President Anura Kumara Dissanayake has decided to investigate complaints of corrupt and irregular practices of certain top management officials of the Bank of Ceylon (BoC), said government sources.
These officials have ganged up to intimidate the bank’s customers, who are renowned businessmen, to expect gratifications and to get their crony businessmen join them as business partners and to create links with multinational companies.
Businesses that refused to tow their line have been refused loans and other bank facilities and even attempts made to sabotage their functions.
Trade unions note that such things were happening for the first time in the BoC.
General manager and CEO Russel Fonseka, appointed in January 2023, too stands accused of many wrongdoings.
He remains in his positions to become the first ever BoC officer in contract basis to be given a service extension.
Previously, he got a monthly salary of around Rs. 400,000, which has been now raised to around Rs. two million.
It is alleged he fails to fulfil his service responsibilities as expected for the furtherance of the bank.
Trade unions are up in arms against the appointment of juniors friendly with him over experienced and senior officers to top positions on an annual basis by surpassing the procedures.
This has done grave injustice to the five seniormost officers – deputy general manager (branch operations) Piyal Silva, deputy general manager Jayashantha Godakanda (international, treasury & investment), deputy general manager (product development) J.A. Jayatilake, deputy general manager (branch credit & development banking) R.M.N. Jeevantha and CRO Nilantha Meneripitiya, say the TUs.
The actions of the GM/CEO as well as his crony appointees have breached customers’ trust in the bank as a result.
The BoC, dubbed ‘bankers to the nation’, is the leading banking services provider with the highest number of branches locally and overseas and accounting for the highest savings and highest loans to contribute to economic upliftment in a period of more than eight decades.
It has achieved thus due to the efficient management in the past, honesty and commitment by its staff to provide the best services to the nation.
It has averted the insolvency suffered by a number of other state-run entities.
Sadly, the double-standard approach by certain top officials, where they treat their crony customers and the others differently and get involved in various rackets has left many businesses in trouble.
Some of the victims have even gone to the extent of suspending their connections with the BoC.
The situation has been brought to the attention of the president and other authorities.
The BoC website says as its vision to be the nation’s preferred bank with a strong global presence providing customer-centric innovative financial solutions.
And, the stated mission is to provide highly efficient, customer focused, technologically sophisticated, resilient and innovative financial services to the nation with global access, empowering employees and enhancing value to the stakeholders.
However, the corrupt acts of its officials for personal gain have adversely affected public confidence in the leading state-run bank and rendered it to a situation of bankruptcy.
Such lowly officials can go even further and ruin the state mechanism through acts of fraud, corruption and inefficiency.
The resultant impact on the economy will be perilous, since the BoC is said to have a stake of around 30 per cent in the nation’s economic affairs.
The present regime could be striving to take export industries, agriculture and innovations to speedy growth, but the leading bank owned by the state acts to the contrary to leave the country wondering if it could develop under any rule with such fraudulent bank officials.
Bank of Ceylon is always a place for cronyism with the direct or indirect support of political Power from the time of the first Ceylonese General Manager Late Loganathan. Now Trade unions are powerful and they are also in colloboration with few top officials in naming Promotees. This has been a give and take game. All parties win except Mr.Cleans. Comparatively People’s Bank is a better Place. Appointing a General BOC General Manager on a contract basis is a shame on Ranils Government and shame on Trade unions who kept silent for their individual agenda. Cronysm and neopotism in Bank of Ceylon are part of its culture itself and it cannot be get rid off by any Government,since all are in the game.