Midweek Review
The fall of Pohottuwa govt.
An efficient mechanism is required to guarantee that disclosures made at parliamentary watchdog committees on the basis of Auditor General’s reports are used to further investigate and prosecute wrongdoers. AG’s reports and observations made by watchdog committees underscore the failure on the part of the Parliament to take effective and punitive measures to curb waste, corruption, irregularities and mismanagement. In spite of revelation of massive corruption at every level of administration, the Parliament is yet to take remedial measures. The storming of government buildings on July 09 reflected the decay in the overall parliamentary system that sort of served members, political parties and those pursuing private agendas.
By Shamindra Ferdinando
Speaker Mahinda Yapa Abeywardena, 77, should name the corrupt politicians, both retired and those serving the current Parliament without delay.
Having admitted that the developing political-economic-social crisis has been caused by utterly corrupt politicians in high positions in successive governments, Speaker Abeywardena shouldn’t hesitate to name them. The Speaker said so in response to veteran journalist Norman Palihawadana’s query last Friday amidst simmering turmoil over the joint Opposition’s demand for President Gotabaya Rajapaksa’s government to resign. (Speaker blames corrupt politicians in successive govts. for current situation – The Island, July 09, 2022)
The issue is whether Abeywardena can continue as Speaker having alleged that the ruling Sri Lanka Podujana Peramuna (SLPP), too is tainted.
Abeywardena has castigated political party leaders for offering corrupt politicians key portfolios at the expense of the country. The Matara District MP made no new revelation. However, at the time Speaker Abeywardena directed accusations at members of Parliament and leaders of political parties, he would never have envisaged the possibility of him receiving the opportunity to succeed President Gotabaya Rajapaksa as the acting President.
Several hours after the Army vacated the President’s House and the Presidential Secretariat (old Parliament building) on July 09, political parties reached consensus on the Speaker becoming the acting President. The announcement was made by Speaker Abeywardena himself following consultations held with leaders of political parties. This announcement was made on the basis President Gotabaya Rajapaksa’s assurance, he would resign on July 13 (today)
At meeting held on July 11, at the parliamentary complex, also chaired by the Speaker, the party leaders decided to elect Gotabaya Rajapaksa’s successor on July 20 in terms of the relevant constitutional provisions. Therefore, Speaker Yapa would receive executive powers for a week. In case, PM Wickremesinghe declined to step down, he would automatically succeed Gotabaya Rajapaksa for a period of 30 days. In terms of the Constitution, the Parliament will have to elect a new President. At that time this edition went to press, Wickremesinghe hasn’t indicated what he intended to do.
Having first entered the Parliament on the UNP ticket, way back in 1983, under the first-past-the post system, the landed proprietor turned politician has served both main parties, the UNP and the SLFP. Abeywardena switched sides on several occasions and was a member of the Cabinet-of-Ministers of the UNP-led yahapalana administration at the time then ruling party perpetrated the first Treasury bond scam in late Feb 2015.
Subsequently, Abeywardena joined the Joint Opposition and was rewarded with the prestigious post of the Speaker in 2020. That paved the way for the Speaker to accommodate several relatives, including his son, Chameera Yapa Abeywardena in his personal staff.
Why did lawmaker Abeywardena wait so long to admit the undeniable truth? Now that Abeywardena has said so, he should name them. However, the ruination of the national economy cannot be blamed only on politicians. The blame should be appropriately shared by the executive, the legislature, the judiciary and the holier than thou private sector that resorts to all types of shenanigans, like stashing export earnings abroad and importing things like corned mutton, chocolate etc., at a time when the country was scraping the barrel for foreign exchange to pay for urgent necessities.
As a person who has served the Cabinet-of-Ministers, Speaker Abeywardena cannot absolve himself of the accountability for the current crisis. He is not in a position to backtrack those home truths.
Had Speaker Abeywardena, as well as the majority, elected and appointed on the SLPP ticket at the August 2020 parliamentary election, took a stand when their colleagues, Vasudeva Nanayakkara, Wimal Weerawansa and Udaya Gammanpila opposed the utterly corrupt Yugadanavi deal, an unprecedented political calamity could have been averted. Unfortunately, the majority solidly stood by the government and the Speaker, too, turned a blind eye to a rapidly deteriorating situation. The Yugadanavi issue reflected the crisis within the ruling coalition with deal-making being the lifeblood of the country’s politics, even against national interest.
The current Parliament is represented by 15 political parties. They are SLPP (145 members), SJB (54), ITAK (10), JJB (03), AITC (02), EPDP (02), UNP, SLFP, OPPP (Our Power of People Party), TMVP (Tamil Makkal Viduthalai Pulikal), MNA (Muslim National Alliance), TMTK (Tamil Makkal Theshiya Kutani), ACMC (All Ceylon Makkal Congress), NC (National Congress) and SLMC (Sri Lanka Muslim Congress) represented by one MP each.
But how the noose was tightened was by virtually shutting off the only remaining foreign currency flow into the country from those generally unappreciated Lankan expatriate workers literally slaving in West Asian countries by a means of Hawala/Undiyal underground money transfer system as never before. Instead of making genuine efforts to tackle the illegal system, then Finance Minister Basil Rajapaksa merely joked about it saying he himself had used such means. With the country having stopped servicing its external debt in April, had the cash flow from expatriate workers, not been reduced so drastically the country could have easily managed to finance the day-to-day bare necessities of its people.
