Former Minister Johnston Fernando and businessman Hemantha Lalith de Silva have been released on bail after being arrested by the Commission to Investigate Allegations of Bribery or Corruption over an alleged procurement irregularity involving chairs purchased for the Mahinda Rajapaksa Auditorium in Polgolla.
The two men were arrested on September 4 and subsequently produced before the Colombo Chief Magistrate's Court.
The court released both suspects on bail.
According to court reporting, the Magistrate granted bail with two sureties of Rs.2.5 million each and imposed a travel ban.
CIABOC alleges that the investigation relates to the procurement of chairs from Design Point (Pvt) Ltd despite another bidder having submitted a lower offer that met the required standards.
The Commission alleges that the arrangement caused a financial loss of approximately Rs.7,973,114.50 to the Central Engineering Consultancy Bureau.
Fernando was arrested over allegations of corruption, while de Silva was arrested in connection with alleged aiding and abetting of the offence.
These remain CIABOC allegations.
Neither the arrest nor the alleged financial loss constitutes a judicial finding of guilt.
The current legal position is that the suspects were arrested, produced before court and subsequently released on bail while the case continues.