The Supreme Court today rejected the Fundamental Rights (FR) petition seeking an independent inquiry into the controversial Central Bank Treasury bond issue.

The FR petition was on March 27 by three good governance activists, Dr. G. Usvattearachchi, Dr. A.C. Visvalingam and Chandra Jayaratne.

The petitioners requested the court to direct the Monetary Board to carry out an independent inquiry by a competent panel of professionals and also to direct the Monetary Board and other associated respondents to formulate new systems, processes, rules and regulatory frameworks which assure transparency and best good governance practices are in place in respect of future public debt issuance.

Central Bank Governor Arjuna Mahendran, who was accused of being involved in insider dealing in the bond issue returned to work in April after a committee appointed by Prime Minister Ranil Wickremasinghe cleared him of his role.