Mr. Kotelawala was released on Rs. 25 million personal bail

Each director was ordered to release on bail of 25 million rupees each by Mt. Laviniya magistrate.

Chief Executive Officer of the GKCCC, Karvan Perera and two other directors were remanded in custody until 16 Januray.

The Attorney General, prosecuting, told the court that GKCCC is not been monitored by the Central Bank and apprx. 26 billion rupees deposited in the said company have been misused.

Rs. 26 billion 'misused'

A lawyer representing Mr. Kotelawala argued that his client was not aware of the financial fraud in Golden Key Company.

Rejecting the statement, a lawyer representing GKCCC's CEO Karvan Perera said every financial transaction in the company was made with the knowledge of Mr. Kotelawala.

	Chairman and CEO are accusing each other of financial fraud

The lawyer accused Mr. Kotalawala of trying to put the blame on his client in an attempt to clear his name on the financial fraud in the company.

The directors were also ordered not to enter the premises of GKCCC until 16 January.

Sri Lankan media reported that the credit card company is facing a major crisis and having difficulties in paying back its depositors.

Earlier, the Central Bank of Sri Lanka has ordered Bank of Ceylon to take over the troubled Seylan Bank.

A statement issued by the Central Bank said that it has also decided to discontinue the services of the Board of Directors of Seylan Bank.

Seylan Bank PLC has faced difficulties "with regard to deposit withdrawals and ensuing liquidity problems", the statement said.

Both Seylan Bank and GKCCC are part of Ceylinco Group of Companies, chaired by Lalith Kotelawala.