Instead of addressing the issues at hand, the SLPP tried to manage the crisis. The SLPP neglected the growing threat until public anger exploded at President Gotabaya Rajapaksa’s private residence at Pangiriwatta, Mirihana, on March 31.
As this piece was being typed last Saturday, July 09, protesters entered the President’s House and the Presidential Secretariat around noon as the Army and police defences quickly collapsed. In spite of coming, under fierce tear gas attack, protesters within hours, overwhelmed the, military. Controversy surrounds the destruction of Premier Ranil Wickremesinghe’s private residence at Flower Road. The Premier has pointed the finger at a section of the media for influencing the attack. A no holds barred investigation is required to establish the truth and those responsible punished.
Gotabaya Rajapaksa, who played a significant role in Sri Lanka’s triumph over separatist LTTE in May 2009, paid a huge price for a spate of blunders, beginning with the overnight changing of the country’s agriculture policy. The President decided against seeking IMF intervention on the advice of Presidential Secretary Dr. P.B.J, CBSL Governor Prof. W.D. Lakshman, CBSL Governor Ajith Nivard Cabraal and Finance Secretary S.R. Atygalle. Obviously, the President didn’t bother to properly consult the Cabinet-of-Ministers or the parliamentary group.
Of course it is easy for us to blame all of the above officials in hindsight, but from experience worldwide, IMF prescription is not the panacea for economic woes plaguing the world. If it was so, then most South American countries, in the backyard of the US, would be one big Shangri-La as they have been religiously taking its medicine since its formation.
Even so-called economic experts in the SJB have been so foolish to claim in the past that economists from prestigious American business schools in Harvard and Yale universities should be brought in to correct economic shortcomings here, little realizing that the snowballing financial crisis, since 2007/08, is yet growing and probably will lead to a worldwide great depression much bigger than that happened with the stock market crash of 1929.
Workshop for journalists
The Parliament on June 28 conducted a special one-day workshop on parliamentary procedure for the parliamentary correspondents. Speaker Abeywardena inaugurated the programme at the Cinnamon Grand.
Abeywardena, in his brief address to the gathering, emphasized the pivotal importance of accurate reporting of parliamentary proceedings. The Speaker stressed the responsibility on the part of those who covered Parliament for both print and electronic media to meet the expected standards.
Unfortunately, the Parliament appeared to have failed to recognize or acknowledge that the country was heading for an unprecedented crisis. The Parliament ignored warnings.
The Parliament failed to make necessary interventions to curb waste, corruption, and irregularities though it was responsible for public finance. Had the House watchdog committees, COPE (Committee on Public Enterprises), COPA (Committee on Public Accounts) and COPF (Committee on Public Finance) and the Parliament as the supreme institution responsible for overall public finance took remedial measures, Sri Lanka wouldn’t have ended up bankrupt. That is the undeniable truth.
The top management of the Central Bank and its top decision-making five-member Monetary Board had been always under the influence of those who exercised political power and contributed to the overall deterioration of public finance. The CBSL had been so irresponsible it paid PAYE (pay as you earn) tax of its employees regardless of Inland Revenue Department directives. The Parliament never took up the issue. In fact, the Parliament simply slept on such detrimental disclosures even in other state bodies, made by its own watchdog committees.
By the time the current CBSL top management and the Monetary Board as well as their former officials appeared before the COPE and COPF on May 25 and June 08, the country has been declared bankrupt and the stage set for unprecedented political turmoil. COPE should explain why the previous CBSL administration hadn’t been summoned in the previous year to seek an explanation amidst reports of economic downturn.
President Rajapaksa requested Dr. Nandalal Weerasinghe to take over the CBSL leadership after Cabraal unexpectedly quit having repeatedly vowed to save the economy. Cabraal who quit his SLPP parliamentary seat in September last year to succeed Prof. Lakshman gave up the top post under pressure. By then, the economy had suffered irrevocable damage. Cabraal called it a day in March this year.
Focus on LP gas deal
The recent examination of a Litro deal for 100,000 mt of LP gas pointed the finger at the outgoing Prime Minister Ranil Wickremesinghe’s Office. The shocking revelation that the Premier’s Office may have had a hand in exploitation of current difficulties to the advantage of certain interested parties underscored the failure on the part of the Parliament to take remedial measures.
COPE Chairman Prof. Charitha Herath queried the top Litro management whether it deliberately sabotaged a Cabinet approved tender for the purchase of 280,000 mt at a cost of USD 96 per mt to pave the way for the procurement of 100,000 mt at a cost of USD 129 per mt.
SLPP National List member Prof. Herath didn’t mince his words when he directly alleged the state enterprise of misappropriating USD 90 mn (of that amount the World Bank provided USD 70 mn) available for the procurement of LP gas. Statements made by Prof. Herath, National Freedom Front MP Jayantha Samaraweera, Samagi Jana Balavegaya MP S.M. Marrikar, Sri Lanka Insurance Corporation Chairman Vijitha Herath and Litro Chairman Muditha Peiris revealed how precious funds were being wasted.
