The Central Bank has taken measures to commence the second stage of the compensation payments to the depositors of The Finance Company PLC (TFC) with effect from 02.07.2020.
Accordingly, such payments will take place at 63 branches of the People’s Bank island wide. In terms of this compensation mechanism Rs. 600,000/- is paid per depositor basis, the Central Bank said.
Under the second stage compensation to all the depositors confirmed by the TFC will commence from 02.07.2020.
Upon cancellation of the finance business license of TFC by the Monetary Board of the Central Bank of Sri Lanka, compensation payments to the depositors/legal beneficiaries of depositors of the TFC from the Sri Lanka Deposit Insurance and Liquidity Support Scheme (SLDILSS) commenced on 07.06.2020.
Accordingly, under the first stage of the payment mechanism, compensation payments to individual depositors who maintain only one account i.e. nearly 105,000 depositors in total were implemented.
Under the second stage of the mechanism approximately another 38,000 depositors will be eligible to receive compensations.
The CBSL has taken all required measures to ensure that compensation procedure is implemented in an efficient and effective manner. The People’s Bank has been appointed as the Agent of the CBSL with a view to execute compensation program expeditiously.
The depositors of TFC are hereby requested to extend their maximum cooperation towards this compensation program by submitting originals of deposit certificates, identification details and other required documents.