Many people have faced inconveniences due to online lending companies operating in the country without obtaining the permission to give loans using internet or telephone, as stipulated by the Central Bank of Sri Lanka (CBSL) in 2019.
“Though online transactions are possible under the Electronic Transactions Act, compliance with the CBSL circular is mandatory for lending”
It has now been revealed that most of the lending companies have obtained company registration in Sri Lanka as a Sri Lankan company, but their parent companies are operating from overseas.
Accordingly, economic experts pointed out that online loans will add more pressure on the country which is already going through an economic crisis.
The reason for this is that the amount deposited at these institutions that exploit the customers on 50% or 100% interest, ends up in another country.
Since none of these institutions have been registered with the CBSL, the source of origin of the money earned by the companies and where the amount ends up remain a question.
Doubts have also been raised whether a part of this money is used to fund the underworld and drug dealers.
What does the Cyber Crime Unit say?
The Cyber Crime Unit of the Criminal Investigation Department (CID) said that those who are facing inconveniences due to the actions, pressures and other intimidations caused by these institutions can complain to the police in their jurisdiction.
Online lenders impersonate police officers
Meanwhile, these institutions are also carrying out a campaign of intimidation by sending fake messages saying that there are police complaints against the borrowers.
It has now been revealed that these groups also receive the support of corrupt police officers.
Below is an SMS with a fake complaint number sent by one such company.
Online loans that lead to conflicts between countries
Meanwhile, Indian media reported that the police investigating the suicide of a family of four in Kerala, India, have turned their attention to a group operating from Sri Lanka that gives instant loans online.
Below is a report published on the incident.
On September 12, 39-year-old Nijo, his wife Shilpa (32) died by suicide and their bodies were found at home. Their children Abel (7) and Aaron (5) were killed by suffocation.
The investigation took a turn when the police found the number used to send obscene pictures of one of the deceased to his relatives.
“During the investigation, we realized that Shilpa had obtained loans from online lending institutions. She had difficulty repaying them. Later, these companies resorted to sending obscene messages to Shilpa and their relatives. When we looked at that mobile phone number, we realized that it was registered in Sri Lanka. In fact, those groups have been operating from Sri Lanka,” said an Indian police spokesperson.
Diplomatic sources said that this situation can affect the goodwill between the countries as well.
We will make a full disclosure about these companies including their boards of directors in the future.
Former State Minister Lohan Ratwatte, who was arrested and remanded on charges of using a luxury car illegally imported from abroad and assembled in Sri Lanka, has been transferred to the prison hospital.
He was arrested by Mirihana Police on October 31 in Katugastota, Kandy.
Ratwatte was subsequently produced before the Acting Magistrate of Nugegoda from the Mirihana Police Station, and was ordered to be remanded until November 7.
However, the Acting Magistrate granted permission for Ratwatte to receive treatment at the prison hospital.
Police said that the former state minister was arrested in Kandy over an incident of discovering an unregistered car at his wife’s house in the Mirihana area of Nugegoda.
The car without registered number plates was found on October 26, 2024, according to police.
Police had found the luxury car in question during an inspection carried out based on information received by the police headquarters that there is a luxury car without number plates in a three-storied house in the Embuldeniya area in Mirihana, belonging to Shashi Prabha Ratwatte, the wife of former State Minister Lohan Ratwatte.
During the investigation, both Ratwatte and his wife had explained to the police that his mother-in-law resides in the said house. They had claimed that the car had been brought there three weeks ago by Ratwatte’s private secretary, who was recently found dead with gunshot injuries in the Katugastota area of Kandy.
(AdaDerana) (This story, originally published by AdaDerana has not been edited by SLM staff)
The Defence Secretary has directed the Sri Lanka Air Force to keep a Bell 412 helicopter ready at the Diyatalawa Air Force Base for the potential airlift of patients injured in the recent bus accident to Colombo for further treatment if needed.
The accident, which occurred at Ambagas Junction on the Dunhinda-Badulla road around 7:45 AM on November 1, involved a bus carrying 42 people from the Kotelawala Defence University’s (KDU) Southern Campus. Among the group were 36 students from the 39th KDU Intake, three lecturers, an instructor, a senior military officer, and the bus driver.
Two female students, residents of Kurunegala and Nivithigala, tragically lost their lives.
The remaining 40 were admitted to the Badulla General Hospital, with seven in the ICU and one in critical condition.
KDU’s Vice-Chancellor confirmed that arrangements for the funerals will be made with university support.
Preliminary findings suggest a mechanical fault may have caused the accident, with a detailed investigation underway.
The Ministry of Defence has expressed condolences to the victims’ families and commended the prompt rescue efforts of local residents, as well as the swift response by Dr. Palitha Rajapaksa and the hospital staff.
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(Previous News : November 01, 2024 11.28 am)
2 dead in Badulla bus tragedy
Two persons have been reported dead after a bus carrying a group of university students had toppled across the road at Dunhinda Road in Badulla this morning (Nov. 01).
The accident had occurred between the third and fourth kilometer posts on the Badulla-Mahiyanganaya main road, near the Dunhinda access road, after the bus collided with a bund.
According to reports, the bus was carrying a group of students from the Southern Campus of the General Sir John Kotelawala Defence University (KDU), who had been on a field trip.
Over 30 persons injured had been rushed to the Badulla Hospital, reports say.
Doctors at the Karapitiya Teaching Hospital in Galle have commenced a 24-hour token strike, according to the Government Medical Officers’ Association (GMOA).
GMOA Treasurer Dr. Ubhaya Bandara Warakagoda stated that the strike was initiated in protest over threats made by a doctor against several other doctors of the hospital.