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$2.5m cyber fraud row sparks showdown: Govt Blocks Fraud Debate

$2.5m cyber fraud row sparks showdown: Govt Blocks Fraud Debate

28 Apr 2026 | By Buddhika Samaraweera


  • SJB denied urgent debate on Treasury-linked payment
  • Opposition to consult allies on next move
  • Public kept in the dark for months, Opposition alleges
  • Head: Govt. blames State officials 'irresponsibility'


A political showdown is brewing over the controversial cyber fraud involving nearly US$ 2.5 million in diverted State funds, after the Government blocked an Opposition request for an urgent Parliamentary debate next month.

The main Opposition, the SJB, said it will now engage in internal discussions and consult other Opposition parties to determine its next course of action, following repeated resistance from the NPP to allocate time for a one-day debate.

Chief Opposition Whip Gayantha Karunathilleka, speaking to The Daily Morning, said the issue was raised at a party leaders’ meeting convened under the patronage of Speaker Dr. Jagath Wickramaratne yesterday (27), ahead of Parliament reconvening in the week beginning 5 May after the Sinhala and Tamil New Year recess.

He said the Opposition had formally requested that time be allocated during the first Parliamentary week to debate the transaction, which was carried out by the Finance Ministry. “We also explained how such a debate could be accommodated within the Parliamentary schedule. However, the Ruling Party continued to maintain that time could not be allocated,” he said.

Karunathilleka stressed that financial authority rests with Parliament and raised concern the transaction had taken place nearly four months ago without the Legislature being informed. Given the scale and implications of the incident, he said, the public had a right to know the full facts.

“As the Ruling Party continuously opposed our request, we decided to hold further discussions within the SJB and with leaders of other Opposition parties to determine the next steps,” he added.

Speaker Wickramaratne and Chief Government Whip Dr. Nalinda Jayatissa were unavailable for comment.

Meanwhile, Ports, Civil Aviation and Energy Minister, Anura Karunathilaka has described the payment of US $ 2.5 million by the Treasury to cybercriminals as an act of serious irresponsibility by State officials.

Speaking to journalists, he said that a special investigation has been launched into officials allegedly involved in the incident.

He said that disciplinary action has already been initiated against those found responsible, adding that further steps will be taken based on the findings of ongoing inquiries.

Karunathilaka also noted that attention has been extended to other parties linked to the matter as investigations continue.

“Clearly, there has been irresponsible conduct by State officials. Disciplinary action has already been taken against the relevant officials. Further action will be taken based on the outcomes of the investigation,” he said.

The controversy centres on an alleged cyber fraud in which nearly US$ 2.5 million, linked to a bilateral transaction with Australia, was diverted from an official Government payment earlier this year. According to available information, the funds—intended for an Australian creditor—were redirected after email communications related to the transfer were compromised by cyber actors.

While the payment was processed through official Treasury-linked systems, the intended recipient reportedly did not receive the funds, raising serious questions over safeguards, accountability, and the integrity of State financial transactions.

 



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