Colombo, Sri Lanka — Police are investigating the death of Kapila Chandrasena, the former chief executive of SriLankan Airlines, who was found at a relative's home in the capital on May 8, 2026.
The news comes as authorities had moved to re-arrest him just the previous day in a long-running corruption investigation tied to one of the airline's largest aircraft purchases. Chandrasena had been freed on bail earlier in the week after spending time in custody, but prosecutors accused him of attempting to influence the bail process through improper payments to two individuals.
Chandrasena served as CEO of the state-owned carrier from 2011 to 2015. In March 2026, he was arrested by Sri Lanka's Commission to Investigate Allegations of Bribery or Corruption on charges related to conspiring to accept a $16 million bribe from Airbus. The payments were allegedly connected to a $2.3 billion transaction for 10 aircraft that required approval from the cabinet at the time.
Investigators claim Chandrasena admitted during questioning to directing around 60 million Sri Lankan rupees — roughly $480,000 — to then-President Mahinda Rajapaksa and former aviation minister Piyankara Jayaratne to help finalize the order. A spokesman for Rajapaksa has rejected the accusations. The commission reportedly plans to summon both men for statements in the coming days.
The case forms a notable chapter in the global Airbus bribery scandal. In 2020, the manufacturer reached a landmark settlement exceeding $3.9 billion with authorities in the United States, United Kingdom and France. The agreements resolved allegations that Airbus used third-party intermediaries to bribe officials and executives to win airline contracts around the world, including the Sri Lankan deal. UK investigators highlighted specific failures by Airbus to prevent associated persons from offering bribes to SriLankan Airlines personnel.
In December 2024, the US government sanctioned Chandrasena and members of his immediate family, alleging he accepted bribes to ensure Sri Lanka bought Airbus aircraft at inflated prices. The sanctions added further international pressure on the matter.
SriLankan Airlines has struggled significantly in recent years. By the end of March 2025, the carrier had racked up losses of approximately 596 billion rupees, or about $1.85 billion. Multiple attempts to find a buyer or strategic partner for the airline have failed to produce results, leaving its future uncertain.
Anti-corruption groups have described Chandrasena's death as a potential blow to transparency efforts in one of Sri Lanka's most prominent public sector graft cases. While some local reports indicate the death is suspected to be a suicide, police have emphasized that the cause and full circumstances remain under investigation, with input expected from judicial medical officers and a magistrate.
The episode underscores persistent challenges surrounding governance, procurement practices and political influence in Sri Lanka's aviation industry. It also renews questions about accountability in major commercial aircraft deals between manufacturers and state carriers in emerging markets. As the probe continues without its central figure, attention will likely turn to other individuals named in the allegations and what it means for ongoing reform initiatives at the national airline.