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FSP traces current forex crisis to PM doing away with Exchange Control Act under yahapalana rule

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By Saman Indrajiith

The Frontline Socialist Party, on Tuesday, said that amending of laws in favour of forex racketeers by the Yahapalana government in 2017 was one of the main causes of the prevailing forex shortage crisis.

Addressing the media at the party head office in Nugegoda, FSP Education Secretary, Pubudu Jagoda, said that the then Prime Minister Wickremesinghe had got the Exchange Control Act amended. “Since 1953, we have had the Exchange Control Act which prevented questionable outflows of forex. Wickremesinghe brought in a new law under the name Foreign Exchange Act, in 2017, replacing the former legislation. He said the reason for doing away with the Exchange Control Act of 1953 was to liberalise the foreign exchange flow. However, the new law proved detrimental to this country’s interests. Around 30 forex fraudsters were released from the cases against them. The new law has led to the present foreign exchange crisis.

“As per the previous legislation, exporters required to bring home an equivalent, or more, of foreign exchange of the worth of their exports via the banking system. The violation of the law was a criminal offence. The offences, under the former legislation, were non bailable offences. As per the provisions of the Exchange Control Act, the property of the offender was to be confiscated. At the time the new law was introduced, there were around 30 cases pending before our courts against alleged violators of the former Act. Among those were close associates of Wickremesinghe and some members of the Rajapaksa family.

“It is usual when a new Act is introduced, replacing the former Act, mention has to be made with regard to the procedure to be adapted for the cases pending before the courts for offences committed under the previous Act. The new Foreign Exchange Act, introduced by Wickremesinghe, converted the criminal offence into a civil offence. It relegated the forex offences under the new act to the jurisdiction to Magistrates’ Courts from High Courts and also provided for bail to be granted by a Magistrate. With regard to the mandatory confiscation of property and earnings of forex crimes, the new Act placed it under the discretion of the judge. As per the provisions of the new Act, those pending cases came to an end. The provisions of the new Act called for a fresh filing of the cases within a period of three months. There were no cases filed for the same offences and all those who had been charged under the former Act were allowed to get away.

The new Act, which came into force in 2017, was favourable to forex racketeers and enabled many unscrupulous exports to park their dollars overseas, contributing to the present crisis.



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Former IGP’s death likely due to an accidental weapon discharge

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Wickramaratne

He was examining security officer’s new weapon while waiting for his wife to join him on a morning walk

Friday’s shock death of former IGP Chandana Wickramaratne due to gunshot injuries on his chest was possibly due to an accidental discharge of his personal security officer’s (PSO’s) pistol. Wickramaratne, who was kitted for his walk and waiting on the verandah for his wife to join him, was examining the PSO’s new weapon, knowledgeable sources said.

These sources said the wife who was putting on her shoes inside the house heard a bang and found Wickramaratne fallen on the verandah.

The retired IGP had noticed the security officer carrying a new weapon and had asked to examine it. Saying he carried a similar weapon years ago, he found no magazine and said, “are you planning to accompany me on my walk with a pistol without a magazine?”

The PSO had then handed the loaded magazine and gone into the house to fetch a requested bottle of water when the weapon had gone off.

The sources said that Wickramaratne was in no way depressed and had attended an Ananda College old boy’s event a few days ago, had dinner with friends and chatted with them. He had an appointment to meet a friend on Saturday.

Friends and family saw no reason for Wickramaratne to take his own life and there was no evidence whatever of an external agent shooting him. The former IGP was pronounced dead at the Colombo East Teaching Hospital to which he was rushed.

Police said investigations were proceeding and an autopsy report was awaited.

Wickramaratne was appointed the 35th Inspector General on November 25, 2020 and retired  three years later in 2023. He had also set a record as the longest serving acting IGP since his naming to that position in May 2019 after his predecessor Pujith Jayasundara was sent on compulsory leave.

He joined as a trainee Assistant Superintendent  in June 1986 after graduating from the Colombo University. He was absorbed to the National Intelligence Bureau where he worked till 1995. Thereafter he reverted to the uniform service and had been posted across the country, including the northern and eastern areas at the height of the war.

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Rosy Senanayake appears before CMC corruption probe commission

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This image, taken from Derana TV footage, shows former Colombo Mayor Rosy Senanayake arriving at the Presidential Commission of Inquiry on Friday

Former Colombo Mayor Rosy Senanayake appeared before the Presidential Commission of Inquiry appointed to investigate allegations of corruption and fraud at the Colombo Municipal Council (CMC) on Friday (17).

Speaking to the media after appearing before the commission, Senanayake said she had been summoned to provide information regarding a food voucher programme implemented during her tenure as Mayor amid the COVID-19 pandemic and the economic crisis.

She said the programme, carried out through state-owned Lanka Sathosa, was introduced to provide assistance to low-income and vulnerable families affected by the economic hardships during the period.

“We gave food vouchers from Sathosa to the poor during the pandemic and economic crisis.

They wanted answers to some questions they had regarding the programme,” Senanayake said.The Presidential Commission is currently investigating allegations relating to financial irregularities, corruption and other misconduct within the Colombo Municipal Council.

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Cop suspended after sitting on female cop’s lap

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A police constable has been suspended from service following an inquiry into allegations that he sat on the lap of a female police constable while under the influence of alcohol at the Makalugaswewa Police Station.

Police said the constable had reported for duty at a musical concert held at the Dambulla Gam Udawa Stadium on July 15 and later returned to the police station to resume duties.

According to initial reports, the constable allegedly sat on the female officer’s lap after seeing her seated on a chair at the station.

The female police constable subsequently lodged a complaint with the Assistant Superintendent of Police (ASP) in charge of the area through the Officer-in-Charge (OIC) of the police station.

A preliminary investigation into the incident found that the constable had allegedly been under the influence of alcohol at the time of the incident.

Following the inquiry into the alleged harassment of the female officer and the constable’s conduct while on duty, police authorities took steps to suspend his service pending further action.

by Norman Palihawadane ✍️

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