The Supreme Court of Sri Lanka asks the Auditor General to investigate the reasons for the economic crisis


IANS Edited by: IANS Updated on: 07 October 2022, 17:23:40


(source: IANS) (Photo: (source: IANS))


Sri Lanka’s Supreme Court on Friday ordered the country’s Auditor General to investigate the causes of the current economic crisis through a petition filed against former president Gotabaya Rajapaksa and his two brothers Mahinda and Basil Rajapaksa. Allowing it to proceed with a fundamental rights petition filed by academics and civil rights activists, the five-judge panel ordered the Auditor General to conduct an audit inquiry into the reasons for not seeking International Monetary Fund (IMF) assistance. ). It also decided to pay off $500 million worth of sovereign bonds in January this year using existing limited foreign reserves.

The court also ordered the Auditor General to investigate the decision of the Monetary Board of Sri Lanka to artificially manipulate exchange rates and fix the price at LKR 203 against the US dollar.

The Court further ordered the Central Bank Governor to produce copies of all communications and recommendations shared between Gotabaya, former Prime Minister Mahinda Rajapakse, former Finance Minister Basil, members of the Cabinet, the Monetary Board and former Central Bank Governors.

The petitioners have asked the court to clarify the causes of the economic crisis and to take the necessary measures against those responsible.

The island nation is going through its worst economic crisis since independence from the British 74 years ago, and rampant inflation and a shortage of the dollar have forced it to face shortages of all essentials, including food, fuel, medicine and electricity.

Sri Lankan President Ranil Wickremesinghe, addressing Parliament said that he met Indian Prime Minister Narendra Modi in Japan and expressed his desire to go to India. He further said that India has always been a good friend of Sri Lanka and extended further assistance.

First published: 07 October 2022, 17:23:40

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