Ex-officials of Fisheries Corporation granted bail over alleged corruption

Two former officials of the Ceylon Fisheries Harbours Corporation, including its former chairman, who were arrested and produced before court over allegations of causing a financial loss by leasing out a state-owned vessel at a low price, were released on bail by Colombo Additional Magistrate Lahiru Silva.

The suspects, former chairman Nilanga Rupasinghe and another suspect, Chathurika Sathsarani, were granted bail after being arrested and produced by the Commission to Investigate Allegations of Bribery or Corruption (CIABOC).

The Magistrate ordered each suspect to be released on two surety bails of Rs. 5 million each and imposed a foreign travel ban.

During court proceedings, the commission informed court that the 'Sayura'dredging vessel owned by the Ceylon Fisheries Harbours Corporation had been improperly leased to Dyna Harbour Company and Winocean Marine Company, allegedly resulting in commission payments and offences under Section 29 of the Anti-Corruption law.

The Commission further alleged that one suspect, while serving as the institute's former chairman, had leased out the vessel - valued at around Rs. 100 million — to a company he owns at a below-market rate.

It was also revealed that the company involved had been registered under the name of a 55-year-old security worker with no significant assets except a bicycle.

The Bribery Commission further stated that the vessel, used for dredging operations at the harbour, had been sub-leased to a company in Talaimannar, Jaffna, and that the arrangement resulted in an estimated Rs. 22 million loss to the government.

It was also alleged that Rs. 2.7 million had been deposited into the second suspect’s bank account as part of the transaction.

The commission requested that the suspects be further remanded while investigations continue.

Defence counsel argued that no investigation had established the alleged fraud, and further stated that during the suspect’s tenure (2021–2024), the institution had been turned from a loss-making to a profitable entity. He also claimed the vessel had been restored from a dilapidated condition and made suitable for leasing, and requested bail, noting that no evidence had been presented to deny it.