Prof. Herath has called for a report on the transaction from the Auditor General W.P.C. Wickremaratne. Sri Lanka Insurance participated in the process as the parent company of Litro.
COPE also raised hitherto unknown contentious issue of Litro’s failure to utilize USD 160 mn allocated for the procurement of LP gas in terms of USD 1 bn Indian credit line. COPE recommended that Finance Secretary Mahinda Siriwardana inquired into the failure to take advantage of the Indian credit line. It would be pertinent to mention that S.R. Attygalle had been the Secretary to the Treasury at that time Sri Lanka and India finalized the credit line during Basil Rajapaksa’s tenure as the Finance Minister (July 2021-April 2022) Controversial COPE recommendation that the appointment of Board of Directors of Litro through the parent company instead of through the Ministry of Finance is evidence the key ministry didn’t command the respect of the parliamentary watchdog. Muditha Peiris was reappointed as Chairman on June 13, 2022, three days after Vijitha Herath quit that post. In response to one of Prof. Charitha Herath’s queries Vijitha Herath declared that he declined to endorse Oman agreements therefore opted to give up the position of Litro Chairman.
A Parliament statement dealt with the relevant COPE proceedings named Siam Gas Company as the enterprise that secured the original Cabinet approved tender to supply gas at USD 96 per mt whereas the contract finally ended up with an Oman company. Bankrupt Sri Lanka paid USD 129 per mt to the Oman Company. Current Speaker, now expected to be sworn in as the new acting President once Gotabaya Rajapaksa resigned on July 13, should ensure investigations into Litro affairs are brought to a successful conclusion.
It would be necessary also to probe the circumstances Anil Koswatta, in his capacity as Litro Chairman halted state auditing of the enterprise and hiring of lawyers, including Romesh de Silva, PC and Sanjiva Jayawardena, PC, at a cost of over 20 mn.
Amidst simmering controversy over the Litro transaction, 24 hours after the public seizure of the President’s House, Presidential Secretariat and Temple Trees, the President’s Media Division (PMD) announced the arrival of a ship carrying 3,700 mt of LP gas. The PMD further announced that a second ship carrying 3,740 mt will also reach Sri Lanka and a third vessel with 3,200 mt scheduled to arrive here on July 15.
Events leading to July 09 fall of govt.
Waste, corruption, irregularities and mismanagement over the past two decades gradually weakened the national economy. Regardless of shocking disclosures at the parliamentary watchdog committees, the Parliament conveniently failed to take remedial measures. The national economy was in severe difficulty at the time Gotabaya Rajapaksa won the last presidential election in Nov 2019. The government disregarded IMF recommendations, namely formulation of debt restructuring programme and dropping of plans to implement a major tax cut.
The five-member monetary board at the behest of political directives resorted to unbridled printing of local currency and wasted precious foreign reserves in a failed bid to artificially maintain the Rupee’s value at the expense of the overall national economy. CBSL Governor Dr. Nandalal Weerasinghe declared before COPE how the then Presidential Secretary Dr. PBJ dismissed the IMF recommendation. A week after UNP leader Ranil Wickremesinghe received appointment as Premier, Dr. Weerasinghe acknowledged Sri Lanka’s humiliating bankruptcy status.
By then, public anger had exploded at President Gotabaya Rajapaksa’s private residence at Pangiriwatta, Mirihana. Unfortunately, the March 31 protest failed to convince the top government leadership that the public weren’t in a mood to tolerate shoddy governance. There is no point in blaming opposition political elements, particularly those outside the Parliament for taking advantage of the unprecedented crisis that erupted during Gotabaya Rajapaksa’s tenure though the rot started over a decade earlier.
The idiotic pohottuwa leadership sought to overcome the crisis by political maneuvering. Between violent protests at Pangiriwatta on March 31 and the collapse of the government on July 09 largely depended on the participation of massive crowds. Political parties both in and outside Parliament never managed to attract such large crowds before. Political parties had no option to provide transport, free food and in some instances liquor to bring in crowds to Colombo or any other venue in the provinces. But, the bankrupt economy created an ideal environment for those awaiting an opportunity to oust the Rajapaksas.
Public anger exploded over the disruption of fuel, gas and the supply of essential goods and services due to Sri Lanka’s inability to pay in foreign currency. As the economy staggered causing turmoil, the then Finance Minister Basil Rajapaksa in early January, 2022 declared a Rs 229 bn relief package for the government sector. The announcement was made in the wake of President Gotabaya Rajapaksa sacking State Minister Susil Premjanatha for being publicly critical of handling of the economy. The Finance Minister didn’t even bother to reveal how he intended to allocate the required money. Instead, the government sought to overcome the crisis by deceiving the public.
State controlled media and a select group of print and electronic media (social media included) sought to influence the electorate. Silly but expensive projects continued until the Pangiriwatta explosion sent shock waves through the government. The PMD made high profile efforts to influence the population. The media briefings called by the PMD to justify the controversial Yugadanavi deal and explain the gas explosions backfired. The government for some inexcusable reason refused to review any of its decisions.
Disastrous decision taken in May 2021 prohibiting import of chemical fertiliser along with agrochemicals caused a catastrophic situation. Banning of chemical fertiliser overnight without taking tangible measures to procure required organic fertilizer ruined paddy and other crops. The procurement of carbonic fertiliser from China and liquid fertiliser from India is mired in controversy.
