Golden Key depositors’ complaint – Contempt case against CB: SC re-fixes for 17 January

The Supreme Court yesterday (25) re-fixed for 17 January next year the contempt proceedings against the Governor of Central Bank, Finance Minister, Secretary to the Treasury and the members of the Monetary Board for failing to honour the undertaking for the repayment to Golden Key depositors.

The Bench comprised Justices B.P. Aluvihara and Anil Gooneratne.

Petitioners Roshan Harindra Fernando and Ishani Shrimathi Fernando initiated the contempt proceedings for the Respondents for failing to pay depositors of the Golden Key Credit Card Company Ltd. (GKCCL) as undertaken by them when the said Fundamental Rights case was terminated on undertakings for settlement.

Under the terms of settlement entered into in Court in the Golden Key Case No. 191/09, depositors above Rs. 10 million had to be paid within a period of one year from the date of settlement which fell in August 1016.

However the Respondents had failed to make the payments and the petitioners initiated the contempt proceedings against the Respondents.

Petitioners yesterday informed Court that although payments have been made, the Central Bank has not paid the full amount as undertaken and they urged that the Central Bank be requested to expedite the payments.

Hejaaz Hisbullah appeared for the aggrieved petitioners. Deputy Solicitor General Viraj Dayaratne appeared for the Respondents.

Petitioners state that their application was heard by the Supreme Court during the years 2009 to 2015.

By order dated May 11, 2009, the Supreme Court appointed a Committee of Accountant/Auditors to formulate and implement a scheme of re-payment of depositors based on a declaration of assets of the GKCCL and its directors, they state.

The Finance Minister and the Monetary Board on 18 May 2015 sought the permission of the Supreme Court to appoint an auditor to conduct a financial and legal audit of GKCCL to formulate a re-payment plan to re-pay the depositors and creditors of GKCCL and they were sought to submit for approval of the Supreme Court a time bound re-payment plan to be implemented under the Central Bank they state.

Within a month and two months of the termination of the proceedings before the Supreme Court, the depositors with deposits valued respectively less than Rs. 2 million and 10 million were paid but the depositors with deposit values of more than Rs. 10 million up-to date were not paid, they lament.

They complain that the Respondents are in contempt of court for wilfully and deliberately refusing to honour the undertaking to the Supreme Court. 

(SSS)