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Midweek Review

How bankruptcy paves way for exploitation of Sri Lanka

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First row (from left) Chief Financial Officer, Ports and Shipping Ministry Sandhya Pushparani, Director J.R.U. de Silva, Ports and Shipping Secretary K.D.S. Ruwanchandra, and Chairman, SLPA Dr. Prasantha Jayamanna. Director, SLPA Isuru Balpatabendi,and Chairman Jaya Container Terminal Attorney-at-Law Lakmal Ratnayake on the second row (pics courtesy Parliament)

Mismanagement of cash cow SLPA, where still it’s carry on as usual

By Shamindra Ferdinando

The United States is keen to further enhance and consolidate its role in Sri Lanka. The current turmoil that has been caused by waste, corruption, irregularities, mismanagement of the economy over the years as well as a spate of ill-advised decisions taken by the incumbent administration would facilitate the US strategy here. The global fuel and food crises caused by Russia rushing into a quagmire in Ukraine, essentially tailor made by the West, as happened to its predecessor the Soviet Union in Afghanistan earlier, has further debilitated the Sri Lankan and many other economies.

The failure on the part of the ruling SLPP and the Opposition to reach a consensus regarding a common action plan to face the daunting economic challenges, has assisted the U.S. and common ‘Quad’ approach towards Sri Lanka. The organization consists of the U.S. Japan, Australia and India, the last now more or less a reluctant bride.

The U.S. wants to strengthen Sri Lanka’s accounting and auditing sectors as part of its overall measures to improve the public sector here. Other ‘Quad’ members are pursuing combined as well as individual strategies pertaining to Sri Lanka. India is now in a position to dominate Sri Lanka in every aspect. The push to expand network of Lanka IOC service station is a case in point.

Speculation is rife of New Delhi seeking to further enhance its share of the oil market here in a situation of utter economic turmoil caused by unprecedented shortages.

The recent announcement that the USAID (U.S. Agency for International Development) would partner the Institute of Chartered Accountants of Sri Lanka (CA Sri Lanka) and the Association of Public Finance Accountants of Sri Lanka (APFASL) to toughen Sri Lanka’s accounting and auditing sectors was amidst the worst ever economic turmoil. The US project, according to a statement issued by the U.S. Embassy in Colombo, is meant to train approximately 600 public sector accountants and audit professionals and 1,200 officers on IT applications and other platforms that support strategic decision-making.

U.S. Ambassador Julie Chung declared at the launch of the project the partnership with CA Sri Lanka and APFASL would contribute towards greater accountability in the public sector. The Embassy, in a statement issued on June 15, 2022, quoted Chung as having said that as one of Sri Lanka’s longstanding development partners, the U.S vision was to help the country to emerge from crises stronger than before.

The statement also quoted Sanjaya Bandara, President of CA Sri Lanka, as having said that “Strong public financial management is very critical for Sri Lanka to achieve its long-term goals. President of APFASL V. Kanagasabapathy profusely thanked the USAID for the recognition of its efforts. The U.S. Embassy quoted Kanagasabapathy as having said that APFASL’ vision was to lead the public financial management to excellence while helping the sector to continue to play a pioneering role in Sri Lanka.

The countrywide U.S. project, according to the statement, is meant to provide a framework for the preparation and presentation of financial statements in compliance with international best practices for quality financial accounting and reporting. Having published the US statement, the writer asked the Embassy whether it would be possible to know the total cost and duration of the project and who would receive the funding?

The Island received the following response: “This initiative is a series of trainings supported by the United States. The training will be attended by public sector accountants and audit professionals to strengthen oversight and accountability capacity in Sri Lanka.”

The Island again asked the U.S. Embassy whether it would be possible to know the total cost of the project. We received the following second response: “This initiative includes 24 training programmes over the course of two years. Training programmes will take place in all 9 Sri Lankan provinces.”

After having thanked the U.S. Embassy, The Island once again repeated the question how much the project would cost the US? The Embassy didn’t respond to that query. That was nearly two weeks ago.

Question mark over 2016 US project

The latest project can be examined taking into consideration the high profile USAID funded three-year project launched in late Nov. 2016. Budgeted at USD 13,000 mn (Rs 1.92 bn), the project launch that took place in Parliament under the auspices of the then Speaker Karu Jayasuriya and USAID Mission Director Andrew Sisson, the gathering was told the Strengthening Democratic Governance and Accountability Project (SDGAP) would improve strategic planning and communication within government and Parliament, enhance public outreach, develop more effective policy reform and implementation processes, and increase political participation of women and underrepresented groups in Parliament and at local levels.

