COPE: 47 individuals obtained loans worth Rs. 68 million from SMIB by producing forged documents in 201

In 2017, 47 people obtained Rs. 68 million worth of loans from the State Mortgage & Investment Bank by using forged documents, the Parliamentary Watchdog Committee on Public Enterprises has found.

This was revealed during the COPE meeting held on Wednesday (23), chaired by Prof. Charitha Herath, to look into the Auditor General’s reports and current performance of the State Mortgage and Investment Bank for the financial years 2017 and 2018.

Bank officials told COPE that cases had been filed against those responsible and that the CID was conducting investigations. Disciplinary inquiries against the staff involved in such forgeries were being held, the officials further said.

The officials also said that action had been taken to recover those loans, especially after the appointment of the new Chairman and the Board of Directors.

Accordingly, the COPE Chairman instructed the officials present to expedite their recovery process.

COPE members were of the view that the amount of loans provided for industries and agriculture should be increased. Officials who were present at the COPE meeting said that loans were already being given to small businesses.

The current vacancies at the bank were also discussed. Officials said that steps had already been taken to fill several vacancies in the executive ranks. If remuneration for those posts was not sufficient, the COPE Chairman instructed to make the necessary amendments to increase salaries.

There was also a discussion on the State Mortgage & Investment Bank operating from a building which had been leased for about 30 years.

Public Security Minister (Dr.) Sarath Weerasekera, State Minister Indika Anuruddha, and Members of Parliament (Dr.) Susil Premajayantha, Eran Wickramaratne, (Dr.) Harsha de Silva and Madhura Withanage were present at the meeting held at the parliamentary complex.