The financial fraud case involving former Tamil Liberation Front leader Arun Thambimuthu is scheduled to be heard on May 8. Thambimuthu was arrested in Batticaloa by the Financial Fraud Investigation Unit of the Criminal Investigation Department (CID) over allegations related to a business deal with two Canadian investors of Sri Lankan origin, Christy Gunaratnam and George Ng.
According to CID sources, Thambimuthu entered into a business agreement with the Canadian nationals and allegedly misappropriated Rs. 37 million intended for the investment project. The transaction was reportedly tied to a business initiative proposed to be launched in Sri Lanka.
Following a formal complaint, the CID apprehended Thambimuthu on April 2 at a private hotel in Pasikuda. He was later produced before the Batticaloa Magistrate’s Court, where his legal team argued that the dispute stemmed from a civil business agreement and not a criminal offense.
After hearing arguments from both sides, the Magistrate released Thambimuthu on bail with two sureties amounting to Rs. 3.28 crore and instructed him to reappear in court on May 8.
Meanwhile, Canadian investor George Ng, one of the complainants, expressed concern over the alleged fraud and its impact on foreign investor confidence in Sri Lanka.
“My name is George Ng, I am a Canadian living in Canada. I am here to make a statement about a fraud case happening in Batticaloa, Sri Lanka. My business partner Christy Gunaratnam and I between the dates of 12.10.2023 to 05.03.2024 have sent Arunmozhivarmam Velkaratheesan Manickam Tambimuttu ID card number 197527801117 a total of about 40 million rupee with the purposes of opening a shrimp farm/ building a shrimp farm feed factory and to open a BOI company. In June of 2024 we went to Sri Lanka with the purposes of seeing the progress of the project only to discover he took our money and did not complete any of the projects. Now Christy and I have requested that Arun refund us back our money with a reasonable amount of time, but he has consistently made excuses to delay to return. Even when Christy traveled to Sri Lanka in December of 2024 to meet with Arun in person to talk about refunding us back our money he continues to make excuses. Now we have discovered that he intentionally made this scam with no intention to return our money. Now we have no alternative but to take legal action to settle with case. Regards George Ng.”