Below is a response article by the HNB Progressive Employees for the article “Suresh Shah’s Alleged Coup to Oust the HNB Chairman” published on our site on 02.02.2026.
Thank you for exposing this corrupt practice. As employees of Hatton National Bank, we feel compelled to respond to recent reports referring to an alleged “HNB coup.” While we do not comment on personalities, the growing accounts of internal infighting and governance discord—circulating both publicly and through informal channels—are deeply troubling. Such instability is damaging for any institution, but it is particularly alarming for a bank with the stature, history, and national importance of HNB.
HNB’s roots go back to 1888 in Hatton, when it was established to support Sri Lanka’s tea industry. Over time, it evolved far beyond its original mandate. The bank was formally incorporated in 1970, taking over Grindlays Bank branches in Kandy and Nuwara Eliya, and steadily grew into one of Sri Lanka’s most respected private-sector financial institutions. HNB pioneered mobile banking in rural areas, expanded strategically through acquisitions such as Mercantile Bank in 1974, and consistently positioned itself at the forefront of innovation, governance, and national development. This legacy was built patiently—by generations of professionals—not by opportunism or short-term power struggles.
Against this backdrop, the conduct attributed to the current Board is deeply concerning. Decisions that create uncertainty, internal divisions, or reputational risk are simply unpardonable for an institution of this heritage. Governance at a leading bank demands wisdom, restraint, and a deep understanding of institutional culture—not experiments that risk eroding trust built over more than a century.
Particular concern arises from the apparent over-reliance on retired CEOs from other banks, appointed without sufficient regard for contextual relevance. One such appointee R Renganathan he repeatedly claims credit for “building” Commercial Bank at the bank meetings—a claim that many long-serving Commercial Bank professionals laugh. Leadership there was the result of collective institutional strength developed over decades, not the legacy of any one individual, especially one whose tenure as CEO was relatively brief.
Another former CEO, from Sampath Bank Nanda Fernando , appears intent on transplanting Sampath-specific practices into HNB. This approach is misguided. Sampath Bank and HNB are fundamentally different institutions, with distinct cultures, risk frameworks, customer bases, and strategic strengths. Moreover there is a dispute about his consultancy practice that he has failed to disclose to the bank .HNB has its own proven operating model and competitive advantages. Imposing external practices without regard for institutional DNA risks weakening—not strengthening—the bank.
More troubling still are references to individuals like Samarasinghe and Suresh Shah with little or no substantive banking experience occupying influential board positions. If there are ongoing investigations or credible governance concerns relating to such appointees, they must be addressed decisively. The question that naturally arises is how such approvals were granted in the first place. Regulatory oversight exists precisely to prevent unsuitable appointments that could jeopardize depositor confidence and systemic stability by the CBSL.
This is not about personalities mentioned they can be replaced overnight ; it is about institutional stewardship. The responsibility lies not only with the Chairman and the Board, but also with the Central Bank of Sri Lanka (CBSL) and with shareholders. Strong banks require strong, competent, and credible independent directors—individuals with proven banking expertise, integrity, and an understanding of fiduciary duty. Not like the people in your story.
HNB today needs clear direction. The CBSL would do well to intervene constructively by ensuring that the Board reflects the professionalism and experience expected of a leading financial institution. Shareholders, too, must exercise their responsibility by insisting on capable, credible directors who place the bank’s long-term health above personal agendas.
HNB has survived wars, crises, and economic cycles because it was guided by good leaders like Wijethilaka and courage . That legacy must not be squandered now by these half baked political directors .
HNB Progressive Employees
Related Stories:
https://lankanewsweb.net/archives/168748/suresh-shahs-alleged-coup-to-oust-the-hnb-chairman/
The post Response to HNB Coup: An Irresponsible HNB Board Risks a Proud Legacy appeared first on LNW Lanka News Web.