The government never bothered to investigate allegations pertaining to these transactions (the then Presidential Secretary Dr. PBJ and Prime Minister’s Secretary Gamini Senarath denied accusations directed at them. Both asked relevant authorities to investigate what they called unsubstantiated allegations made both in and out of Parliament). Mishandling of the Chinese fertiliser deal finally compelled the People’s Bank to pay USD 6.9 mn to Qingdao Seawin Biotec at a time the country was on its knees due to the economic downturn caused by Covid-19. The People’s Bank made the announcement in the first week of January this year. The government didn’t conduct a proper inquiry into that matter. Actually, the pohottuwa never made a serious attempt to re-examine its strategies, recognize shortcomings/faults, and rectify them to ensure the continuation of the government. Just over a year after the ill-fated decision on carbonic fertiliser in May 2021, the government collapsed. The seizure of the President’s House, the Presidential Secretariat and Temple Trees within hours after the police fired the first canister of tear gas at protesters at Chatham Street underscored the downfall of an utterly corrupt political party system, led by the UNP and the SLFP since independence.
Midweek Review
How massive Akuregoda defence complex was built with proceeds from sale of Galle Face land to Shangri-La
The Navy ceremonially occupied its new Headquarters (Block No. 3) at the Defence Headquarters Complex (DHQC) at Akuregoda, Battaramulla, on 09 December, 2025. On the invitation of the Commander of the Navy, Vice Admiral Kanchana Banagoda, the Deputy Minister of Defence, Major General Aruna Jayasekara (Retd) attended the event as the Chief Guest.
Among those present were Admiral of the Fleet Wasantha Karannagoda, the Defence Secretary, Air Vice Marshal Sampath Thuyacontha (Retd), Commander of the Army, Lieutenant General Lasantha Rodrigo, Commander of the Air Force, Air Marshal Bandu Edirisinghe, Inspector General of Police, Attorney-at-Law Priyantha Weerasooriya and former Navy Commanders.
With the relocation of the Navy at DHQC, the much-valued project to shift the Ministry of Defence (MoD) and Headquarters of the war-winning armed forces has been brought to a successful conclusion. The Army was the first to move in (November 2019), the MoD (May 2021), the Air Force (January 2024) and finally the Navy (in December 2025).
It would be pertinent to mention that the shifting of MoD to DHQC coincided with the 12th anniversary of bringing back the entire Northern and Eastern Provinces under the government, on 18 May, 2009. LTTE leader Velupillai Prabhakaran was killed on the following day.
The project that was launched in March 2011, two years after the eradication of the Liberation Tigers of Tamil Eelam (LTTE), suffered a severe setback, following the change of government in 2015. The utterly irresponsible and treacherous Yahapalana government halted the project. That administration transferred funds, allocated for it, to the Treasury, in the wake of massive Treasury bond scams perpetrated in February and March 2015, within weeks after the presidential election.
Maithripala Sirisena, in his capacity as the President, as well as the Minister of Defence, declared open the new Army Headquarters, at DHQC, a week before the 2019 presidential election. Built at a cost of Rs 53.3 bn, DHQC is widely believed to be the largest single construction project in the country. At the time of the relocation of the Army, the then Lt. Gen. Shavendra Silva, the former Commanding Officer of the celebrated Task Force I/58 Division, served as the Commander.
Who made the DHQC a reality? Although most government departments, ministries and armed forces headquarters, were located in Colombo, under the Colombo Master Plan of 1979, all were required to be moved to Sri Jayewardenepura, Kotte. However successive administrations couldn’t go ahead with the massive task primarily due to the conflict. DHQC would never have been a reality if not for wartime Defence Secretary Gotabaya Rajapaksa who determinedly pursued the high-profile project.
The absence of any reference to the origins of the project, as well as the significant role played by Gotabaya Rajapaksa at the just relocated Navy headquarters, prompted the writer to examine the developments related to the DHQC. The shifting of MoD, along with the Armed Forces Headquarters, was a monumental decision taken by Mahinda Rajapaksas’s government. But, all along it had been Gotabaya Rajapaksa’s determination to achieve that monumental task that displeased some within the administration, but the then Defence Secretary, a former frontline combat officer of the battle proved Gajaba Regiment, was not the type to back down or alter his strategy.
GR’s maiden official visit to DHQC
Gotabaya Rajapaksa, who made DHQC a reality, visited the sprawling building in his capacity as the President, Defence Minister and the Commander-in-Chief of the Armed Forces on the morning of 03 August, 2021. It was Gotabaya Rajapaksa’s maiden official visit to the Army Headquarters, located within the then partially completed DHQC, eight months before the eruption of the externally backed ‘Aragalaya.’ The US-Indian joint project has been exposed and post-Aragalaya developments cannot be examined without taking into consideration the role played by political parties, the Bar Association of Sri Lanka, media, as well as the weak response of the political leadership and the armed forces. Let me stress that a comprehensive probe should cover the period beginning with the Swiss project to humiliate President Gotabaya Rajapaka in November, 2019, by staging a fake abduction, and the storming of the President’s House in July 2022. How could Sri Lanka forget the despicable Swiss allegation of sexual harassment of a female local employee by government personnel, a claim proved to be a blatant lie meant to cause embarrassment to the newly elected administration..
