The government today admitted that the controversial share deal between the National Savings Bank and The Finance Company did not conform with laid down procedure of the Finance Ministry and as such Treasury Secretary P.B. Jayasundara had suspended the transaction.
Government spokesman and Minister Lakshman Yapa Abeywardene said Dr. Jayasundara was inquiring into the questionable purchase by the NSB of a 13 per cent stake in the TFC at about Rs.50 a share while the market value was nearly Rs.31.The Rs.390 million transaction had taken place on April 27.
“The government will not protect any one and strict action will be taken against those found to be guilty not taking into account their status or post they hold. Our view is that this transaction has not been done in conformity with the accepted procedure and therefore it can’t be considered a legal share market deal,” the minister said.( Sandun A. Jayasekera)