The Criminal Investigation Department (CID) and the Central Bank of Sri Lanka have launched separate probes to arrest a man and his wife accused of defrauding approximately Rs. 8 billion from around 22,000 individuals nationwide under the pretense of establishing a trading community.
Police said that numerous complaints lodged with the CID and the CB highlighted the scam's similarity to a pyramid scheme, ensnaring thousands of victims.
Initial inquiries uncovered that the suspect enticed individuals with promises of building a trading community and generating foreign currency for the country through the distribution of high-value educational packages. Allegedly, investments were also pledged in a United Arab Emirates-based company, with commissions purportedly destined for investors.
Operating a business school and a company in Kurunegala, the suspect purportedly served as chairman. Preliminary investigations unveiled the fabrication of documents, falsely portraying the registration of the business school and the company.
Further preliminary findings indicate that some investors poured sums ranging from one to 1.5 million rupees into the scheme, with several receiving no returns.
