COLOMBO, Sri Lanka — A Colombo court on Tuesday extended the remand custody of Namal Rajapaksa, a member of Parliament and the eldest son of former President Mahinda Rajapaksa, until Oct. 16 in a bribery investigation involving payments linked to Krish, an Indian property company.
The order also applies to Janaki Siriwardena, a former director of Krish. Colombo Chief Magistrate Asanga S. Bodaragama said he would rule on bail applications for both suspects on Oct. 16.
The magistrate issued the order after hearing submissions from the Commission to Investigate Allegations of Bribery or Corruption and from defense lawyers. Mr. Rajapaksa and Ms. Siriwardena, who have been held in remand custody, were produced in court for the hearing.
Ama Wijesinghe, an assistant legal director appearing for the Bribery Commission, submitted a report on the progress of the investigation.
According to the commission, an accountant at Krish Transworks told investigators that the company made a payment to Nimal Perera in September 2012. The accountant said the payment was made outside the company's normal procedures but had been approved by its board of directors. The money was later credited to Mr. Perera's account, the accountant said, even though he had provided no service to Krish in return.
Ms. Wijesinghe told the court that investigators had also examined the accounts of Ceylon Premier Sports at Sampath Bank's Super Branch. The commission said the examination showed that the 70 million rupees Krish was said to have provided had never been deposited into the organization's account.
According to the submissions, Ceylon Premier Sports was established under Mr. Rajapaksa's leadership, but Mr. Perera served as its chairman, and Mr. Rajapaksa held no formal position in it. Investigators said they had found no evidence that Krish sponsored the Carlton Super Seven rugby tournament.
Investigators are also examining a letter that the commission says Mr. Rajapaksa sent to Krish on Dec. 15, 2012, thanking the company for sponsorship money. The commission told the court that the money referred to in the letter had not been used for rugby, and it asked for permission to obtain samples of Mr. Rajapaksa's handwriting to examine the signature on the letter.
The commission is also seeking statements from two Indian nationals and former Krish directors, Amit Katyal and Rajendra Prasad Gupta, who have been named as suspects. Investigators said the two men had not responded to emails and express-mail notices asking them to appear. The commission told the court it was moving to obtain international arrest warrants against them and expected to submit supporting material.
Jeevantha Jayatilleke, a lawyer for Mr. Katyal, told the court that his client was willing to give a statement and cooperate with the investigation but could not travel to Sri Lanka because of ill health. He said investigators could travel to India to record the statement.
The commission opposed bail for the suspects.
Ali Sabry, a President's Counsel representing Mr. Rajapaksa, said he would file written arguments in support of his client's bail application. Mr. Sabry disputed the commission's description of the transaction as a bribe, arguing that the money had been provided under an agreement, and questioned how a payment made under a contract could be treated as one.
The magistrate ordered the commission to inform the court of its position on the bail applications by Oct. 12.