Let me get back to the DHQC project. The war-winning Mahinda Rajapaksa government laid the foundation for the building project on 11 May, 2011, two years after Sri Lanka’s triumph over the separatist Tamil terrorist movement. The high-profile project, on a 77-acre land, at Akuregoda, Pelawatta, was meant to bring the Army, Navy, and the Air Force headquarters, and the Defence Ministry, to one location.
President Gotabaya Rajapaksa’s visit to Akuregoda would have definitely taken place much earlier, under a very different environment, if not for the eruption of the Covid-19 pandemic, just a few months after his victory at the November 2019 election. The worst post-World War II crisis that had caused devastating losses to national economies, the world over, and delivered a staggering blow to Sri Lanka, heavily dependent on tourism, garment exports and remittances by its expatriate workers.
On his arrival at the new Army headquarters, President Gotabaya Rajapaksa was welcomed by General Shavendra Silva, who also served as the Chief of Defence Staff. Thanks to the President’s predecessor, Maithripala Sirisena, the then Maj. Gen Shavendra Silva was promoted to the rank of Lt. Gen and appointed the Commander of the Army on 18 August, 2019, just three months before the presidential poll. The appointment was made in spite of strong opposition from the UNP leadership and US criticism.
President Gotabaya Rajapaksa hadn’t minced his words when he publicly acknowledged the catastrophe caused by the plunging of the national income and the daunting challenge in debt repayment, amounting to as much as USD 4 bn annually.
The decision to shift the tri-forces headquarters and the Defence Ministry (The Defence Ministry situated within the Army Headquarters premises) caused a media furor with the then Opposition UNP alleging a massive rip-off. Defence Secretary Gotabaya Rajapaksa reiterated his commitment to the project. If not for the change of government in 2015, the DHQC would have been completed during Mahinda Rajapaksa’s third term if he was allowed to contest for a third term successfully. Had that happened, Gotabaya Rajapaksa wouldn’t have emerged as the then Opposition presidential candidate at the 2019 poll. The disastrous Yahapalana administration and the overall deterioration of all political parties, represented in Parliament, and the 19th A that barred Mahinda Rajapaksa from contesting the presidential election, beyond his two terms, created an environment conducive for Gotabaya Rajapaksa’s emergence as the newly registered SLPP’s candidate.
Shangri-La move
During the 2019 presidential election campaign, SLPP candidate Gotabaya Rajapaksa strongly defended his decision to vacate the Army Headquarters, during Mahinda Rajapaksa presidency, to pave the way for the Shangri-La Hotel in Colombo. Shangri-La was among the hotels targeted by the Easter Sunday bombers – the only location targeted by two of them, including mastermind Zahran Hashim.
President Gotabaya Rajapaksa is on record as having said that vacation of the site had been in accordance with first executive President J.R. Jayewardene’s decision to move key government buildings away from Colombo to the new Capital of the country at Sri Jaywardenepura. Gotabaya Rajapaksa said so in response to the writer’s queries years ago.
Gotabaya Rajapaksa said that a despicable attempt was being made to blame him for the Army Headquarters land transaction. “I have been accused of selling the Army Headquarters land to the Chinese.”
Rajapaksa explained that Taj Samudra, too, had been built on a section of the former Army Headquarters land, previously used to accommodate officers’ quarters and the Army rugger grounds. Although President Jayewardene had wanted the Army Headquarters shifted, successive governments couldn’t do that due to the war and lack of funds, he said.
President Maithripala Sirisena and Prime Minister Ranil Wickremesinghe declared open Shangri-La Colombo on 16 November, 2017. The Hong Kong-based Shangri-La Asia invited Gotabaya Rajapaksa for dinner, the following day, after the opening of its Colombo hotel. Shangri-La Chairperson, Kuok Hui Kwong, the daughter of Robert Kuok Khoon Ean, was there to welcome Gotabaya Rajapaksa, who had cleared the way for the post-war mega tourism investment project. Among those who had been invited were former President Mahinda Rajapaksa, former External Affairs Minister Prof. G.L. Peiris, former Presidential Secretary Lalith Weeratunga, and President’s Counsel Gamini Marapana, PC.
The Cabinet granted approval for the high-profile Shangri-La project in October 2010 and the ground-breaking ceremony was held in late February 2012.
Rajapaksa said that the Shangri-La proprietor, a Chinese, ran a big operation, based in Hong Kong, Malaysia and Singapore. Another parcel of land was given to the mega ITC hotel project, also during the previous Rajapaksa administration. ITC Ratnadipa, a super-luxury hotel by India’s ITC Hotels, officially opened in Colombo on April 25, 2024
Following the change of government in January 2015, the remaining section of the Army headquarters land, too, was handed over to Shangri-La.
Gotabaya Rajapaksa emphasised that the relocation of the headquarters of the Army, Navy, and Air Force, as well as the Defence Ministry, had been part of JRJ’s overall plan. The change of government, in January 2015, had caused a serious delay in completing the project and it was proceeding at a snail’s pace, Rajapaksa said. Even Parliament was shifted to Kotte in accordance with JRJ’s overall plan, Gotabaya Rajapaksa said, explaining his move to relocate all security forces’ headquarters and Defence Ministry into one complex at Akuregoda.
