A Singapore-based company in which stakes are held by the family members of former Union Minister of State S. Jagathrakshakan of the DMK has been linked to a record foreign direct investment of $3.85 billion in an oil refinery in Sri Lanka.
However, the recent announcement by Sri Lanka’s Board of Investment (BOI) on the record deal has run into a controversy after Oman, which the Board said was an investor along with the Singapore company, on Wednesday denied being part of the deal.
The Singapore company, Silver Park International Pte Ltd, is putting 70% of the share capital — a total of $1887 million — in the project running into billions of dollars. The remaining, nearly $ 2,000 million, is to be raised as loan capital, sources said.
Silver Park International, named by the BOI, is registered with Singapore’s national regulator Accounting and Corporate Regulatory Authority (ACRA), with three of its four directors — Jegath Rakshagan Sundeep Anand, Jagathrakshakan Sri Nisha and Jagathrakshakan Anusuya – listed with a Chennai address. They are the son, daughter and wife of Mr. Jagathrakshakan, who is the DMK’s Arakonam Lok Sabha candidate. “We are aware of the Singapore company’s links to an Indian business interest. The agreement has been signed by one Mr. Jagathrakshakan,” a senior government source in Colombo told The Hindu, requesting anonymity.