Had that project achieved stated goals, Sri Lanka wouldn’t be in the current predicament. It would be pertinent to mention that the U.S. finalized the project over eight months after the then Central Bank Governor Singaporean national Arjuna Mahendran perpetrated the second far bigger Treasury bond scam. So were all those American efforts nothing more than a smokescreen for other agendas?

The CBSL perpetrated the first scam in February 2015, just few weeks after the US-backed campaign installed Maithripala Sirisena as the President, which they shamelessly crowed about publicly with none other than then Secretary of State John Kerry announcing it to the world. Mahendran carried out the second bond scam in late March 2016, half a year after the UNP won the general election.

The release of the unedited video footage of the examination of public enterprises undertaken by the parliamentary watchdog, the Committee on Public Enterprises (COPE) under the leadership of Prof. Charitha Herath MP has exposed unbridled waste, corruption, irregularities and mismanagement of state enterprises. Unfortunately, the media and the civil society hadn’t taken advantage of the availability of such video footage released by the Parliament to educate the public. The press releases issued by the Parliament on proceedings at the COPE, COPA (Committee on Public Accounts) and COPF (Committee of Public Finance) quite clearly helped the media, but video footage provided much clearer picture of the developments taking place.

The video footage of the Sri Lanka Ports Authority (SLPA) top management appearing before the COPE on June 22, 2022 is a case in point. The proceedings revealed not only a pathetic state in public sector finance but the failure on the part of the executive, legislature and the judiciary to address these issues at hand. Prof. Charitha Herath flanked by Auditor General W.P.C. Wickramaratne and Secretary to the COPE Nishanthi Wickramasinghe examined the top SLPA management. Ports and Shipping Secretary K.D.S. Ruwanchandra, flanked by Chairman, SLPA Dr. Prasantha Jayamanna, Director J.R.U. de Silva and Chief Financial Officer, Ports and Shipping Ministry Sandhya Pushparani. They were on the first row. Isuru Balpatabendi, Director sat in between Chairman, Jaya Container Terminal Attorney-at-Law Lakmal Ratnayake, and its Managing Director Upul Jayatissa. Director General Customs Maj. Gen. (ret.) G.V. Ravipriya also sat on the second row as a Director of the cash cow.

The COPE didn’t raise any queries from Isuru Balpatabendi nor did he offer any explanations. Balapatabendi’s presence among the eight-member Board of Directors should be examined taking into consideration of him being the Secretary of the Bar Association of Sri Lanka (BASL). Having offered solutions to overcome the current political, economic and social crisis, the BASL cannot turn a blind eye to continuing waste, corruption, irregularities and mismanagement in the public sector. The SLPA can be a case study for the BASL.

The bottom line is that Sri Lanka is currently in such a desperate situation the US may find the environment conducive for a fresh attempt to force SOFA (Status of Forces Agreement) and MCC (Millennium Challenge Corporation) on Sri Lanka. The US succeeded in securing Sri Lanka’s consent for ACSA (Access and Cross Servicing Agreement) in Aug 2017. Interestingly both Ranil Wickremesinghe and Maithripala Sirisena who approved ACSA that gave US military access to Sri Lanka are now with President Gotabaya Rajapaksa’s government.

Importance of internal audit

At the onset of the COPE proceedings, Prof. Herath sought an explanation as regards the status of the internal audit. Obviously, Chief Internal Auditor, SLPA, Gayani Liyanage responses as well as that of the SLPA Chairman to specific questions didn’t appease Prof. Herath, who asserted that poor internal audit could be one of the reasons for the current issues. Prof. Herath asked the SLPA Chairman not to assign tasks to the 53-strong internal audit unit outside their legitimate duties.

Herath raised several contentious issues with COPE members Patali Champika Ranawaka (PCR), Madura Vithanage, Jagath Pushpakumara, D.V. Chanaka, Eran Wickramaratne and Premanath C. Dolawatta making valuable contributions. PCR was particularly spot on. The former JHU heavyweight dealt firmly and expertly with contentious issues while Vithanage targeted the Finance.

The following are the main points of contention:

(1) The loan obtained from China to build Hambantota port has been removed from all government financial statements. As at Dec 31, 2021, Sri Lanka owed China Rs 165.4 bn (USD 1.89 bn). USD 1.2 bn received from China for 99-year lease of the strategic port hadn’t been utilized to settle the loan. Instead, the USD 1.2 bn had been spent though the COPE was not told of the allocation of USD 1.2 bn. The Treasury now services the loan. Prof. Herath requested Ports and Shipping Ministry Secretary Ruwanchandra to submit a comprehensive report on this matter.

