By Arjun Aloysius Released from Prison but Faces Multiple Legal and Financial Challenges
Arjun Aloysius, Director of W.M. Mendis Distilleries and a key figure in the Central Bank bond scam controversy, was released from Welikada Prison today after serving six months for defaulting on a Rs. 3.5 billion Value Added Tax (VAT) payment.
Release from Prison
Prison Department spokesperson Gamini Dissanayake confirmed that Aloysius, along with two others, had been freed after completing their court-ordered sentence. The Colombo Chief Magistrate’s Court had handed down the six-month imprisonment in October last year after finding them guilty of failing to pay VAT obligations related to their business operations.
Legal Challenges Still Ahead
Despite his release, Aloysius continues to face significant legal battles:
Bond Scam Case: Aloysius is one of the key figures implicated in the Central Bank Treasury Bond scam of 2015 and 2016. Court proceedings related to the case are ongoing, and some of his former associates are expected to testify against him.
Arjuna Mahendran Extradition Effort: President Ranil Wickremesinghe has reiterated his government’s commitment to extraditing Arjuna Mahendran, Aloysius’s father-in-law and former Central Bank Governor, from Singapore to face charges in Sri Lanka. If Mahendran is brought back, it could have legal implications for Aloysius.
Financial and Business Struggles
Aloysius’s business interests have also suffered setbacks:
Distillery Business in Crisis: W.M. Mendis Distilleries, once a leading player in the local alcohol industry, has faced financial and regulatory issues. The company has struggled with debt, operational restrictions, and declining sales said a Manger of W.M. Mendis Distilleries to lanka newsline. .
Failed Media Investment: A newspaper venture in which Aloysius had invested has ceased operations, adding to his financial difficulties.The ‘Janayugaya’ was shut down prompting the staff to take the matter up in the Labour Tribunal.
Loss of Allies: Several of his former associates and employees, once loyal to him, have reportedly turned against him, with some agreeing to provide testimony in ongoing legal cases.
Future Uncertain
Legal experts who spoke to lanka news line suggest that Aloysius’s legal troubles are far from over. With the government pursuing financial accountability and judicial proceedings related to the bond scam continuing, his business and personal future remain uncertain.
The case remains under close watch by authorities and the public, given its significant political and economic implications.
