor had a 2 Hour Meeting with me in CIFL before they publish this audit report, I told her how we handled the Situation, it was Not influence, after 2009, I did not have to go to any board meetings because Board was back together, thats why there was no evidence of my participation in to meetings, But still they goes on writing, " We FEEL Deepthi Perera influenced after that " How can CBSL can write about how they Feel.
Then why they don't mention about the financial Crisis, 600 Million deposit run, directors disappearance, aren't they important to them? Why they have to write this in 2011? why not 2009?
Of course I have to intervene if the responsible board vanish during a crisis, And regulator close their eyes, why do you expect me to do? just stay and waiting to see that my investment is drained? NO i don't i wanted to bring it back to track, and after that management was back again with the directors, there are many documents to see that, The truth is CIFL was abandoned in 2009. So i had to intervene, and Intervene is not influence,
With regards to the Aspic Land Transactions, in 2009, CIFL did not had real estate assets, they Just had a book entry called Homagama Project. And Aspic Decide to transfer their Assets to CIFL/Homagama Project, at a Cost Basis, But the Interest receivable was set off, And CBSL auditors have seen the Transaction documents and assets were bought in to books, How come they say now they are fraudulent transactions? All the transactions were approved by the directors and minutes were inspected by CBSL during the Audits, Can it be a fraud? Has Aspic got any Benefit out of it? made any profits? gain? any person got a gain? NO they were done to strengthen the balance sheet of CIFL. Many CBSL meetings I have told them I am transferring the assets of ASPIC to CIFL they were aware about this, I cant comment on the entries of CIFL because I have not done the Accounts of the Company.
Another question is IF CIFL was a Ponzi Scheme why CBSL approved it to go to the IPO? aren't they become Ponzi too? Did Deepthi Perera Influenced CBSL, SEC,CSE all the people? CBSL easily could forward this Audit report to SEC CSE if they want to protect any one, why they haven't done it? If they knew Aspic and CIFL has done fraudulent land Transactions they approved our accounts and with the Same accounts we were approved to go to the IPO? So this clearly evident that CBSL accepted the transactions
So in 2008 CBSL approved the transaction to ASPIC to Purchase IFL. IFL had a 250 Million Provision at the Same year, IN 2009 after 6 Months of the Take over IFL too Had a deposit run, But how did CBSL then approved ASPIC to take over Former Next Finance, That also Deethi perera Influenced the Monitory Board and CBSL of Sri Lanka.
When the IFL was given to next Shareholders and Directors with CBSL approval, All the assets of Aspic Corporation was Trasferd, this includes, 6 Story Apartment Building, 24 House housing in Mount Laveeniea, 20 Houses in kandy, Aspic Entertainment, and more. But they never invested a rupee in to the Company. So 6 Months after taking over IFL and after Transferring all the assets to match the liability GAP which was the previous Provision which CBSL knew, ASPIC is still to be blamed? and the people who took over the responsibility are not to be seen, NO investigation, No inquiry Why? Deepthi Perera Influenced?
Aspic Corporation as a Company has done many sacrifices than any others to protect these companies, We lost the entire assets companies due to the financial Crisis, We sold Industrial Finance for a Zero Consideration to Protect the Depositors and Transferred all the assets of Aspic to IFL. Thats why Aspic Got no Assets today. I challenge if any one can prove if ASPIC or any aspic director or me or any of my relatives got financial benefits, Every one use the words crooks, fraudsters, con man, cheaters, for the people around, what have we cheated? where we have cheated? who has taken depositors money? Has directors got wealth gain, have I got a wealth gain? NO
When The Directors wanted to Change the CEO on 2011 CBSL refused, NO reasons were mentioned, in 2012 May it was rejected, No reasons, 2102, December again rejected, No reasons, If the company was bad, mismanaged, why was this rejection for the Change of CEO, what was the Agenda?
When CIFL recruited few Staff from Grameen Company, next day a call came from Director Non Banking, " Do not recruit employees from Grameen." But in 2013 10 Employees went from CIFL to Grameen, what was that?
CBSL deliberately vigilantly by using their powers made sure CIFL collapse, This was not a deposit run, this was not an industry crises, this was a man made crisis,
After refusing 3 times to appoint a new CEO, CBSL came and fired the CEO of CIFL with in 4 Hours, this would have done two years ago and get a Professional this wouldn't have happened, And they Appointed a CEO who came and Sign Post Dated Cheques and Now company is in Courts, "I overheard the Conversation of CBSL Non banking Director Openly States, We don't mind a collapse of another Finance Company. Huh, if you don't mind now you can handle it, What have you done? Nothing,
I was waiting for a longtime with out commenting to see whats the opinion of the people, And when it is unbearable I decide to comment on behalf of the people who worked for CIFL,
I do know there is Pain, Injustice, suffering to people who have deposited and also shareholders of CIFL. I do not state that management was perfect and everything what we did correct, I do not saying CIFL is out of responsibility towards Depositors and Stake Holders,
All what I was trying to say is,
'
CIFL would have Operated re structured and paid all the Liabilities,
CIFL Had a Plan, to re structure,'
IF CBSL wanted Me, or Aspic Corporation out of the Business, they would have write to us and Ask us to sell the Shares to a Nominee of them, this clearly states in the Finance Act.
If the Staff or Directors were influenced CBSL could easily ask me or Aspic, which they never did.
CBSL witnessed the Interest Income increase was more than 150% During the 2012 Year. Which was the Key to the revival, why have they not allowed the company to operate.
Was this entire collapse because CBSL wanted Deepthi Perera out of Financial Business, if so they would have told me.
Not only CIFL every failing organisations have negative net-worth, How many large organizations and Airlines, banks in the country are facing this, But all of them have a right to get up, re-structure and protect their business. You just cant say, Directors, or staff or me robbed, cheated, conned depositors money, We too failed, in a Deposit run many fails, unless you are backed by either government or if you are very very cash rich, And after the deposit run, No lending, that means reduction of Interest Income, and increase of Cost because you need to create more liabilities to payback the depositors, this is the phenomena in Finance Business, So with 3 Billion Depositors and No lending for 2 Years Since 2009, Where would CIFL go, Directors cant do Magic, We could not find new investors, Company managed the way it could, there can be many experts, analysts, giving their opinion now, Yes there would have things done differently, there would have things CIFL shouldn't have done But can we go back on time and change those? All what we can do is, Plan and re structure and get up now,
After the reaction of CBSL, I wrote a letter to the president of Sri Lanka, to the Governor of Central Bank
explaining what could happen, I asked for a permission to intervene in the matter, open discussion to explore possibilities, the answer was negative, Why they cant give a simple hearing? How can be a responsible Government body can become so immoral,
At last, I hope all these top intelligent smart people will re structure CIFL and Bring a Investor to give a hope of light to the Depositors.
would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc.. 
Home
