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SriLankan Airlines Airbus Case Stalls After Lead Suspect Dies

SriLankan Airlines Airbus bribery case continues as former CEO Kapila Chandrasena dies, with investigations into the USD 2.3 billion aircraft deal ongoing.

SriLankan Airlines Airbus Case Stalls After Lead Suspect Dies
Former SriLankan Airlines CEO Kapila Chandrasena linked to the Airbus bribery investigation involving the airline’s 2013 aircraft purchase deal.
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The Lead Suspect in SriLankan Airlines Airbus Bribery Case Died in Custody, the Trial Has Not Even Started

A Colombo Magistrate's Court on July 14, 2026 ordered Sri Lanka's Commission to Investigate Allegations of Bribery or Corruption to submit a full progress report by October 13 on its investigation into SriLankan Airlines' 2013 Airbus aircraft purchase. The next hearing date was set for October 13. The court has been setting hearing dates and requesting progress reports for six years. The case has not produced a conviction.

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The reason the October 13 date matters more than usual: the first accused, former SriLankan Airlines CEO Kapila Chandrasena, was found dead at a relative's home in Colombo on May 8, 2026, three days after being released from custody and one day after a court ordered his re-arrest on allegations he had bribed two men to secure his bail.

A dead principal suspect, two remaining suspects with outstanding arrest warrants, a former president summoned to testify, and a USD 1 billion lawsuit against Airbus still working through international courts. This is not a dormant case waiting on bureaucracy. It is one of the most consequential governance failures in Asian aviation history, still unresolved thirteen years after the original transaction.

What Actually Happened in 2013

In 2013, SriLankan Airlines entered agreements to purchase six Airbus A330-300s and four A350-900s, alongside leasing an additional four A350-900s, in a deal valued at approximately USD 2.3 billion. UK court documents revealed in 2020 that Airbus had offered a USD 16 million bribe connected to the deal, with USD 2 million paid through a shell company called Biz Solutions Inc., incorporated in Brunei in 2012, with funds transferred to a Singapore account. Chandrasena's wife had acted as an agent for the procurement, and the payments flowed through her company.

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Airbus ultimately paid more than EUR 3.5 billion in penalties to authorities in France, the UK and the United States to resolve the wider foreign bribery investigation, of which the SriLankan Airlines case was one of five counts. The manufacturer paid its penalties. The Sri Lankan officials who received the money are still being investigated.

The Suspects Still Facing Warrants

The second suspect is Chandrasena's wife, Priyanka Niyomali Wijenayake, and the third is former SriLankan Airlines board member Shamindra Rajapaksa, son of former Minister Chamal Rajapaksa. Both have outstanding arrest warrants. Former President Mahinda Rajapaksa was summoned to appear before the CIABOC in May 2026 and stated publicly that he would cooperate.

The political dimension of those names explains much of why this case has moved so slowly. Mahinda Rajapaksa was President of Sri Lanka when the aircraft deal was signed in 2013. His son Shamindra was on the SriLankan Airlines board. Prosecuting members of Sri Lanka's most powerful political dynasty for a corruption case that dates to their time in office requires a level of institutional independence that Sri Lanka's anti-corruption apparatus has historically struggled to maintain against political pressure.

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The USD 1 Billion Lawsuit That Is Running in Parallel

SriLankan Airlines filed a USD 1 billion lawsuit against Airbus for damages, loss of reputation and reimbursement of costs following the corruption revelations, also seeking cancellation of its outstanding A350-900 order and return of USD 19 million in pre-delivery payments. That case is proceeding separately from the criminal proceedings in Colombo.

SriLankan Airlines has been in a precarious financial situation for years, recording operating losses in the billions between 2022 and 2024, with the corrupt aircraft deal cited by the current chairman as having caused long-term operational instability and reputational damage that the airline is still recovering from.

Taxpayers have been funding an airline whose leadership accepted bribes to buy overpriced aircraft. The aircraft deal is saddled with penalties, cancelled leases and a billion-dollar lawsuit. The criminal case has been running since 2020 and its lead defendant died before it reached trial. October 13 is the next date a court will ask an investigative commission how much longer this is going to take.

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