News
Contamination fears propel Lanka Sathosa to recall Chinese-made canned fish stocks
After procurement from Colombo port for Rs. 50mn
by Suresh Perera
A substantial stock of “confiscated” canned fish Lanka Sathosa procured from the Colombo port at a cost of around Rs. 50 million has been recalled from the market following public complaints that the Chinese-manufactured products were unfit for human consumption.
The five 20-foot container loads of 425g ‘Kitchen King’ Mackerel canned fish of the Scomber japonicus species, which were lying in the Colombo port as “abandoned cargo” after forfeiture by the Customs in October last year, was purchased by Lanka Sathosa recently to be sold at a concessionary price through its chain of supermarkets.
“We have now withdrawn the whole stock from our supermarket shelves as there were customer complaints that the canned fish was not fit for consumption”, says Lanka Sathosa Chairman, Rear Admiral (Retd) Ananda Peiris.
The products were injected into the market after clearance by the Food Control Unit of the Health Ministry following quality testing by the Sri Lanka Standards Institution (SLSI), he said.
“As there’s a shortage of canned fish in the marketplace, we promptly distributed the stocks to our supermarkets island-wide to be sold at Rs. 290 each. We have now asked the outlets not to sell them to customers because of the quality issue that has emerged”, the Chairman noted.
“We have no option now other than to return the consignment and seek a refund from the Ports Authority”, he said.
Onions, potatoes, lentils and other food commodities, which are either confiscated by the Customs or remain uncleared by importers, are generally procured by Lanka Sathosa to be sold at concessionary prices to customers, Peiris explained.
“In terms of a Cabinet decision, the consignments are auctioned only if we don’t procure them”.
The stock of canned fish had been forfeited as the owner had not cleared it for three months, he said.
“Lanka Sathosa appears to have opened a can of worms as the 9,200 packs of canned fish had arrived aboard a vessel, which sailed into Colombo on October 29 last year, a source knowledgeable of the operation, said.
Listing out the relevant reference and batch numbers of the consignments, the source said the Chinese products were manufactured on 09/10/2020 with a 09/10/2023 ‘expiry date’.
This means the stocks had been in the Colombo port for the past nine months, and had turned rancid despite a 2023 ‘expiry date’, the source asserted.
Consumer Affairs Authority (CAA) officers had raided the Lanka Sathosa outlet at Moneragala following complaints that canned fish was being hoarded.
“We found stocks in storage, but was told by officers there that instructions were received to withhold the sale of the ‘Kitchen King’ products until they were re-labeled”, CAA’s Executive Director, Thushan Gunawardena said.
As the importer was not in favor of Lanka Sathosa marketing the products under its original brand name, a sticker was affixed to obscure it, Peiris clarified.
Under Section 10 of the Consumer Protection Act, re-labeling a product constitutes an offence, Gunawardena pointed out.
Acting on a complaint, public health inspectors have taken a sample of the canned fish from the Mawanella outlet for testing, the Lanka Sathosa chief further said.
Responding to questions raised by the CAA, the SLSI said its officers had collected samples from the five containers following requests by the Ports Authority and Lanka Sathosa.
As the original importer had not submitted any documents to the SLSI so far, the need for sample collection didn’t arise, it said.
The CAA has further queried whether the SLSI was aware of the purpose the test results were required at the time samples were received.
The SLSI has clamped down on the import of substandard canned fish with an intolerable level of arsenic, particularly from manufacturers in China.
In a news report headlined “SLSI cracks the whip on substandard Chinese canned fish imports”, The Sunday Island of March 21, 2021 quoted the institution’s Director-General, Dr. Siddhika Senaratne as saying that fish harvested for canning has a high arsenic content as the sea in China is heavily polluted and dirty due to lax environmental laws.
“It is true that there is a scarcity of canned fish in the market because supply cannot meet the demand. However, this does not mean we should allow our people to be poisoned through arsenic-laden imports”, she was quoted saying in the news report.
With the SLSI stipulating a maximum arsenic tolerance standard of 1.0 milligram per kilogram of fish, a filtering mechanism is now in place to shut out substandard imports, she assured at the time.
Asked whether the consignment of Chinese canned fish procured by Lanka Sathosa was earlier detained due to its high arsenic content, Dr. Senaratne declined comment saying she’s “not allowed to talk to the media”.
“The DG wouldn’t want to be dragged into another controversy”, an official remarked, referring to the furore over her claim of toxins in foodstuffs, which she, however, declined to identify at the time.
At a time canned fish imports from China have been off the shelves since SLSI’s rigid monitoring of tolerable arsenic levels began, industry players expressed consternation on how a stock, which had been lying in the Colombo port for months, was suddenly given the nod for procurement by Lanka Sathosa.
With the scarcity of canned fish products in the market pushing up demand, will an importer abandon his consignments unless there was something rotten somewhere?, they asked.
