Oct 12 (ECONOMYNEXT) Sri Lanka's state-run insurance giant has sacked its Joint Managing Director T. M. R. Bangsa Jayah, the brother-in-law of former finance minister Ravi Karunanayake, officials said today.
Bangsa Jayah, an appointee of Karunanayake, refused to step down to allow the ministry of State Enterprise Development carry out a restructuring of Sri Lanka Insurance (SLC) forcing his sacking, the official said.
"The minister (Kabir Hashim) has decided to make SLC more effective by getting a professional management team," the official said. "For that to take effect, everyone was asked to step down, but Mr. Bangsa Jayah refused."
He was given marching orders following a board meeting on Wednesday evening. He is expected to be expelled from SLC board too. SLI chairman Hemaka Amarasuriya is to be retained as chairman of SLI.
The sacking of Bangsa Jayah comes in the wake of a suspension of another Karunanayake appointee, Shalil Munasinghe, who headed the SLC subsidiary Litro Gas.
Munasinghe was arrested earlier this week in connection with a 1.3 million dollar Taiwan bank robbery following a hacking attack against the financial institution last week.