The Police Financial Crimes Investigations Division (FCID) will no longer be functional, informed government sources said.
The current investigations carried out by the FCID will be taken over by the Criminal Investigations Department (CID).
The legality of the FCID was questioned by the SLPP when the party was in the opposition. The party pledged to abolish the FCID upon their return to power.
The manner in which the Police carried out investigations under the previous government has come under severe criticism following the 'leaked' telephone conversations involving former State Minister Ranjan Ramanayake.