(2) The COPE sought an explanation from the SLPA why the state enterprise failed to market the Hambantota port the way the Chinese did after the finalization of the USD 1.2 bn agreement on the 99-year-lease on the commercially strategic port.

(3) Massive losses suffered as a result of procurement of a stock of oil at a cost of USD 24.3 mn (Rs 8,000 mn) that had to be sold for USD 3.5. COPE questioned Niroshan Siriwardena, Managing Director, Magampura port over the circumstances the outfit unwisely utilized the loan obtained from a bank on the advice of a consultant. COPE recommended the SLPA and the Secretary Ports and Shipping Ministry to take legal measures against the consultant. Proceedings revealed Magampura port operation is nothing but an absolute waste of public funds. The failure on the part of those responsible to take tangible action in this regard stressed.

(4) The inordinate and continuing delay in equipping the ECT (East Container Terminal) thereby giving advantage to the China owned CICT (Colombo International Container Terminal) and SAGT (South Asia Gateway Terminal). The SLPA owned 15 percent each of both CICT and SAGT. The negligence and the failures on the part of those responsible for transformation of the ECT seemed, in a way, deliberate. The parliamentary watchdog questioned the possibility of some interested party purposely undermining the operation. The fault seemed to be at the level of Cabinet of Ministers as well as successive SLPA administrations. The issue of taking delivery of gantry cranes before constructing specific positions they were to be installed shocking and disappointing. The COPE took notice of the fact that such equipment took one and half years to be built after an order was placed. It transpired that the cost of the civil works component was USD 198 mn (65% local currency) and equipment installation cost USD 282 mn. However, the installation has been delayed due to the failure on the part of the SLPA’s state bank to provide the required financing. The shocking revelation that the ECT hadn’t been expanded for five years after the completion of the 400 m stretch is evidence that successive governments failed public expectations. Lawmaker PCR emphasized the pivotal importance of revisiting the ECT project as the ground situation has changed. The MP reminded the SLPA and the COPE of the government’s admission of bankruptcy.

(5) Dispute over the SLPA’s stated profits. The SLPA challenged the Auditor General’s estimate that the state enterprise earned Rs 45 bn in 2021. The SLPA placed annual profits at Rs 62 bn. The COPE also made reference to the SAGT returning to the SLPA in 2019 and the government’s responsibility in that regard.

(6) The loss of revenue as well as foreign shippers’ faith in the SLPA as a result of the strike launched on June 10, 2020.

(7) Construction of Adani Group-led CWIT (Colombo West International Terminal). Comparison of the CICT and the SAGT workforce with that of the SLPA and the sharp difference in the number of the private sector workers and the SLPA. The SLPA seemed a law unto itself with the disclosure that the highly profitable venture operated to a certain extent outside the purview of the Management Services Department though the total number of employees remained well under the stipulated figure 9,900. The COPE stressed the need to ensure that the SLPA under any circumstances didn’t go beyond the stipulated number of workers. The current work force comprised 9,300.

(8) Rohitha Abeygunawardena who served as the Ports and Shipping Minister of President Gotabaya Rajapaksa till April 2020 raised the contentious issue of recruitment beyond the approved cadre. The lawmaker stressed the need to compare the private sector operations and that of the SLPA. The COPE was told that though the total approved cadre hadn’t been exceeded, recruitment has been carried out in an irregular and extremely shoddy manner.

(9) Big question mark over the transfer of just Rs. 600 mn out of 69,686 mn profits (2016-2021) period and the pathetic failure on the part of the Finance Ministry to address the issue.

(10) Absence of a cohesive and efficient system to charge CICT and SAGT for certain services rendered by the SLPA.

(11) Growing overtime Bill with 2021 recording a staggering Rs 5.8 bn in extra payments. Scandalous disclosure some workers earned overtime for 400 hours and unskilled work assistants numbering 1,500 continued to be a heavy burden.

(12) Controversy over so-called collective agreement that ensured salary increase every three years. The COPE stressed the need to have guidelines formulated by the Management Services Department to prevent exploitation of collective agreements as the process threatened financial stability.

The SLPA, in spite of being a profit making state enterprise, remains in an utterly chaotic situation. The SLPA hasn’t been a burden on the taxpayer though the national carrier SriLankan, the CEB and the CPC bled the country dry. But casual examination indicates regardless of the financial status a section of public servants continued to enjoy perks and privileges while the entire country suffered as a result of local and some external factors beyond Sri Lanka’s control.



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Midweek Review

Fonseka clears Rajapaksas of committing war crimes he himself once accused them of

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With Sri Lanka’s 17th annual war victory over separatist Tamil terrorism just months away, warwinning Army Chief, Field Marshal Sarath Fonseka (Dec. 06, 2005, to July 15, 2009) has significantly changed his war narrative pertaining to the final phase of the offensive that was brought to an end on May 18, 2009.