Acknowledging that the Army Headquarters had been there at Galle Face for six decades, Rajapaksa asserted that the Colombo headquarters wasn’t tactically positioned.
Rajapaksa blamed the inordinate delay in the completion of the Akuregoda complex on the Treasury taking hold of specific funds allocated for the project.
Over 5,000 military workforce

Gotabaya Rajapaksa’s maiden visit to DHQC on 3 August, 2021. General
Shavendra Silva is beside him
Major General Udaya Nanayakkara had been the first Director, Project Management Unit, with overall command of approximately 5,000 tri-forces personnel assigned to carry it out. The Shangri-La transaction provided the wherewithal to implement the DHQC project though the change of government caused a major setback. Nanayakkara, who had served as the Military Spokesman, during Eelam War IV, oversaw the military deployment, whereas private contractors handled specialised work such as piling, AC, fire protection and fire detection et al. The then MLO (Military Liaison Officer) at the Defence Ministry, Maj. Gen Palitha Fernando, had laid the foundation for the project and the work was going on smoothly when the Yahapalana administration withheld funds. Political intervention delayed the project and by September 2015, Nanayakkara was replaced by Maj Gen Mahinda Ambanpola, of the Engineer Service.
In spite of President Sirisena holding the Defence portfolio, he couldn’t prevent the top UNP leadership from interfering in the DHQC project. However, the Shangri-La project had the backing of A.J.M. Muzammil, the then UNP Mayor and one of the close confidants of UNP leader Ranil Wickremesinghe. Muzammil was among those present at the ground breaking ceremony for Shangri-La held on 24th February, 2012 ,with the participation of Minister Basil Rajapaksa.
Having identified the invaluable land, where the Army Headquarters and Defence Ministry were situated, for its project, Shangri-La made its move. Those who had been aware of Shangri-La’s plans were hesitant and certainly not confident of their success. They felt fearful of Defence Secretary Rajapaksa’s reaction.
But, following swift negotiations, they finalised the agreement on 28 December, 2010. Lt. Gen. Jagath Jayasuriya was the then Commander of the Army, with his predecessor General Fonseka in government custody after having been arrested within two weeks after the conclusion of the 2010 26 January Presidential poll.
Addressing the annual Viyathmaga Convention at Golden Rose Hotel, Boralesgamuwa, on 04 March, 2017, Gotabaya Rajapaksa, perhaps for the first time publicly discussed his role in the Shangri-La project. Declaring that Sri Lanka suffered for want of, what he called, a workable formula to achieve post-war development objectives, the war veteran stressed the pivotal importance of swift and bold decision-making.
Gotabaya Rajapaksa explained how the government had acted swiftly, and decisively, to attract foreign investments though some such efforts were not successful. There couldn’t be a better example than the government finalising an agreement with Shangri-La Hotels, he declared.
Declaring that the bureaucratic red tape shouldn’t in any way be allowed to undermine investments, Rajapaksa recalled the Chairman/CEO of Shangri-La Hotels and Resorts, Robert Kuok Khoon Ean, wanting the Army Headquarters land for his Colombo project. In fact, the hotels chain, at the time, had proposed to build hotels in Colombo, Hambantota and Batticaloa, and was one of the key investors wanting to exploit Sri Lanka’s success in defeating terrorism.
“Khoon-Ean’s request for the Army Headquarters land caused a serious problem for me. It was a serious challenge. How could I shift the headquarters of the war-winning Army? The Army had been there for six decades. It had been the nerve centre of the war effort for 30 years,” said Rajapaksa, who once commanded the First Battalion of the Gajaba Regiment (1GR)
Rajapaksa went on to explain how he exploited a decision taken by the first executive president J.R. Jayewardene to shift the Army Headquarters to Battaramulla, many years back. “Within two weeks, in consultation with the Secretary to the Finance Ministry, Dr. P.B. Jayasundera, and the Board of Investment, measures were taken to finalise the transaction. The project was launched to shift the Army, Navy and Air Force headquarters to Akuregoda, Pelawatte, in accordance with JRJ’s plan.”
The Hong Kong-based group announced the purchase of 10 acres of state land, in January 2011. Shangri-La Asia Limited announced plans to invest over USD 400 mn on the 30-storeyed star class hotel with 661 rooms.
The hotel is the second property in Sri Lanka for the leading Asian hospitality group, joining Shangri-La’s Hambantota Resort & Spa, which opened in June 2016.
Rajapaksa said that the top Shangri-La executive had referred to the finalisation of their Colombo agreement to highlight the friendly way the then administration handled the investment. Shangri-La had no qualms about recommending Sri Lanka as a place for investment, Rajapaksa said.
The writer explained the move to shift the Army Headquarters and the Defence Ministry from Colombo in a lead story headlined ‘Shangri-La to push MoD, Army Hq. out of Colombo city: Army Hospital expected to be converted into a museum’ (The Island, 04 January, 2011).
