News
Over one-billion-rupee loss from Harin’s Google Loon project alone
COPE finds ICTA a drain on public purse
By Saman Indrajith
An investigation conducted by the COPE (Committee on Public Enterprises) has revealed that the Information and Communication Technology Agency of Sri Lanka (Pvt) Ltd (ICTA) drained public funds running into billions on failed projects.
The COPE inquiry on Tuesday found that the e-Pension Project initiated by the ICTA at a cost of Rs 278.54 million had come a cropper.
The ICTA was entrusted with the responsibility of procuring the hardware and software for the project using government funding to provide pension online to the pensioners of the Western Province, covering the District Secretariat, the Armed Forces, the Department of Prisons, the Department of Railways and the Department of Civil Defence. However, given various software and hardware issues, the project was not implemented countrywide and abandoned on Nov 1, 2013 causing a loss of Rs 278.54 million.
Parliament sources said that the COPE investigation had found that the Google Loon Project intiated by Harin Fernando was also among the listed projects of ICTA. Although the Google Loon project to provide Internet access countrywide had not been executed, the ICTA had suffered over one-billion-rupee loss on the project. Rs. 1,851,322 had been spent to get the Google Loon equipment released from the customs, the COPE inquiry has revealed Another Rs. 6,427,941 was spent on project promotions.
The COPE investigation chaired by Prof. Charitha Herath was attended by Minister Mahinda Amaraweera, State Ministers Susil Premajayantha, Indika Anuruddha and MPs Eran Wickramaratne, Jagath Pushpakumara, Premnath C. Dolawatta, S.M. Marikkar, Patali Champika Ranawaka and Shanakiya Rasamanickam.
It was also found that Rs. 850.47 million had been approved and Rs. 148.33 million spent on another failed project titled Lanka Government Network (LGN) launched by ICTA under the yahapalana government.
The LGN launched to enhance efficiency of the public service by bringing all state institutions under one umbrella network had also failed, sources said.
MP Patali Champika Ranawaka pointed out that the ICTA amidst the failure after failure continued to launch more than 500 other similar projects adding to the losses.
It was also revealed that the Rs. 32.5 mn spent on the procurement of the project by the National Intellectual Property Office under the name ‘e-NIPO’ had been utilised by the ICTA to pay salaries of its officials.
It was disclosed that a previously failed project called ‘e-Local Authorities’ had been re-launched in 2016. The investigation revealed that Rs. 39 million had been spent as at Dec 31, 2017, but that amount had not been included in the performance reports.
COPE Chairman Prof. Herath pointed out that ICTA 2017 corporate plan had cost Rs. 2,737,000, but been discarded later.
Prof. Hearth directed ICTA senior officials to conduct their own investigation from 2003 to 2019 with regard to the issue of corporate plans and report back to the COPE. He had also instructed the officials to initiate legal action against those responsible for the losses, Parliament sources said.
News
Energy Minister indicted on corruption charges ahead of no-faith motion against him
… first NPPer to face charges under Section 70 of Bribery Act
Colombo High Court has issued summons on Energy Minister Kumara Jayakody to appear in court today (27) to serve indictment in a corruption case filed by the Commission to Investigate Allegations of Bribery or Corruption (CIABOC). Action has been taken under Section 70 of the Bribery Act. The losses suffered by the government have been estimated at Rs. 8,859,708.
National List (NL) MP Jayakody is the first NPP minister or politician at any level to be indicted for corruption. The NPP parliamentary group consists of 159 including 18 NL members.
The summons has been issued by High Court judge Rashantha Godawalage.
Although CIABOC previously in many instances arrested those who had been under investigation and produced them before Magistrate courts, Minister Jayakody has been directly summoned by the Colombo High Court.
The investigation into alleged corruption in procurement during the time Jayakody served the Ceylon Fertilizer Corporation (CFC) started after the change of government in 2015.
