News
Police uncover nexus between Excise officers and suspect arrested with illicit liquor in bottles bearing security stickers
The Colombo North Crime Division has arrested two more suspects, in Batticaloa, in connection with the ongoing investigation into security stickers found on bottles of illicit liquor seized during a raid in Malabe last week, where four suspects were arrested along with 3,345 litres of illicit liquor, police said yesterday.
One of the suspects was found in possession of a large stock of security stickers at the time of his arrest. During interrogation, he is reported to have told investigators that the stickers were obtained from an agent working for Madras Security Printers in Chennai, the company contracted to print Sri Lanka’s liquor tax stamps.
The suspects were arrested on Sunday and produced before court, where detention orders were obtained until July 10 to facilitate further questioning.
According to government sources, the investigation into the use of security stickers on illicit bottles of liquor is also expected to be handed over to the CID for a more comprehensive probe.
The latest arrests follow the June 28 raid in Malabe, where police uncovered an illegal liquor manufacturing facility, operating under the guise of a bottled water distribution centre on Sudarshana Mawatha. Four suspects were arrested along with 3,345 litres of illicit liquor, equivalent to approximately 18,575 bottles, all of which were found bearing security stickers.
Based on information obtained from those suspects, police later conducted follow-up raids in Eravur and Karadiyanaru, in the Batticaloa District, recovering additional stocks of illicit liquor believed to have already entered the market.
Investigators suspect that the security stickers affixed to the bottles may have been sourced either directly from the supplier company or through elements within the Excise Department. Police have also established that the seized liquor was counterfeit and manufactured using inferior and potentially toxic ingredients.
The security sticker system was introduced in 2019 to improve tax compliance and curb irregularities in liquor production. The government awarded the contract to India-based Madras Security Printers, while distribution and regulation are overseen by the Excise Department.
From the outset, the awarding of the tender has been controversial, with concerns raised over the company’s alleged blacklisting in several countries over claims of involvement in illegal activities.
Despite these concerns, the firm has continued to supply security stickers to Sri Lanka for the past seven years, during which time several consignments of illicit liquor, bearing such stickers, have been seized in multiple operations.
Sources alleged that Excise Department officials had, in some instances, brought seized counterfeit liquor stocks to the Rajagiriya headquarters and affixed genuine security stickers in an apparent attempt to cover up fraud linked to the system.
Trade unions within the Excise Department have also alleged official involvement in the alleged sticker-related irregularities.
Police reports indicate that during the June 28 operations in Malabe, Batticaloa and Eravur, Excise officials were accused of obstructing police investigations at certain locations, to help illicit manufacturers.
The company at the centre of the controversy, Madras Security Printers, has also been the subject of international media reports over similar allegations of irregularities in Kenya, the Philippines, South Sudan and Bangladesh.
Meanwhile, Deputy Commissioner of the Excise Department M. Jayantha de Silva was questioned by the Parliamentary Committee on Public Finance on June 27, chaired by MP Dr. Harsha de Silva. The Committee directed the Department to strengthen oversight and conduct a review of the security sticker system.
However, following the Malabe raid on June 28, media reports said Excise officials, who arrived at the scene after the operation, became involved in a confrontation with police officers who had conducted the raid.
The current contract for the security sticker system is due for renewal in January 2027, with Madras Security Printers expected to bid for the next tender cycle.
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Commander of the Navy pays courtesy call on Speaker of the Parliament
The Commander of the Navy, Vice Admiral Damian Fernando paid a courtesy call on the Speaker of the Parliament, Dr Jagath Wickramaratne at the Office of the Speaker, today (7 July
2026).
The meeting marked the Commander of the Navy’s first official interaction with the Speaker following his assumption of command of the Sri Lanka Navy. During the cordial discussion, they exchanged views on the Navy’s role in matters of national importance.
The formal meeting drew to a close with an exchange of mementoes, signifying the importance of the occasion.
