The suspect, identified as K. Herath, had served as the department’s Controller of Information Technology and Border Control. The arrest was made by the Financial Crimes Investigation Division of the CID under provisions of the Prevention of Money Laundering Act.
Investigators allege that more than Rs. 9.8 million had been paid for the installation of a software system known as the “User Management Module.” However, authorities claim the software was never installed and that the funds were fraudulently obtained without delivering the system.
Police said further investigations are underway into the alleged misuse and misappropriation of public funds linked to the project.
The suspect is due to be produced before court while the CID continues inquiries into the incident.
