NDB Reports Internal Fraud to Central Bank; Deposits Remain Safe

COLOMBO (News 1st); The National Development Bank PLC (NDB) has informed the Central Bank of Sri Lanka (CBSL) that it has uncovered an internal fraud which could result in a significant financial loss, while assuring that no customer accounts or deposits have been affected.

According to the Central Bank, it has been formally notified by NDB regarding the incident and has conducted a preliminary assessment of the potential financial impact based on information provided by the bank.

CBSL stated that despite the reported loss arising from the internal fraud, NDB continues to maintain prudential ratios relating to capital adequacy and liquidity well above the minimum regulatory requirements.

The Central Bank said it remains satisfied with the bank’s financial stability at this stage and confirmed that it is closely monitoring ongoing developments.

CBSL added that it will take any necessary measures should circumstances require further regulatory intervention.

CBSL also noted that, if the need arises, NDB would be able to access temporary liquidity facilities made available to licensed banks under the provisions of the relevant laws and existing liquidity support schemes administered by the Central Bank.