The armed forces declared the conclusion of ground operations on that day after the entire northern region was brought back under their control. LTTE leader Velupillai Prabhakaran, hiding within the secured area, was killed on the following day. His body was recovered from the banks of the Nanthikadal lagoon.

With the war a foregone conclusion, with nothing to save the increasingly hedged in Tigers taking refuge among hapless Tamil civilians, Fonseka left for Beijing on May 11, and returned to Colombo, around midnight, on May 17, 2009. The LTTE, in its last desperate bid to facilitate Prabhakatan’s escape, breached one flank of the 53 Division, around 2.30 am, on May 18. But they failed to bring the assault to a successful conclusion and by noon the following day those fanatical followers of Tiger Supremo, who had been trapped within the territory, under military control, died in confrontations.

During Fonseka’s absence, the celebrated 58 Division (formerly Task Force 1), commanded by the then Maj. Gen. Shavendra Silva, advanced 31/2 to 4 kms and was appropriately positioned with Maj. Gen. Kamal Gunaratne’s 53 Division. The LTTE never had an opportunity to save its leader by breaching several lines held by frontline troops on the Vanni east front. There couldn’t have been any other option than surrendering to the Army.

The Sinha Regiment veteran, who had repeatedly accused the Rajapaksas of war crimes, and betraying the war effort by providing USD 2 mn, ahead of the 2005 presidential election, to the LTTE, in return for ordering the polls boycott that enabled Mahinda Rajapaksa’s victory, last week made noteworthy changes to his much disputed narrative.

GR’s call to Shavendra What did the former Army Commander say?

* The Rajapaksas wanted to sabotage the war effort, beginning January 2008.

* In January 2008, Mahinda Rajapaksa, Defence Secretary Gotabaya Rajapaksa and Navy Commander VA Wasantha Karannagoda, proposed to the National Security Council that the Army should advance from Vavuniya to Mullithivu, on a straight line, to rapidly bring the war to a successful conclusion. They asserted that Fonseka’s strategy (fighting the enemy on multiple fronts) caused a lot of casualties.

* They tried to discourage the then Lt. Gen. Fonseka

* Fonseka produced purported video evidence to prove decisive intervention made by Defence Secretary Gotabaya Rajapaksa on the afternoon of May 17. The ex-Army Chief’s assertion was based on a telephone call received by Maj. Gen. Shavendra Silva from Gotabaya Rajapaksa. That conversation had been captured on video by Swarnavahini’s Shanaka de Silva who now resides in the US. He had been one of the few persons, from the media, authorised by the Army Headquarters and the Defence Ministry to be with the Army leadership on the battlefield. Fonseka claimed that the videographer fled the country to escape death in the hands of the Rajapaksas. It was somewhat reminiscent of Maithripala Sirisena’s claim that if Rajapaksas win the 2015 Presidential election against him he would be killed by them.

* Shanaka captured Shavendra Silva disclosing three conditions laid down by the LTTE to surrender namely (a) Their casualties should be evacuated to Colombo by road (b) They were ready to exchange six captured Army personnel with those in military custody and (c) and the rest were ready to surrender.

* Then Fonseka received a call from Gotabaya Rajapaksa, on a CDMA phone. The Defence Secretary issued specific instructions to the effect that if the LTTE was to surrender that should be to the military and definitely not to the ICRC or any other third party. Gotabaya Rajapaksa, one-time Commanding Officer of the 1st battalion of the Gajaba Regiment, ordered that irrespective of any new developments and talks with the international community, offensive action shouldn’t be halted. That declaration directly contradicted Fonseka’s claim that the Rajapaksas conspired to throw a lifeline to the LTTE.

Fonseka declared that the Rajapaksa brothers, in consultation with the ICRC, and Amnesty International, offered an opportunity for the LTTE leadership to surrender, whereas his order was to annihilate the LTTE. The overall plan was to eliminate all, Fonseka declared, alleging that the Rajapaksa initiated talks with the LTTE and other parties to save those who had been trapped by ground forces in a 400 m x 400 m area by the night of May 16, among a Tamil civilian human shield held by force.

If the LTTE had agreed to surrender to the Army, Mahinda Rajapaksa would have saved their lives. If that happened Velupillai Prabhakaran would have ended up as the Chief Minister of the Northern Province, he said. Fonseka shocked everyone when he declared that he never accused the 58 Division of executing prisoners of war (white flag killings) but the issue was created by those media people embedded with the military leadership. Fonseka declared that accusations regarding white flag killings never happened. That story, according to Fonseka, had been developed on the basis of the Rajapaksas’ failed bid to save the lives of the LTTE leaders.

