The JVP will take legal action against the authorities of the state institutions that used public funds for dubious inside trading at the Colombo Stock Exchange.
JVP MP Sunil Handunetti told a news conference today that they have decided on this course of action as EPF funds have been used to purchase shares of loss making Grain Elevators Ltd where Rs 1.24 billion has been invested to purchase 10,000 shares at a rate Rs 245. He said the value of a share had gone down to 36 today.
He said the investment guide lines of the EPF has been violated by engaging in this transaction as it is only possible to invest on government securities as per the said guidelines.
Mr. Handunettis said ETF had also been used for insider dealings while the National Savings Bank (NSB) had also engaged in the same. He said this had put the bank in a vulnerable situation. He therefore questioned as to what would happen to the bank if the depositors start withdrawing their deposits shortly.( Yohan Perera)