The Central Bank of Sri Lanka announces that it has taken legal action against 8 companies that engaged in pyramid schemes using prohibited schemes.
That is according to an investigation made according to the complaints received by the Central Bank.
According to these investigation reports, the Central Bank of Sri Lanka has determined that the following institutions have acted contrary to Section 83(c) of the Banking Act.
- Tiens Lanka Health Care (Pvt) Ltd.
- Best Life International (Pvt) Ltd.
- Global Lifestyle Lanka (Pvt) Ltd.
- Mark-Wo International (Pvt) Ltd.
- VMLInternational (Pvt) Ltd.
- Fast 3Cycle International (Pvt) Ltd (F3C)
- Sports Chain App, Sports Chain ZS Society Sri Lanka
- OnmaxDT
Any person directly or otherwise initiates, promotes, publicizes, propagates, conducts, financing of such schemes, directing or managing such fraudulent practices in contravention of the provisions of Section 83(c) of Bank Act No. 30 of 1988 is a punishable offence.
Punishment for such offense may include imprisonment for a term not exceeding three years or fine not exceeding one million rupees or both. If the offense is committed knowingly or if the act will cause loss or damage to any person, the person who commits the offence shall be liable to imprisonment with hard labour for a term not less than three years and not more than five years and a fine of 2 million rupees or a fine equal to twice the value of the total amount revealed or revealed to have been received from the participants of the scheme, whichever is greater.
Accordingly, the Central Bank of Sri Lanka announces to refrain from such activities which may be punishable by law.
Furthermore, the statement made by certain sections of the society that the Central Bank of Sri Lanka has entered into certain agreements with the above listed institutions, which are currently determined to be conducting pyramid schemes, is rejected by the Central Bank of Sri Lanka. Accordingly, the Central Bank also informs that it has forwarded requests to the Attorney General to consider the transfer of criminal proceedings under Section 83(c) of the Banking Act for the named pyramid schemes.
