Originally, 545 inmates were to be pardoned, but 27 of them would be sent behind bars again over legal proceedings against them.
The 514 men and four women to be released had been imprisoned over minor offences, said Upuldeniya.
There had been talk that Gnanasara Thera and former MP Duminda Silva would be in the list of prisoners to be pardoned on National Day.
However, wife of missing journalist Sandya Ekneligoda, Lawyers for Democracy and Prof. Maithri Wickremesinghe, wife of the prime minister, had urged against pardoning the Thera.
MP Hirunika Premachandra had opposed a pardon for Silva.