The car had toppled into the Victoria Reservoir in the Ilukmodara area in Gurudeniya on the 27th night.
Two of the three occupants of the car at the time survived.
However, one youth drowned with his car and his body was found after a 12 hour operation.
When inquired by SSP CJ Ratnayake in charge of the Kandy Division, he said that the Divisional Crime Special Investigation Unit has commenced an investigation based on the complaint lodged by the mother of the deceased.
The deceased has been identified as Amila Ekanayake, 30, a resident of Ilukmodara, Gurudeniya.