ECONOMYNEXT – Sri Lanka’s Nationwide Growth Financial institution PLC mentioned it has established {that a} fraud dedicated by workers has led to a lack of roughly 13.2 billion rupees.
“The Financial institution recognises it is a severe matter and is treating it with the best urgency with effort being made on a number of fronts to get well the mentioned Funds with the assist of the legislation enforcement authorities,” the lender mentioned in a market submitting.
It mentioned that implicated workers have been suspended and their system entry revoked, and people linked to the fraud have been arrested by legislation enforcement.
It mentioned buyer balances stay intact as per the investigations carried out.
The complete assertion is reproduced beneath:
NATIONAL DEVELOPMENT BANK PLC-CORPORATE DISCLOSURE
NDB Addresses Fraud Incident, Estimates Loss and Reinforces Monetary Energy and Stability
Additional to the disclosure made on April 2, 2026, the Board of Administrators (“Board”) of Nationwide Growth Financial institution PLC (Financial institution) needs to supply the next replace to its shareholders, depositors, clients, and different stakeholders.
1. CUSTOMER BALANCES UNAFFECTED
The Board needs to reiterate that buyer balances stay intact as per the investigations carried out. The Financial institution stays effectively capitalised with sound ranges of liquidity. The Financial institution’s day-to-day operations proceed with none disruption.
2. BACKGROUND
Based mostly on its inside investigation, the Financial institution has now established that the fraud, which was restricted to a sure space of operations to be roughly LKR 13.2 billion.
The Board and the Administration of the Financial institution recognises it is a severe matter and is treating it with the best urgency with effort being made on a number of fronts to get well the mentioned Funds with the assist of the legislation enforcement authorities.
3. PROMPT DECISIVE ACTIONS ALREADY TAKEN
The Board needs to guarantee stakeholders that it has moved swiftly and decisively because the fraud was detected. The next actions have already been accomplished:
– All implicated workers have been suspended and their system entry revoked
– People linked to the fraud have been arrested by legislation enforcement authorities
– The affected operational unit has been positioned below separate oversight, with new workers and revised reporting traces
– Further entry controls have been carried out throughout operations
– Central Financial institution of Sri Lanka (CBSL) has been saved totally knowledgeable
– All transaction logs, data, and proof have been secured for the continuing investigation
4. INDEPENDENT FORENSIC REVIEW TO COMMENCE
The Board has determined to nominate an impartial forensic auditor to conduct an intensive and an neutral overview of the fraud, its causes and to make sure that the Financial institution’s techniques and processes meets stringent requirements. The scope, timeline, and findings of this overview will probably be communicated to stakeholders sooner or later.
5. THE BANK REMAINS RESILIENT AND FINANCIALLY STRONG
Even contemplating the worst-case situation, the Financial institution’s monetary efficiency and place will probably be impacted as follows:
Monetary Impression: The Financial institution’s unaudited Loss After Tax for the Quarter ended 31 March 2026 is estimated to be roughly LKR 4.0 billion, after making a full provision for the utmost loss anticipated from this incident. As well as, through the 12 months ended December 31, 2025 – the Financial institution reported a internet revenue after tax of LKR 11.0 billion with a internet revenue of LKR 3.5 billion for the Quarter ended 31 December 2025.
Monetary Place: The unaudited whole Asset base of the Financial institution which is roughly LKR 990.0 billion at March 31, 2026 can be impacted by 0.7% on account of this incident.
Solvency: However this impression, the Financial institution’s Frequent Fairness Tier 1, Tier I and Complete CAR will proceed to be above the minimal regulatory necessities of seven.0%, 8.5% and 12.5%, respectively.
Liquidity: It should don’t have any impression of the Financial institution’s Liquidity Protection Ratios throughout each Rupee and All Forex on the mentioned reporting interval finish. The Financial institution’s entry to liquidity as required, stays additional augmented by entry to CBSL services.
6. REGULATORY SUPPORT EXTENDED BY THE CENTRAL BANK OF SRI LANKA
The Financial institution has obtained a regulatory assertion dated 05 April 2026, issued by the CBSL, extending acceptable regulatory assist and oversight, inside its mandate, to help the Financial institution in sustaining satisfactory ranges of liquidity and capital, to make sure easy functioning and stability of the Financial institution.
7. REGULATORY DIRECTIVES
The CBSL has directed the Financial institution to droop the fee of money dividend payable to the Financial institution’s shareholders which was scheduled to be straight credited to financial institution accounts on 6 April 2026 for shareholders who’ve given banking directions and dispatched earlier than 21″ April 2026 for different shareholders. The scrip dividend will proceed as deliberate. The CBSL has additionally directed the Financial institution to limit discretionary funds and droop department expansions. These directives will are available to fast impact and will probably be in pressure till particularly different by a call of CBSL
8. COMMITMENT TO TRANSPARENCY
The Board is dedicated to maintaining shareholders, depositors and the general public totally knowledgeable and can present updates as materials info turns into out there.
The Board needs to thank all stakeholders for his or her continued confidence and assist.
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