Schaffter Murder: Suspects still at large
Sri Lanka Police and the Criminal Investigations Department recorded statements from 23 people in connection with the murder of respected Colombo-based businessman Dinesh Schaffter.
A homicide investigations is underway involving the CID, Colombo Crimes Division and two other police teams.
The incident sent shockwaves across Colombo when Dinesh Schaffter was found tied up and strangled inside his car at the Public Cemetery in Borella on Thursday (15) evening. He was admitted to the Intensive Care Unit of the Colombo National Hospital, where he succumbed to his injuries.
Questions are being raised regarding the motive for the murder: Was it premeditated? Was this an attempted intimidation tactic gone wrong? Reasons for suspicion arise when taking into account the fact that Dinesh Schaffter was still alive when he was found at the Public Cemetery in Borella.
The Sri Lanka Police are investigating the homicide on multiple leads and angles. "Telephone records and CCTV footage are being obtained and analyzed," said Police Spokesperson SSP Nihal Thalduwa. "Detectives are also looking into the lifestyle of the businessman, complaints made against him to police and the CID, and other business related matters," he added. The SSP stated CID detectives and officers from the Borella Police have recorded statements from 23 people. He said, "Forensics personnel are also taking records of fingerprints to gather scientific evidence."
What is the link to Brian Thomas?
According to the Sri Lanka Police, a statement was recorded from former cricket commentator Brian Thomas regarding the murder of Dinesh Schaffter.
Detectives have also taken custody of the mobile device used by Brian Thomas for their investigations.
Thomas had informed detectives that Dinesh Schaffter had sent him an SMS requesting to meet. However, Thomas had replied by SMS stating that there was no need for them meet.
Yet, on Friday (16) Colombo Additional Magistrate Harshana Kekunawela issued an order preventing Brian Thomas from traveling overseas.
"A complaint was filed with the CID with regard to a company that was operated by Brian Thomas and the late businessman," SSP Thalduwa said. He explained that detectives are looking into this as the complaint relates to a sum of Rs. 1.43 billion. "Investigations are continuing to identify the criminals responsible for this," he added.
Who is Dinesh Schaffter?
Schaffter graduated with a Bachelor’s Degree in Law, with proficient qualifications in Finance as a Member of the Chartered Institute of Management Accountants, UK.
He was a well respected name in the Sri Lankan financial markets, and was committed to towards maintaining credibility in the market.
Multiple financial companies that he led were operational in the Primary and Secondary markets in Sri Lanka. Among those is First Capital Treasuries PLC, a company in which he was listed as the Managing Director.
Do you recall the infamous Treasury Bond Scam?
Dinesh Schaffter was a primary material witness at the Presidential Commission that investigated the Bond Scam.
The Presidential Commission of Inquiry investigated Bond Issuances from February 1st 2015 to March 31st 2016, and the evidence provided by Dinesh Schaffter led to startling revelations.
The testimony provided by Dinesh Schaffter to the Presidential Commission of Inquiry can be found on page 223 of the report of the Presidential Commission.
In the evidence he provided, Schaffter stated that he had had no knowledge of any unusual fund requirement for the government or of any price sensitive information prior to the Treasury Bond Auction on 27th February 2015.
He stated that the government's money requirement, as far as he was aware, was the amount that was advertised by the Central Bank of Sri Lanka before the said Auction.
According to his evidence, First Capital Treasuries PLC had also placed bids through its' chief dealer Ms. Suhini Himalika Fernando at the Auction held on 27th February 2015.
Schaffter stated that he became aware of two unusual events that occurred at the bond auction.
One was that the amount of bids accepted at this particular auction was 10 times higher than the amount offered.
The other was that the Yield Rate had gone up over 300 basis points than what was prevailing in the market at the time.
He called these events "unprecedented" and "shocking" and had brought it to the attention of Dr. Harsha de Silva who was a Deputy Minister at the time.
Further evidence by Dinesh Schaffter noted that his Primary Dealer company had no intention of bidding at the auction however did so as it was a mandatory requirement for all Primary Dealers to place bids. He said that his company placed a 'dummy bid' at the auction hoping that the bid would be rejected by the Central Bank of Sri Lanka.
However since the Central Bank unexpectedly decided to accept bids with Yield Rates higher that the market rates at the time, the dummy bid by Dinesh Schaffter's company was also accepted. He told the commission that this decision cost his Primary Dealership a lot of money.
The evidence presented by the late Dinesh Schaffter was vital for the Presidential Commission of Inquiry into the Treasury Bond Scam to make is recommendations.
Taking these facts into consideration, it can be said that the late Dinesh Schaffter was a powerful witness to the Presidential Commission of Inquiry investigating the infamous 'Treasury Bond Scam'.