Hundreds of disgruntled depositors of the crisis-hit, 80-year old The Finance Company (TFC) on Wednesday staged a protest in front of the Gangarama temple (Seema Malaka) in Colombo demanding a return of their deposits stuck in the accounts under Central Bank restrictions.

Around 800 depositors, including women, raised placards and chanted slogans urging the Prime Minister who is also the Finance Minister to solve TFC 'liquidity crisis with Central Bank intervention.

This was the first protest demonstration stage by depositors following the Central Bank's regulatory action against TFC since February 2019.

The presence of police personnel prevented the peaceful protestors from marching towards Temple Trees, official residence of the Prime Minister, to stage a picketing there.

Convener of the protest demonstration George Weragoda said that they had to resort to a picketing campaign as their talks with senior officials of the Prime Minister's office failed to find a redress for depositors.

He told the gathering of TFC depositors that the pledge given by those officials to a group of depositors to settle their grievances as soon as possible after the discussions couple of weeks ago is still to be materialised.

The Central Bank issued a notice of cancellation of the licence granted to TFC to carry on finance business on October 23, 2019.

It has informed that the company has the right to submit an acceptable proposal for investment in TFC along with proof of funds for capital infusion and a Business Restructuring Plan for the consideration of the banking regulator within 60 days from the date of issuance of such notice.

Previously the Central Bank having considered the weak financial performances of TFC took a number of regulatory actions with effect from February 15, 2019, with a view to safeguard the interests of the depositors and other stakeholders of the company.

The regulatory measures included suspension of accepting new deposits, withdrawal of deposits and disbursement of loans and advances to facilitate the restructuring process of TFC. (Bandula)

© Pakistan Press International, source Asianet-Pakistan