BoC’s loan to Nawaloka also grabs minister’s attention

Reports reveal that the state owned Bank of Ceylon (BoC) has granted a significantly large loan to Nawaloka Group for the purchase of an AI-powered MRI machine, despite the company already owing around Rs.2.3 billion to multiple banks.

During last week’s Cabinet briefing, Cabinet Spokesman and Minister of Health and Mass Media –  Dr. Nalinda Jayatissa was asked about the matter as well.

In response, the minister stated that he was unaware of this and said he would respond after looking into the related particulars.

Following the media briefing, the minister had sought further details from journalists on the issue.

It is learnt that prior to obtaining the BoC loan, the Nawaloka group was already paying over Rs. 335 million as monthly loan repayments to pay off already existing bank loans.

Last year, the HNB had even obtained a court order to auction off Nawaloka hospital premises in Colombo 02 due to non-payment. However, Nawaloka had secured a temporary stay order from the Court of Appeal, halting the process. However, the case is currently under legal examination.

BoC loan help to repay HNB loan?

It is learnt that a portion of the BoC loan is to be utilized by Nawaloka to settle a loan amounting to  Rs.0.63 billion to Hatton National Bank (HNB).

Attempts to contact BoC Chairman – Kavinda de Soysa and several other officials at the bank were unsuccessful.

However, upon inquiring from Ceylon Bank Employees Union (CBEU) President, Channa Dissanayake, ‘Sri Lanka Mirror’ was informed that although he was aware of the bank loan’s approval, he lacked authority to make a public statement to the media.

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