Police probe 17 companies over illegal foreign remittances
Sri Lanka Police’s Financial Crimes Investigation Division has launched an investigation into 17 more companies suspected of illegally transferring money overseas under the guise of importing goods.Investigators suspect that most of the companies are operated by one or two individuals. The suspects have reportedly been identified, and steps are being taken to arrest them. Investigations have revealed that the 17 companies, together with 72 companies already facing legal action, transferred around Rs. 190 billion overseas between January 1, 2023 and September 30, 2025.Of this amount, around Rs. 130 billion is believed to have been transferred by the 72 companies already subject to legal proceedings.
Investigators said the suspects used six private and state-owned banks in Colombo to carry out the transactions. Three suspects already arrested and remanded in connection with the investigation are also alleged to have transferred funds to several countries identified as high-risk for money laundering, including Brazil, Panama, Mauritius and Madagascar. Investigators said no goods were imported into Sri Lanka from those countries.The Customs Department has reportedly imposed fines totaling nearly Rs. 10 billion on several prominent businesspeople accused of evading taxes by transferring funds overseas through the arrested suspects.
Two owners of leading textile businesses have reportedly been fined Rs. 4.5 billion and Rs. 3 billion respectively, while a major engineering and manufacturing group has been fined Rs. 1.8 billion. The fines are reportedly equivalent to three times the amount of taxes allegedly evaded.The Financial Crimes Investigation Division said the number of people transferring money through the TT system has declined by around 90% due to the ongoing investigations.