News
Prison mayhem leaves at least 26 dead; five officers killed in revenge violence
At least 26 people, including five prison officers and 20 inmates, have been confirmed dead following violent unrest at Negombo Prison, hospital sources said yesterday, as authorities struggled to restore full control over the facility.
According to unconfirmed reports the prison officers were killed by rioters yesterday morning, in retaliation, and weapons carried by those officers were grabbed by them.
Negombo General Hospital Director Consultant Dr. Pushpa Gamlath said nearly 100 injured persons had been admitted, following the clashes, and eight of the critically wounded had been transferred to the National Hospital, in Colombo, for further treatment.
The violence, which initially broke out on Sunday (5) between remand prisoners and convicted inmates, left two inmates dead and 38 others injured before being temporarily brought under control.
However, tensions flared again on Monday (6), with prison officials reporting renewed unrest inside the facility despite earlier assurances that the situation had stabilised.
Police said the initial confrontation was triggered by a dispute linked to the exposure of an alleged drug trafficking network, operating within the prison, and was reportedly orchestrated by a drug trafficker, identified as Suresh, who is said to have links to an underworld figure known as ‘Booru Moona’.
The violence rapidly escalated, with female inmates staging a protest on the Prison roof in support of those involved in the clashes, while relatives gathered outside demanding information on detainees. Police later facilitated visits for selected family members to hospitalised inmates.
The Negombo Prison, which houses around 1,800 remand and convicted inmates, descended into widespread disorder as rival groups clashed, with reports indicating that the violence later spread beyond the initial confrontation.
Authorities said rioting inmates had allegedly seized firearms during the renewed unrest on Monday, prompting heightened security measures.
The Sri Lanka Air Force deployed drones for aerial surveillance and a Bell 412 helicopter to monitor the situation, while additional military personnel were sent to reinforce security around the prison.
Prisons Department spokesperson A.C. Gajanayake said a special investigation team had been appointed, under the direction of the Commissioner General of Prisons, to probe the incident, while a separate police investigation is also underway.
Justice Minister Harshana Nanayakkara told The Island that he had called for a detailed report on the disturbances.
By Norman Palihawadane
News
Cleaner, cheaper electricity gathers momentum with rapid progress in 50 MW Mannar wind power project
Sri Lanka’s drive towards cleaner and cheaper electricity gathered fresh momentum with the reported rapid progress in the 50 MW Mannar Wind Power Project, which is expected to produce the lowest-cost wind-generated electricity in the country’s history while saving billions of rupees in annual fuel imports.
The Ministry of Energy announced that the first wind turbine for the project had already arrived in the country, while the remaining turbine components have reached the Port of Trincomalee and are currently being unloaded, signalling a major milestone in the construction of one of the country’s key renewable energy ventures.
The project, inaugurated by President Anura Kumara Dissanayake, in January this year, is expected to become a cornerstone of the government’s strategy to transform Sri Lanka’s electricity sector by expanding renewable energy generation and reducing dependence on imported fossil fuels.
According to the Ministry, electricity generated by the Mannar wind farm will be purchased at USD 0.0465 (approximately Rs. 14.37) per unit, making it the lowest tariff ever secured for wind-generated electricity in Sri Lanka.
Energy experts say the competitive tariff demonstrates the growing economic viability of renewable energy and could help stabilise future electricity prices.
The Ministry also estimates that once the wind farm is connected to the national grid, Sri Lanka will save approximately Rs. 4.7 billion annually by reducing the import of fossil fuels required for thermal power generation, easing pressure on the country’s foreign exchange reserves.
The Mannar project is expected to support the government’s ambition of substantially increasing the contribution of renewable energy to the national electricity mix, by 2030, while helping Sri Lanka move towards its long-term goal of achieving net-zero carbon emissions by 2050.
Hayleys Fentons PLC, selected through an international competitive bidding process, is responsible for the installation and maintenance of the wind turbines.
The National System Operator (NSO), operating under the Ministry of Energy, will oversee the integration and management of electricity generated by the project within the national grid.
By Ifham Nizam
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