Yahapalana chaos
In the wake of the January 2015 change of government, the new leadership caused chaos with the suspension of the China-funded Port City Project, a little distance away from the Shangri-La venture. Many an eyebrow was raised when the then Finance Minister Ravi Karunanayake declared, in March, 2015, that funds wouldn’t be made available to the DHQC project until the exact cost estimation of the project could be clarified.
Media quoted Karunanayake as having said “Presently, this project seems like a bottomless pit and we need to know the depth of what we are getting into. From the current state of finances, allocated for this project, it seems as if they are building a complex that’s even bigger than the Pentagon!”
The insinuating declaration was made despite them having committed the blatant first Treasury bond scam in February 2015 that shook the Sirisena-Wickremesinghe administration to its core.
In June 2016, Cabinet spokesperson, Dr. Rajitha Senaratne, announced the suspension of the Akuregoda project. Citing financial irregularities and mismanagement of funds, Dr. Senaratne alleged that all Cabinet papers on the project had been prepared according to the whims and fancies of Gotabaya Rajapaksa.
The then Minister Karunanayake spearheaded the campaign against the DHQC project alleging, in the third week of January, 2015, that Rs 13.2 billion, in an account maintained at the Taprobane branch of the Bank of Ceylon had been transferred to the Consolidated Fund of the Treasury. The matter was being investigated as the account belonged to the Ministry of Defence, he added. The Finance Minister stressed that the MoD had no right to maintain such an account in violation of regulations and, therefore, the opening of the account was being investigated. The Minister alleged that several illegal transactions, including one involving Samurdhi, had come to light. He estimated the Samurdhi transaction (now under investigation) at Rs. 4 billion.
Having undermined Shangri-La and the DHQC projects, the UNP facilitated the expansion of the hotel project by releasing additional three and half acres on a 99-year lease. During the Yahapalana administration, Dayasiri Jayasekera disclosed at a post-Cabinet press briefing how the government leased three and a half acres of land at a rate of Rs. 13.1 mn per perch whereas the previous administration agreed to Rs 6.5 mn per perch. According to Jayasekera the previous government had leased 10 acres at a rate of Rs 9.5 mn (with taxes) per perch.
The bottom line is that DHQC was built with Shangri-La funds and the initiative was Gotabaya Rajapaksa’s whose role as rock solid wartime Secretary of Defence to keep security forces supplied with whatever their requirements could never be compared with any other official during the conflict.
By Shamindra Ferdinando
Midweek Review
The Hour of the Invisible
Picking-up the pieces in the bashed Isle,
Is going to take quite a long while,
And all hands need to be united as one,
To give it even a semblance of its former self,
But the more calloused and hardy the hands,
The more suitable are they for the task,
And the hour is upon us you could say,
When those vast legions of invisible folk,
Those wasting away in humble silent toil,
Could stand up and be saluted by all,
As being the most needed persons of the land
By Lynn Ockersz
Features
Handunnetti and Colonial Shackles of English in Sri Lanka
“My tongue in English chains.
I return, after a generation, to you.
I am at the end
of my Dravidic tether
hunger for you unassuaged
I falter, stumble.”
– Indian poet R. Parthasarathy
When Minister Sunil Handunnetti addressed the World Economic Forum’s ‘Is Asia’s Century at Risk?’ discussion as part of the Annual Meeting of the New Champions 2025 in June 2025, I listened carefully both to him and the questions that were posed to him by the moderator. The subsequent trolling and extremely negative reactions to his use of English were so distasteful that I opted not to comment on it at the time. The noise that followed also meant that a meaningful conversation based on that event on the utility of learning a powerful global language and how our politics on the global stage might be carried out more successfully in that language was lost on our people and pundits, barring a few commentaries.
Now Handunnetti has reopened the conversation, this time in Sri Lanka’s parliament in November 2025, on the utility of mastering English particularly for young entrepreneurs. In his intervention, he also makes a plea not to mock his struggle at learning English given that he comes from a background which lacked the privilege to master the language in his youth. His clear intervention makes much sense.
The same ilk that ridiculed him when he spoke at WEF is laughing at him yet again on his pronunciation, incomplete sentences, claiming that he is bringing shame to the country and so on and so forth. As usual, such loud, politically motivated and retrograde critics miss the larger picture. Many of these people are also among those who cannot hold a conversation in any of the globally accepted versions of English. Moreover, their conceit about the so-called ‘correct’ use of English seems to suggest the existence of an ideal English type when it comes to pronunciation and basic articulation. I thought of writing this commentary now in a situation when the minister himself is asking for help ‘in finding a solution’ in his parliamentary speech even though his government is not known to be amenable to critical reflection from anyone who is not a party member.
The remarks at the WEF and in Sri Lanka’s parliament are very different at a fundamental level, although both are worthy of consideration – within the realm of rationality, not in the depths of vulgar emotion and political mudslinging.
The problem with Handunnetti’s remarks at WEF was not his accent or pronunciation. After all, whatever he said could be clearly understood if listened to carefully. In that sense, his use of English fulfilled one of the most fundamental roles of language – that of communication. Its lack of finesse, as a result of the speaker being someone who does not use the language professionally or personally on a regular basis, is only natural and cannot be held against him. This said, there are many issues that his remarks flagged that were mostly drowned out by the noise of his critics.
