Senior tax official granted bail amid bribery allegations following undercover operation

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July 22, Colombo (LNW): A senior officer from the Inland Revenue Department, previously taken into custody over bribery allegations, has been released on bail by the Colombo Magistrate’s Court under strict conditions.

The official, holding the position of Deputy Commissioner, had been remanded in connection with claims that he solicited a bribe from a businessman in exchange for writing off substantial tax liabilities.

The court approved the release on two surety bonds of Rs. 1 million each. Colombo Additional Magistrate Harshana Kekunawala issued the ruling after reviewing arguments presented by the defence, which included personal circumstances surrounding the accused.

Defence counsel Darshana Kuruppu told the court that the suspect’s teenage son was undergoing acute psychological distress due to his father’s remand status. The 14-year-old, according to the lawyer, had ceased attending school and was refusing to eat, prompting medical intervention.

Citing these circumstances as extraordinary and compassionate grounds, the legal team requested that the court consider bail.

After deliberation, the Magistrate agreed to the request while instructing the accused to cooperate fully with the ongoing investigations. The next court appearance has been scheduled for December 05.

The arrest stemmed from a covert operation launched by the Commission to Investigate Allegations of Bribery or Corruption (CIABOC), following a complaint from a businessman based in Piliyandala.

The complainant had approached the Inland Revenue Department seeking a tax clearance certificate for the 2025 financial year, relating to his business activities in Dematagoda.

During discussions, it is alleged that the Deputy Commissioner informed the businessman of an outstanding tax amount exceeding Rs. 1.1 million, but offered to dismiss the liability in exchange for an unofficial payment.

Initial demands reportedly totalled Rs. 100,000, though this figure was later reduced to Rs. 50,000 during further interactions.

CIABOC officers apprehended the suspect while he was allegedly attempting to receive the payment at his office.

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