The Sri Lanka Police Special Task Force (STF) has arrested three individuals, including a jewellery shop owner who had earned money from drug trafficking and remitted the proceeds to India through the Undiyal system in a clear act of money laundering. The suspects were arrested during special raids at several shops in Pettah and Maligawatte. Police stated that nearly Rs.18.7 million and a stock of foreign currency notes valued at Rs.500,000 was found in their possession.
The money was confiscated by the STF. Among the foreign notes, Indian Rupees, Kuwaiti Dinars, Qatari Riyals, Singapore Dollars, US Dollars and Euros were found.During the raid, the STF also found two mobile phones used to handle the Undiyal racket and a document recording the Undiyal transactions.The main racketeer is the owner of a jewellery shop in Mannar.
Investigations have revealed that these smugglers are used to send around Rs.50 million to India per day through the Undiyal system.
The arrested suspects are residents of Wellawatte, Hulftsdorp and Maligawatte. There are middlemen among them in this racket.
This Undiyal racket was revealed as a result of an investigation carried out by the STF recently on a racket smuggling crystal methamphetamine (ICE) to Sri Lanka by boats through India.
STF personnel from the Gonahena camp arrested a man on May 14 while transporting a consignment of ICE which had been brought to Talaimannar from India. The STF found 01kg and 20g of ice hidden in the side door of the driver’s seat of the car in which the man was traveling to Colombo.