Given that Handunnetti’s communication was clear, it also showed much that was not meant to be exposed. He simply did not respond to the questions that were posed to him. More bluntly, a Sinhala speaker can describe the intervention as yanne koheda, malle pol , which literally means, when asked ‘Where are you going?’, the answer is ‘There are coconuts in the bag’.
He spoke from a prepared text which his staff must have put together for him. However, it was far off the mark from the questions that were being directly posed to him. The issue here is that his staff appears to have not had any coordination with the forum organisers to ascertain and decide on the nature of questions that would be posed to the Minister for which answers could have been provided based on both global conditions, local situations and government policy. After all, this is a senior minister of an independent country and he has the right to know and control, when possible, what he is dealing with in an international forum.
This manner of working is fairly routine in such international fora. On the one hand, it is extremely unfortunate that his staff did not do the required homework and obviously the minister himself did not follow up, demonstrating negligence, a want for common sense, preparedness and experience among all concerned. On the other hand, the government needs to have a policy on who it sends to such events. For instance, should a minister attend a certain event, or should the government be represented by an official or consultant who can speak not only fluently, but also with authority on the subject matter. That is, such speakers need to be very familiar with the global issues concerned and not mere political rhetoric aimed at local audiences.
Other than Handunnetti, I have seen, heard and also heard of how poorly our politicians, political appointees and even officials perform at international meetings (some of which are closed door) bringing ridicule and disastrous consequences to the country. None of them are, however, held responsible.
Such reflective considerations are simple yet essential and pragmatic policy matters on how the government should work in these conditions. If this had been undertaken, the WEF event might have been better handled with better global press for the government. Nevertheless, this was not only a matter of English. For one thing, Handunnetti and his staff could have requested for the availability of simultaneous translation from Sinhala to English for which pre-knowledge of questions would have been useful. This is all too common too. At the UN General Assembly in September, President Dissanayake spoke in Sinhala and made a decent presentation.
The pertinent question is this; had Handunetti had the option of talking in Sinhala, would the interaction have been any better? That is extremely doubtful, barring the fluency of language use. This is because Handunnetti, like most other politicians past and present, are good at rhetoric but not convincing where substance is concerned, particularly when it comes to global issues. It is for this reason that such leaders need competent staff and consultants, and not mere party loyalists and yes men, which is an unfortunate situation that has engulfed the whole government.
What about the speech in parliament? Again, as in the WEF event, his presentation was crystal clear and, in this instance, contextually sensible. But he did not have to make that speech in English at all when decent simultaneous translation services were available. In so far as content was concerned, he made a sound argument considering local conditions which he knows well. The minister’s argument is about the need to ensure that young entrepreneurs be taught English so that they can deal with the world and bring investments into the country, among other things. This should actually be the norm, not only for young entrepreneurs, but for all who are interested in widening their employment and investment opportunities beyond this country and in accessing knowledge for which Sinhala and Tamil alone do not suffice.
As far as I am concerned, Handunetti’s argument is important because in parliament, it can be construed as a policy prerogative. Significantly, he asked the Minister of Education to make this possible in the educational reforms that the government is contemplating.
He went further, appealing to his detractors not to mock his struggle in learning English, and instead to become part of the solution. However, in my opinion, there is no need for the Minister to carry this chip on his shoulder. Why should the minister concern himself with being mocked for poor use of English? But there is a gap that his plea should have also addressed. What prevented him from mastering English in his youth goes far deeper than the lack of a privileged upbringing.
The fact of the matter is, the facilities that were available in schools and universities to learn English were not taken seriously and were often looked down upon as kaduwa by the political spectrum he represents and nationalist elements for whom the utilitarian value of English was not self-evident. I say this with responsibility because this was a considerable part of the reality in my time as an undergraduate and also throughout the time I taught in Sri Lanka.
Much earlier in my youth, swayed by the rhetoric of Sinhala language nationalism, my own mastery of English was also delayed even though my background is vastly different from the minister. I too was mocked, when two important schools in Kandy – Trinity College and St. Anthony’s College – refused to accept me to Grade 1 as my English was wanting. This was nearly 20 years after independence. I, however, opted to move on from the blatant discrimination, and mastered the language, although I probably had better opportunities and saw the world through a vastly different lens than the minister. If the minister’s commitment was also based on these social and political realities and the role people like him had played in negating our English language training particularly in universities, his plea would have sounded far more genuine.
If both these remarks and the contexts in which they were made say something about the way we can use English in our country, it is this: On one hand, the government needs to make sure it has a pragmatic policy in place when it sends representatives to international events which takes into account both a person’s language skills and his breadth of knowledge of the subject matter. On the other hand, it needs to find a way to ensure that English is taught to everyone successfully from kindergarten to university as a tool for inclusion, knowledge and communication and not a weapon of exclusion as is often the case.
This can only bear fruit if the failures, lapses and strengths of the country’s English language teaching efforts are taken into cognizance. Lamentably, division and discrimination are still the main emotional considerations on which English is being popularly used as the trolls of the minister’s English usage have shown. It is indeed regrettable that their small-mindedness prevents them from realizing that the Brits have long lost their long undisputed ownership over the English language along with the Empire itself. It is no longer in the hands of the colonial masters. So why allow it to be wielded by a privileged few mired in misplaced notions of elitism?
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