By Roy Denish
WASHINGTON — Newly leaked information from Sweden has tied fresh multi-million-dollar money laundering allegations to international Airbus transactions, pulling international scrutiny back to a web of financial flows routed through Sri Lanka.
While baseline figures for the Airbus-related inquiries initially centered around $2 million, recent reports indicate the transactions could total as high as $54 million. The funds, described as astronomical in Sri Lankan rupees, trace back through an array of accounts originating around 2008, with multi-million-dollar transfers hitting Sri Lankan accounts heavily from 2013 onward during the administration of then-President Mahinda Rajapaksa.
U.S. federal court records show that the underlying investigations stem from a fraudulent investment initiative known as the Cities Upliftment Programme (CPCU)—marketed as a public-private partnership purportedly overseen by the New York Federal Reserve. According to U.S. prosecutors, the scheme targeted American and global investors with promises of massive returns, only to siphon funds into domestic and offshore shell accounts.
Investigators point to 2013–2014 as the period when U.S.-sourced funds began flowing into Sri Lanka, landing in accounts tied to Ascension, Magonfield Construction, and Punya Edwards, wife of central figure Rienzie Edwards. Edwards had previously leased the Nuwara Eliya Racecourse (Royal Turf Club) for a five-year term beginning in 2012 under Urban Development Authority oversight led by Gotabaya Rajapaksa.
Though U.S. authorities formally notified Sri Lanka of the illicit funds in December 2016, local inquiries stalled. Allegations have centered on Ravi Vaidyalankara, then-Deputy Inspector General of the Financial Crimes Investigation Division (FCID), who is accused of leveraging his position for personal enrichment and accepting massive payoffs to bury the investigation.
Reports indicate that the cover-up extended into the “Good Governance” (Yahapalana) administration, where politician Navin Dissanayake allegedly provided political protection to Rienzie Edwards and shielded Vaidyalankara. Records show Dissanayake and Edwards traveled to Japan in 2016 regarding the CPCU project, with plans floated to extend the Nuwara Eliya Racecourse lease to 30 years.
Although the Criminal Investigation Department (CID) eventually filed a B-report at the Colombo Fort Magistrate’s Court in 2019, comprehensive details regarding the origin of the funds and local institutional failures remain anchored in ongoing international and domestic judicial proceedings.
