News
Low income families sidelined despite making 25% down-payment five months ago
Preference given to buyers who made 100% payment
by Suresh Perera
In what was described as “shocking official apathy”, prospective buyers of Sea View Residencies at Lunawa complained that they have been left out in the cold despite making the 25% down-payment plus other “related charges” five months ago to procure a flat.
The 356-unit housing complex was developed by the Urban Settlement Development Authority (USDA) targeting “low and middle income families”, but in what appears to be a mix-up in priorities, those who had the financial strength to make 100% payment upfront were given preference, they asserted.
Applicants who settled the full payment on outright purchases have already moved into occupation, while those who made the required 25% down-payment five to six months ago are still left kicking their heels until a monthly repayment plan on the balance due is worked out by the USDA with a financial institution, they said.
“I made a down-payment of one million rupees plus an additional Rs. 140,000 as “related charges” to acquire a unit under a price range of Rs. 4.56 million to Rs. 5.58 million each. Despite the payment made in February 2021, there’s still no word of the promised repayment scheme being finalized so that I can occupy the flat”, a prospective buyer said.
Apart from the standard “we will get back to you soon” response from a USDA officer handling the project, there’s still no hope of occupying the flat, he noted.
“It’s a double whammy because for the past five months, I have to pay rent on the house I am occupying in addition to servicing the bank facility raised to make the one million rupee down-payment”, he further said.
“It’s so convenient for them to blame their lackadaisical attitude on Covid-19 when they had two full months to sort out the matter before the pandemic situation worsened”, he pointed out.
Even during the travel restrictions in the Western province in May, banks were operational and government officers were supposed to ‘work from home’. However, it appears that USDA officials handling the housing project had been twiddling their thumbs without pushing through the repayment plan, he continued.
He said that it’s a joke to call Sea View Residencies a housing project for “low and middle income families” when those who had the financial capacity to make 100% payment upfront are already occupying the flats, while lesser beings continue to be pushed around.
“That’s correct, we have already given the units to those who have made the payment in full”, says USDA’s Chairman, M. L. Subasinghe Arachchi.
He said the 100% payment factor was based on a Cabinet decision.
Asked about “low and middle income families” who have made the down-payment, but are still kept waiting, he replied, “they can arrange a bank loan, and if necessary, we can give a letter to facilitate it”.
“If we had the collateral to raise millions of rupees as a loan from a financial institution, we wouldn’t have opted for a flat meant for low income families”, a prospective buyer protested.
A USDA officer familiar with the subject said a scheme to work out a monthly repayment facility on behalf of the considerable segment of prospective buyers who had made the 25% down-payment has been forwarded to HDFC Bank.
“We have to submit the deed of the land certified by the Land Registry to finalize the process”, he further said.
“When I made inquiries about the inordinate delay, I was told that the Land Registry had earlier rejected the application because Lunawa (Moratuwa) had been identified by a USDA officer as an area within the purview of ‘Southern Province’ instead of Western Province”, the buyer claimed.
“With such ‘competent’ people around, I cannot imagine how much longer we will be kept waiting to take possession of our flats”, he laughed.
“Anyway, we hope to sort out matters within the next two weeks”, the officer assured.
He admitted that the general practice earlier when selling units in housing complexes specifically meant for low income families was for the government institution concerned to arrange a feasible credit facility through a government financial institution on reasonable interest.
Application forms were initially issued to interested buyers on a non-refundable deposit of Rs. 2,000 each. After shortlisting applicants, interviews were called, where they were assured that after the 25% down-payment on the total value of each unit was made, a credit facility would be arranged through the Bank of Ceylon under a monthly repayment plan at 6.25% per annum.
The applicants were shortlisted on the basis of a monthly household income of Rs. 75,000. The availability of a bank facility was also clearly outlined in letters sent to buyers shortlisted as “eligible applicants” to purchase the flats.
Asked why buyers who made the full payment were given preference, while low income families who sought a repayment plan have been kept waiting for more than five months, the officer explained that some issues that cropped up had to be ironed out.
News
Lanka enters new phase of prosecutions as hurdles clear
MONETABRIEF –The prosecution of high-profile individuals from the former Rajapaksa administrations is set to escalate this month with the clearing of legal hurdles and administrative bottlenecks, according to officials involved in the process.
Former president Gotabaya Rajapaksa’s attempt to secure an order preventing his arrest in connection with the Easter Sunday massacre was turned down by the Court of Appeal on Thursday.
An overseas travel ban has been in operation against Rajapaksa since June, but the Criminal Investigations Department made no move to question him. He instead filed a writ application seeking an order preventing his possible arrest.
President of the Court of Appeal Rohantha Abeysuriya noted that the court would not interfere with the investigative process. Any attempt by the court would amount to an obstruction of the investigation.
In an unrelated case, the same court rejected an application by opposition legislator Dilith Jayaweera seeking the quashing of a contempt charge filed against him by the Fort magistrate. The charges against Jayaweera and a few other opposition politicians are expected to be taken up in the coming week.