Before we discuss the issues at hand, and various assertions, claims and allegations made by Fonseka, it would be pertinent to remind readers of wartime US Defence Advisor in Colombo Lt. Col. Lawrence Smith’s June 2011 denial of white flag killings. The US State Department promptly declared that the officer hadn’t spoken at the inaugural Colombo seminar on behalf of the US. Smith’s declaration, made two years after the end of the war, and within months after the release of the Darusman report, dealt a massive blow to false war crimes allegations.

UN Secretary-General Ban Ki-moon, in 2010, appointed a three-member Panel of Experts, more like a kangaroo court, consisting of Marzuki Darusman, Yasmin Sooka, and Steven Ratner, to investigate war crimes accusations.

Now Fonseka has confirmed what Smith revealed at the defence seminar in response to a query posed by Maj. General (retd.) Ashok Metha of the IPKF to Shavendra Silva, who had been No 02 in our UN mission, in New York, at that time.

White flag allegations

‘White flag’ allegations cannot be discussed in isolation. Fonseka made that claim as the common presidential candidate backed by the UNP-JVP-TNA combine. The shocking declaration was made in an interview with The Sunday Leader Editor Frederica Jansz published on Dec. 13, 2009 under ‘Gota ordered them to be shot – General Sarath Fonseka.’

The ‘white flag’ story had been sensationally figured in a leaked confidential US Embassy cable, during Patricia Butenis tenure as the US Ambassador here. Butenis had authored that cable at 1.50 pm on Dec. 13, 2009, the day after the now defunct The Sunday Leader exclusive. Butenis had lunch with Fonseka in the company of the then UNP Deputy Leader Karu Jayasuriya, according to the cable. But for the writer the most interesting part had been Butenis declaration that Fonseka’s advisors, namely the late Mangala Samaraweera, Anura Kumara Dissanayake (incumbent President) and Vijitha Herath (current Foreign Minister) wanted him to retract part of the story attributed to him.

Frederica Jansz fiercely stood by her explosive story. She reiterated the accuracy of the story, published on Dec. 13, 2009, during the ‘white flag’ hearing when the writer spoke to her. There is absolutely no reason to suspect Frederica Jansz misinterpreted Fonseka’s response to her queries.

Subsequently, Fonseka repeated the ‘white flag’ allegation at a public rally held in support of his candidature. Many an eyebrow was raised at The Sunday Leader’s almost blind support for Fonseka, against the backdrop of persistent allegations directed at the Army over Lasantha Wickrematunga’s killing. Wickrematunga, an Attorney-at-Law by profession and one-time Private Secretary to Opposition Leader Sirimavo Bandaranaike, was killed on the Attidiya Road, Ratmalana in early January 2009.

The Darusman report, too, dealt withthe ‘white flag’ killings and were central to unsubstantiated Western accusations directed at the Sri Lankan military. Regardless of the political environment in which the ‘white flag’ accusations were made, the issue received global attention for obvious reasons. The accuser had been the war-winning Army Commander who defeated the LTTE at its own game. But, Fonseka insisted, during his meeting with Butenis, as well as the recent public statement that the Rajapaksas had worked behind his back with some members of the international community.

Fresh inquiry needed

Fonseka’s latest declaration that the Rajapaksas wanted to save the LTTE leadership came close on the heels of Deputy British Prime Minister David Lammy’s whistle-stop visit here. The UK, as the leader of the Core Group on Sri Lanka at the Geneva-based United Nations Human Rights Council, spearheads the campaign targeting Sri Lanka.

Lammy was on his way to New Delhi for the AI Impact Summit. The Labour campaigner pushed for action against Sri Lanka during the last UK general election. In fact, taking punitive action against the Sri Lankan military had been a key campaign slogan meant to attract Tamil voters of Sri Lankan origin. His campaign contributed to the declaration of sanctions in March 2025 against Admiral of the Fleet Wasantha Karannagoda, General (retd) Shavendra Silva, General (retd) Jagath Jayasuriya and ex-LTTE commander Karuna, who rebelled against Prabhakaran. Defending Shavendra Silva, Fonseka, about a week after the imposition of the UK sanctions, declared that the British action was unfair.

But Fonseka’s declaration last week had cleared the Rajapaksas of war crimes. Instead, they had been portrayed as traitors. That declaration may undermine the continuous post-war propaganda campaign meant to demonise the Rajapaksas and top ground commanders.