According to the CIABOC investigation, the alleged instance of corruption took place in early 2014 towards the tail end of Mahinda Rajapaksa’s second term. At that time Jayakody was CFC’s Procurement Manager, and the CIABOC dragged the investigation until its current leadership under overall speeding up of the cases recently completed the inquiry.
Parliament recently announced that the debate on no-faith motion moved against Minister Jayakody over alleged irregularities in the procurement of substandard coal for the country’s only coal-fired power station at Norochcholai.
SJB MP Mujibur Rahman said that the NPP, having campaigned on an anti-corruption platform during presidential and parliamentary polls in 2025 couldn’t under any circumstances shield minister Jayakody. The indictment of Jayakody over a corruption case that had happened in 2014 and the failure on his part to fulfill obligations as Energy Minister under the current dispensation couldn’t be considered separately, the Colombo District MP said.
The issue at hand is whether the NPP would try to protect Jayakody at the expense of the government, MP Rahman said. Once the NPPer is formally charged in a corruption case the government would find it extremely difficult to keep him in the cabinet, the former UNPer said.
SJB lawmaker S.M. Marrikar recently warned Minister Jayakody that he should be prepared to serve a jail term. The warning was issued at a media briefing that primarily dealt with the alleged irregularities in the procurement of coal and their decision to move a no-faith motion against the minister. Marrikar explained how the crisis coupled with the growing diesel shortage could compel the government to increase electricity tariffs by as much as 18 percent next week. MP Marikkar said that they were eagerly waiting to see who backs Jayakody at the expense of the government during the upcoming vote on the no-faith motion.
There had been a previous case of a sitting minister being charged under the Bribery Act in respect of corruption perpetrated as a government servant. MP Rahman said that they intended to intensify the ongoing campaign against the government on the strength of the unprecedented corruption case and the outcome of the no-faith motion. “Of course, they have the numbers to defeat our no-faith motion. But, in doing so, they end up with egg on their face. That is the reality,” Rahman said, adding that those responsible for waste, corruption and irregularities whichever political parties they represented shouldn’t expect special status.
MP Rahman alleged that the CIABOC granted special status to Minister Jayakody. All those who had been indicted previously were first called to the CIABOC, recorded their statements and then arrested, handcuffed and produced in court. The media was afforded the opportunity to cover their humiliation, MP Rahman said, but in this case the powers that be paved the way for the accused to receive indictments directly from the Colombo High Court.
“Let us see whether the Bar Association of Sri Lanka responds to this development,” MP Rahman said.
By Shamindra Ferdinando
News
Over 1000 complaints of misuse of QR quotas
The Ministry of Digital Economy says it has received more than 1,000 complaints of fraudulent activities involving the misuse of QR-based fuel quota system.
Ministry Secretary Waruna Sri Dhanapala said investigations had been launched in coordination with the Police, noting that over 150 complaints had already been referred for further action, leading to several arrests.
He added, however, that a number of complaints stemmed from instances where individuals had used others’ QR codes due to a lack of awareness.
Police are also examining security camera footage at fuel stations to identify suspects linked to such incidents, the Secretary said.
by Pradeep Prasanna Samarakoon
News
Fuel bowser operators demand 25% hike in haulage charges
The Lanka Petroleum Private Tanker Owners’ Association has called for a 25% increase in fuel transportation charges, citing rising operational costs following recent fuel price hikes.
Addressing a media briefing in Colombo on Wednesday (25), Co-Secretary Shantha Silva said the association has formally notified the government of its proposal, warning that failure to respond favourably could result in trade union action.
Association President A.M.H. Adhikari said that fuel distribution had continued without interruption despite mounting challenges, but recent price increases have placed a significant burden on tanker operators.
“Fuel prices have risen by Rs. 101 within this month alone, creating serious difficulties for those engaged in distribution, particularly in outstation deliveries,” he said.
Adhikari added that the association’s Executive Committee has unanimously decided to seek a 25% increase in transportation charges for long-distance distribution, with effect from the 21st, expressing hope that the government would respond positively to avoid further disruptions.
by Chaminda Silva
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