“It is too far-fetched to imagine that they got the documentation wrong as these importers are seasoned campaigners in the game”.
It is apparent that Lanka Sathosa had not done its homework before jumping at the idea of procuring the consignment because Chinese-made canned fish had remained virtually out of bounds for many months because of fears of contamination, they said.
Importers didn’t want to risk their investments as a high arsenic level meant the consignments were either destroyed or ordered to be re-exported, they added.
“That’s why local products now dominate the market with a brand from Thailand also no longer available”.
News
US$ 2.5 mn cyber heist exposes system failures
COPF final report on USD 2.5 mn cyber fraud recommends action against all responsible
The US$2.5 million loss incurred during Sri Lanka’s foreign debt repayment to Australia was a clear case of a cybercrime and theft, Committee on Public Finance (COPF) Chairman Dr. Harsha de Silva told Parliament yesterday.
Presenting the COPF final report on the cyber fraud, Dr. de Silva said the incident amounted to a serious financial crime and called for a comprehensive investigation, by law enforcement authorities, to identify and prosecute all those responsible.
The report revealed serious governance, procedural and operational failures that enabled the fraudulent transfer of public funds, while recommending sweeping reforms to strengthen cybersecurity, financial controls and public debt management systems.
According to the report, officials of the Treasury and the Central Bank bore responsibility for governance lapses that contributed to the failures. It also highlighted the fact that the Ministry of Finance was operating an outdated Microsoft Exchange Server after security support had ended, while basic safeguards, such as multi-factor authentication, had not been implemented.
The COPF said suspicious payment instructions linked to debt repayments involving India, the United Kingdom, Germany and Belgium had also been detected, preventing further losses. However, the US$ 2.5 million fraud materialised only in the repayment transaction involving Australia.
The report has noted that officials had failed to verify lender email domains, relied on unverified email communications and lacked adequate internal controls, allowing the fraud to continue for months.
Although the investigation uncovered system-wide weaknesses across several institutions, only four mid-level Finance Ministry officials had been suspended so far, the report said.
The COPF has recommended a special audit of the foreign debt repayment process, strengthened cybersecurity measures across state institutions, updated financial regulations and improvements to public debt management systems.
by Saman Indrajith
News
Opposition signs no-confidence motion against Justice Minister for dereliction of duty over Negombo Prison deaths
Opposition Leader Sajith Premadasa, together with Opposition MPs, yesterday signed a No-Confidence Motion (NCM) in Parliament against Justice Minister Harshana Nanayakkara.The move comes in response to the unrest at the Negombo Prison, where both prison officers and inmates were killed.
Opposition members said the Minister had failed to fulfill his responsibility and accountability regarding their safety.According to the Opposition group, the NCM seeks to hold the Minister directly accountable for lapses in ensuring protection within the prison system.
News
AG informs SC of e-visa agreement review
The Attorney General yesterday informed the Supreme Court that the government has decided to review the legality of agreements entered into by the previous administration to hand over the country’s electronic visa issuance operations to private companies.
Additional Solicitor General Viveka Siriwardena, appearing for the Attorney General, made the submission when the Supreme Court took up the fundamental rights petitions filed by former MPs President’s Counsel M.A. Sumanthiran, Patali Champika Ranawaka, and Rauff Hakeem, challenging the previous Cabinet’s decision to outsource the e-visa system.
The petitions were heard before a three-judge bench, comprising Chief Justice Preethi Padman Surasena and Justices Achala Wengappuli and Arjuna Obeyesekere.
The Additional Solicitor General informed court that the current Cabinet had appointed a subcommittee to examine the legality of the agreements with the private companies and requested time to report on its findings, stating that the review was still underway.
President’s Counsel Sumanthiran, appearing as one of the petitioners, told the court that although the present government had indicated its intention to cancel the transaction, the petitioners wished to proceed with the case.
He noted that members of the current Cabinet had been named as respondents in the petitions.The Supreme Court directed the petitioners to issue notice on the members of the current Cabinet, named as respondents, and fixed September 29 for further proceedings.
-
News6 days agoSingapore-based Buddhist monk marks nearly four decades of humanitarian service
-
News1 day agoHerath warns prospective migrant workers not to get fleeced by racketeers
-
News5 days agoAI concerned over proposed SL military deployment in Haiti
-
Midweek Review3 days agoUnexpected focus on ‘pieces of tin’ worn by military men
-
Latest News4 days agoNyamhuri and Ngarava stun Bangladesh by defending 141
-
Features6 days agoThe NPP’s New Challenge: Balancing Easter Lawfare and Economic Welfare
-
News2 days agoNegombo Prison riot: Ensuring protection of prisoners fundamental responsibility of the state – UN
-
Editorial3 days agoPrison riots and political battles