Canada, then a part of the Western clique that blindly towed the US line, declared Sri Lanka perpetrated genocide and also sanctioned ex-Presidents Mahinda Rajapaksa and Gotabaya Rajapaksa. Other countries resorted to action, though such measures weren’t formally announced. General (retd) Jagath Dias and Maj. Gen (retd) Chagie Gallage were two of those targeted.

Against the backdrop of Fonseka’s latest claims, in respect of accountability issues, the urgent need to review action taken against Sri Lanka cannot be delayed. Although the US denied visa when Fonseka was to accompany President Maithripala Sirisena to the UN, in Sept. 2016, he hadn’t been formally accused of war crimes by the western powers, obviously because he served their interests.

On the basis of unsubstantiated allegations that hadn’t been subjected to judicial proceedings, Geneva initiated actions. The US, Canada and UK acted on those accusations. The US sanctioned General Shavendra Silva in Feb. 2020 and Admiral Karannagoda in April 2023.

What compelled Fonseka to change his narrative, 18 years after his Army ended the war? Did Fonseka base his latest version solely on Shanaka de Silva video? Fonseka is on record as claiming that he got that video, via a third party, thereby Shanaka de Silva had nothing to do with his actions.

DNA and formation of DP

Having realised that he couldn’t, under any circumstances, reach a consensus with the UNP to pursue a political career with that party, Fonseka teamed up with the JVP, one of the parties in the coalition that backed his presidential bid in 2010. Fonseka’s current efforts to reach an understanding with the JVP/NPP (President Anura Kumara Dissanayake is the leader of both registered political parties) should be examined against the backdrop of their 2010 alliance.

Under Fonseka’s leadership, the JVP, and a couple of other parties/groups, contested, under the symbol of the Democratic National Alliance (DNA) that had been formed on 22 Nov. 2009. but the grouping pathetically failed to live up to their own expectations. The results of the parliamentary polls, conducted in April 2010, had been devastating and utterly demoralising. Fonseka, who polled about 40% of the national vote at the January 2010 presidential election, ended up with just over 5% of the vote, and the DNA only managed to secure seven seats, including two on the National List. The DNA group consisted of Fonseka, ex-national cricket captain Arjuna Ranatunga, businessman Tiran Alles and four JVPers. Anura Kumara Dissanayake was among the four.

Having been arrested on February 8, 2010, soon after the presidential election, Fonseka was in prison. He was court-martialed for committing “military offences”. He was convicted of corrupt military supply deals and sentenced to three years in prison. Fonseka vacated his seat on 7 Oct .2010. Following a failed legal battle to protect his MP status, Fonseka was replaced by DNA member Jayantha Ketagoda on 8 March 2011. But President Mahinda Rajapaksa released Fonseka in May 2012 following heavy US pressure. The US went to the extent of issuing a warning to the then SLFP General Secretary Maithripala Sirisena that unless President Rajapaksa freed Fonseka he would have to face the consequences (The then Health Minister Sirisena disclosed the US intervention when the writer met him at the Jealth Ministry, as advised by President Rajapaksa)

By then, Fonseka and the JVP had drifted apart and both parties were irrelevant. Somawansa Amarasinghe had been the leader at the time the party decided to join the UNP-led alliance that included the TNA, and the SLMC. The controversial 2010 project had the backing of the US as disclosed by leaked secret diplomatic cables during Patricia Butenis tenure as the US Ambassador here.

In spite of arranging the JVP-led coalition to bring an end to the Rajapaksa rule, Butenis, in a cable dated 15 January 2010, explained the crisis situation here. Butenis said: “There are no examples we know of a regime undertaking wholesale investigations of its own troops or senior officials for war crimes while that regime or government remained in power. In Sri Lanka this is further complicated by the fact that responsibility for many of the alleged crimes rests with the country’s senior civilian and military leadership, including President Rajapaksa and his brothers and opposition candidate General Fonseka.”

Then Fonseka scored a major victory when Election Commissioner Mahinda Deshapriya on 1 April, 2013, recognised his Democratic Party (DNA was registered as DP) with ‘burning flame’ as its symbol. There hadn’t been a previous instance of any service commander registering a political party. While Fonseka received the leadership, ex-Army officer Senaka de Silva, husband of Diana Gamage ((later SJB MP who lost her National List seat over citizenship issue) functioned as the Deputy Leader.

Having covered Fonseka’s political journey, beginning with the day he handed over command to Lt. Gen. Jagath Jayasuriya, in July, 2009, at the old Army Headquarters that was later demolished to pave the way for the Shangri-La hotel complex, the writer covered the hastily arranged media briefing at the Solis reception hall, Pitakotte, on 2 April, 2023. Claiming that his DP was the only alternative to what he called corrupt Mahinda Rajapaksa’s government and bankrupt Ranil Wickremesinghe-led Opposition, a jubilant Fonseka declared himself as the only alternative (‘I am the only alternative,’ with strapline ‘SF alleges Opposition is as bad as govt’. The Island, April 3, 2013).

