Krrish ...

He said the Krrish Group had discussed and taken guidance from various government authorities and other persons to understand the various aspects, the Government’s policy framework, growth of tourism and Industry, and other inputs for taking the investment decision on the project.

According to official records, the company has leased a 4-acre land for 99 years at a lease premium of Rs. 5 billion. While 10 per cent of the total has been paid in the beginning, another Rs.1.4 billion totaling to Rs.2 billion had been paid by Krrish group as at late December 2012

Out of Rs. 4,995 million due for land leased for a mixed development project, the company had so far paid Rs 4,049 million or 81 per cent.

The BT investigation also revealed that the official implicated in the alleged fraud has also utilized millions of rupees on overseas promotion trips; was not reappointed as a board director of a key development agency and has issues at anoth- er healthcare facility where he was a non-working director.

Treasury Secretary Dr. P.B. Jayasundera had summoned top officials of the Urban Development Authority and asked them to submit documents relating to the land deal and project proposals.

In the course of that discussion it was revealed that some files and documents were missing from Krrish’s Colombo head office. Concern was also raised by the Treasury Secretary on Krrish’s credentials in India. The President, the BT learns, has been briefed on the entire Krrish transaction.

The investigation is also focusing on whether some local Krrish officials had defrauded their own company. One Krrish official had spent Rs.60 million on advertising and also and taken a huge commission in awarding the piling contract to a Colombo company. This official has also been accused of forging documents of the company to gain personnel benefits, the BT investigation showed.