LNP - Payment to Chinese Company halted following court decision: People’s Bank

Responding to the moves taken by the Economic and Commercial Office of the Chinese Embassy in Sri Lanka to blacklist People's Bank,the People's Bank said the decision to halt the payment to the Chinese Company was taken following an interim injunction issued by the court. The bank said steps would be taken on making the payments depending on future court decisions. The Economic and Commercial Office of the Chinese Embassy in Sri Lanka had announced that People's Bank was blacklisted for failing to make the payment according to the Letter of Credit and the contacts between two parties. The Embassy said the Chinese fertilizer enterprise Qingdao Seawin Biotech Group Co., Ltd requested to get the payment of L/C by People’s Bank of Sri Lanka according to the contracts.