Fonseka had been overconfident to such an extent, he appealed to members of the government parliamentary group, as well as the Opposition (UNP), to switch allegiance to him. As usual Fonseka was cocky and never realised that 40% of the national vote he received, at the presidential election, belonged to the UNP, TNA and the JVP. Fonseka also disregarded the fact that he no longer had the JVP’s support. He was on his own. The DP never bothered to examine the devastating impact his 2010 relationship with the TNA had on the party. The 2015 general election results devastated Fonseka and underscored that there was absolutely no opportunity for a new party. The result also proved that his role in Sri Lanka’s triumph over the LTTE hadn’t been a decisive factor.

RW comes to SF’s rescue

Fonseka’s DP suffered a humiliating defeat at the August 2015 parliamentary polls. The outcome had been so bad that the DP was left without at least a National List slot. Fonseka was back to square one. If not for UNP leader and Prime Minister Ranil Wickremesinghe, Fonseka could have been left in the cold. Wickremesinghe accommodated Fonseka on their National List, in place of SLFPer M.K.D.S. Gunawardene, who played a critical role in an influential section of the party and the electorate shifting support to Maithripala Sirisena. Gunawardena passed away on 19 January, 2016. Wickremesinghe and Fonseka signed an agreement at Temple Trees on 3 February, 2016. Fonseka received appointment as National List MP on 9 February, 2016, and served as Minister of Regional Development and, thereafter, as Minister of Wildlife and Sustainable Development, till Oct. 2018. Fonseka lost his Ministry when President Sirisena treacherously sacked Wickremesinghe’s government to pave the way for a new partnership with the Rajapaksas. The Supreme Court discarded that arrangement and brought back the Yahapalana administration but Sirisena, who appointed Fonseka to the lifetime rank of Field Marshal, in recognition of his contribution to the defeat of terrorism, refused to accommodate him in Wickremesinghe’s Cabinet. The President also left out Wasantha Karannagoda and Roshan Goonetilleke. Sirisena appointed them Admiral of the Fleet and Marshal of Air Force, respectively, on 19, Sept. 2019, in the wake of him failing to secure the required backing to contest the Nov. 2019 presidential election.

Wickremesinghe’s UNP repeatedly appealed on behalf of Fonseka in vain to Sirisena. At the 2020 general election, Fonseka switched his allegiance to Sajith Premadasa and contested under the SJB’s ‘telephone’ symbol and was elected from the Gampaha district. Later, following a damaging row with Sajith Premadasa, he quit the SJB as its Chairman and, at the last presidential election, joined the fray as an independent candidate. Having secured just 22,407 votes, Fonseka was placed in distant 9th position. Obviously, Fonseka never received any benefits from support extended to the 2022 Aragalaya and his defeat at the last presidential election seems to have placed him in an extremely difficult position, politically.

Let’s end this piece by reminding that Fonseka gave up the party leadership in early 2024 ahead of the presidential election. Senaka de Silva succeeded Fonseka as DP leader, whereas Dr. Asosha Fernando received appointment as its Chairman. The DP has aligned itself with the NPP. The rest is history.

By Shamindra Ferdinando

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Midweek Review

Strengths and weaknesses of BRICS+: Implications for Global South

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The 16th BRICS Summit, from 22 to 24 October 2024 in Kazan, was attended by 24 heads of state, including the five countries that officially became part of the group on 1 January: Saudi Arabia, the United Arab Emirates, Iran, Egypt and Ethiopia. Argentina finally withdrew from the forum after Javier Milei’s government took office in 2023.

In the end, it changed its strategy and instead of granting full membership made them associated countries adding a large group of 13 countries: two from Latin America (Bolivia and Cuba), three from Africa (Algeria, Nigeria, Uganda) and eight from Asia (Belarus, Indonesia, Kazakhstan, Malaysia, Thailand, Turkey, Uzbekistan and Vietnam). This confirms the expansionary intent of the BRICS, initiated last year and driven above all by China, which seeks to turn the group into a relevant multilateral forum, with focus on political than economic interaction, designed to serve its interests in the geopolitical dispute with the United States. This dispute however is not the making of China but has arisen mainly due to the callous bungling of  Donald Trump in his second term in office.