Jayaweera and other opposition politicians — Wimal Weerawansa, Udaya Gammanpila, Sugeeshwara Bandara, and Asanka Navaratne
— were hauled up over their remarks relating to the arrest of Suresh Sallay, the former head of the State Intelligence Service.
SLPP academic Mahinda Pathirana is also charged over his public comments about Sallay’s arrest in February under the draconian Prevention of Terrorism Act.
Former president Mahinda Rajapaksa’s son, legislator Namal Rajapaksa, is already in remand custody following his arrest in connection with three cases of bribery and money laundering relating to the 2013 Airbus deal and the Krrish property development in Colombo.
Although Namal has been granted bail in the Airbus money laundering charge, he is in custody until October 13 over the bribery charge relating to the same Airbus transaction. His arrest is under a provision of the Anti-Corruption Act that does not allow a magistrate to grant bail unless under exceptional circumstances.
Meanwhile, his mother Shiranthi Rajapaksa, who had been asked to report to the Financial Crimes Investigations Division on September 24, was a no-show and was yet to return from Singapore.
She had travelled overseas on September 16, and a family spokesman said she was handed the FCID summons at the departure lounge of Bandaranaike International Airport just before she boarded a flight to Singapore.
At the time, the family spokesman said she was due to return in three days.
“We will see greater momentum in the legacy cases in the coming weeks,” an official involved in the prosecutions said.
“We have cleared the legal hurdles to press ahead with more arrests,” he said.
“We are working on a few administrative issues which will be resolved very soon.”
The controversial prosecution of former President Ranil Wickremesinghe is dragging on without him being formally indicted since his arrest in August last year. The Fort magistrate has listed the case again for November 11, when the Attorney-General is expected to report on his decision regarding action against Wickremesinghe.
News
Police warn: Court evaders face property seizure
Police have reminded the public that courts have the power to take legal action against individuals who evade arrest or remain in hiding after warrants have been issued against them.
Police said that under Section 60 of the Code of Criminal Procedure Act No. 15 of 1979, a court could issue a written proclamation requiring a person evading arrest under a warrant to appear at a specified place and time.
The proclamation must allow the person at least 30 days to appear before court, Police said.
If the person fails to appear even after the proclamation has been issued, the court may take further action under Section 61 of the Act.
This includes issuing an order for the attachment of the movable or immovable property belonging to the person concerned.Police issued the reminder highlighting the legal measures available against persons who deliberately evade arrest and remain in hiding after warrants have been issued.
News
Nearly 20 Iranian tankers stranded off Lanka amid US sanctions
Around 20 Iranian oil tankers are reportedly stranded about 15 nautical miles off Sri Lanka’s southwestern coast, with several vessels facing shortages of food, fuel and fresh water amid tightening US sanctions and maritime restrictions, The Wall Street Journal reported.
According to the report published on Thursday (1), US officials have in recent weeks urged Sri Lanka to prevent local vessels from supplying essential provisions to the tankers and their crews.
The report, citing Sri Lankan Government documents and companies involved in supplying the vessels, said the US had raised concerns over assistance being provided to the sanctioned tankers.
The situation follows the United States’ decision to reimpose a maritime blockade of the Strait of Hormuz in July, which has reportedly left dozens of Iranian and Iran-linked tankers involved in transporting sanctioned oil to China stranded near Asian countries, including Sri Lanka and Malaysia.
Most of the vessels are reportedly empty tankers that had previously transported Iranian crude to Asia, often through ship-to-ship transfers, before preparing to return to Iran for additional cargo.
The WSJ reported that the US Embassy had warned Sri Lanka in August that it was monitoring 19 Iranian tankers off the country’s western coast and had raised the possibility of secondary sanctions against companies providing services to sanctioned vessels.
Sri Lankan authorities have maintained that the vessels are located outside the country’s 12-nautical-mile territorial waters and that the Government is not providing them with logistical assistance.
Meanwhile, shipping companies told the WSJ that obtaining approval to supply essential items, including food, drinking water and fuel, as well as repair services, to the Iranian vessels had become increasingly difficult.
Separately, Reuters reported in late August that 27 sanctioned Iran-linked tankers were waiting off Sri Lanka without cargo.
The Trump administration has also imposed additional sanctions on Iran and warned countries and companies trading with Tehran of potential consequences, as Washington seeks to pressure Iran to make concessions amid the ongoing conflict.
Similar concentrations of Iranian-linked tankers have been reported off Malaysia, where waters have historically been used for ship-to-ship transfers of Iranian crude destined mainly for China.
-
News6 days agoPolice remove Thileepan statue in Jaffna
-
Features6 days agoThe 22nd Amendment, constitutional recovery and illiberal slippage
-
Features6 days agoOf foreigners as CEOs of Lankan ventures
-
Latest News4 days agoGold winner Tharanga gets brand-new Honda Vezel from SLAAJ
-
News6 days agoSajith rejects Jt. Opp. protest sabotage claim; SJB TU chief demands remedial action
-
Features4 days agoWhy Sri Lanka needs an Inclusive Civic Nationalism – urgently
-
Features5 days agoThailand’s biggest new global star …
-
News3 days agoUS-assisted ‘Ice’ detection: NPC to examine IGP’s move to transfer drug-busting team