China has emerged as the power that could influence the membership within the larger group more than its rival in the region, India.  Obviously, the latter  is concerned about these developments but seems powerless to stop the trend as more countries realize the need for the development of capacity to resist Western dominance. India in this regard seems to be reluctant possibly due to its defence obligations to the US with Trump  declaring war against countries that try to forge partnerships aiming to de-dollarize the global economic system.

The real weakness in BRICS therefore, is the seemingly intractable rivalry between China and India and the impact of this relationship on the other members who are keen to see the organisation grow its capacity to meet its stated goals. China is committed to developing an alternative to the Western dominated world order, particularly the weaponization of the dollar by the US. India does not want to be seen as anti-west and as a result  India is often viewed as a reluctant or cautious member of BRICS. This problem seems to be perpetuated due to the ongoing border tensions with China. India therefore has a  desire to maintain a level playing field within the group, rather than allowing it to be dominated by Beijing.

Though India seems to be  committed to a multipolar world, it prefers focusing on economic cooperation over geopolitical alignment. India thinks the expansion of BRICS initiated by China may dilute its influence within the bloc to the advantage of China. India fears the bloc is shifting toward an anti-Western tilt driven by China and Russia, complicating its own strong ties with the West. India is wary of the new members who are also beneficiaries of China’s Belt and Road Initiative. While China aims to use BRICS for anti-Western geopolitical agendas, India favors focusing on South-South financial cooperation and reforming international institutions. Yet India seems to be not in favour of creating a new currency to replace the dollar which could obviously strengthen the South-South financial transactions bypassing the dollar.

Moreover, India has explicitly opposed the expansion of the bloc to include certain nations, such as Pakistan, indicating a desire to control the group’s agenda, especially during its presidency.

In this equation an important factor is the role that Russia could play. The opinion expressed by the Russian foreign minister in this regard may be significant. Referring to the new admissions the Russian Foreign Minister Sergey Lavrov has said: “The weight, prominence and importance of the candidates and their international standing were the primary factors for us [BRICS members]. It is our shared view that we must recruit like-minded countries into our ranks that believe in a multipolar world order and the need for more democracy and justice in international relations. We need those who champion a bigger role for the Global South in global governance. The six countries whose accession was announced today fully meet these criteria.”

The admission of three major oil producing countries, Saudi Arabia, Iran and UAE is bound to have a significant impact on the future global economic system and consequently may have positive implications for the Global South. These countries would have the ability to decisively help in creating a new international trading system to replace the 5 centuries old system that the West created to transfer wealth from the South to the North. This is so because the petro-dollar is the pillar of the western banking system and is at the very core of the de-dollarizing process that the BRICS is aiming at. This cannot be done without taking on board Saudi Arabia, a staunch ally of the west. BRICS’ expansion, therefore, is its transformation into the most representative community in the world, whose members interact with each other bypassing Western pressure.  Saudi Arabia and Iran are actively mending fences, driven by a 2023 China-brokered deal to restore diplomatic ties, reopen embassies, and de-escalate regional tensions. While this detente has brought high-level meetings and a decrease in direct hostility rapprochement is not complete yet and there is hope which also has implications, positive for the South and may not be so for the North.

Though the US may not like what is going on, Europe, which may not endorse all that the former does if one is to go by the speech delivered by the Canadian PM in Brazil recently, may not be displeased about the rapid growth of BRICS. The Guardian UK highlighted expert opinion that BRICS expansion is rather “a symbol of broad support from the global South for the recalibration of the world order.” A top official at the Konrad Adenauer Foundation, Caroline Kanter has told the daily, “It is  obvious that we [Western countries] are no longer able to set our own conditions and standards. Proposals will be expected from us so that in the future we will be perceived as an attractive partner.” At the same time, the bottom line is that BRICS expansion is perceived in the West as a political victory for Russia and China which augurs well for the future of BRICS and the Global South.

Poor countries, relentlessly  battered by the neo-liberal global economy, will greatly benefit if  BRICS succeeds in forging a new world order and usher in an era of self-sufficiency and economic independence. There is no hope for them in the present system designed to exploit their natural resources and keep them in a perpetual state of dependency and increasing poverty. BRICS is bound to be further strengthened if more countries from the South join it. Poor countries must come together and with the help of  BRICS work towards this goal.

by N. A. de S. Amaratunga

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Midweek Review

Eventide Comes to Campus

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In the gentle red and gold of the setting sun,

The respected campus in Colombo’s heart,

Is a picture of joyful rest and relief,

Of games taking over from grueling studies,

Of undergrads heading home in joyful ease,

But in those bags they finally unpack at night,

Are big books waiting to be patiently read,

Notes needing completing and re-writing,

And dreamily worked out success plans,

Long awaiting a gutsy first push to take off.

By Lynn Ockersz

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