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Pandora disclosures referred to CID, to be dealt under Money Laundering Act

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By Shamindra Ferdinando

The Commission to Investigate Allegations of Bribery or Corruption (CIABOC) has referred the Pandora Papers disclosure of allegedly hidden wealth of former lawmaker Nirupama Rajapaksha, her husband Thirukumaran Nadesan, and former Finance Secretary Ramalingam Paskaralingam, to the Criminal Investigation Department (CID).

Head of Investigations SSP Nuwan Asanga revealed this when The Island inquired about the status of the high profile investigation launched in early Oct. 2021, on the then President Gotabaya Rajapaksha’s directive. SSP Asanga said that the disclosures had to be appropriately dealt in terms of the Prevention of Money Laundering Act, No. 5 of 2006.

The CIABOC consists of Justice Eva Wanasundera (Chairperson), Justice Deepali Wijesundera and Chandra Nimal Wakishta, formerly of the State Intelligence Service (SIS).Responding to another query, the SSP said that the Attorney General’s advice hadn’t been sought in this regard so far.

Former government agent, Paskaralingham served as Secretary to the Treasury (1989 – 1994) and as a senior advisor to Prime Minister (2002–2004 and 2015–2019).The CIABOC submitted an interim report on the investigations to the then President Gotabaya Rajapaksa, in June this year, amidst political turmoil leading to his ouster in the following month.International Consortium of International Journalists (ICIJ) made a spate of shocking revelations, following the examination of 11.9-mn confidential documents from 14 offshore service providers.

During CIABOC investigations, the failure on the part of Parliament to at least maintain a registrar of members’ asset declarations had been revealed. Nirupama Rajapaksa served as Deputy Minister of Water Supply and Drainage, from 2010 to 2015.

Both Nirupama Rajapaksa and Thirukumaran Nadesen had denied any wrongdoing on their part.Authoritative sources said that investigations that had been conducted so far by the CIABOC indicated that the issues at hand were outside the purview of the outfit.

Pandora investigations also dealt with substantial investments received by the Horizon College of Business and Technology (HCBT), situated in Malabe, from Paskaralingam. Funding had been made through a Singapore-based entity, owned by a trust in the British Virgin Islands (BVI). It has been reported that the Singapore–based company owns as much as 80 percent of the Malabe College that initially obtained registration as a vocational training facility.

ICIJ has received the papers, related to Paskaralingam, from the Trident Trust, one of the BVI’s oldest and largest trust companies. Documents revealed that Paskaralingam established a structure in the BVI called ‘The Aran Trust’ in July 2012. Paskaralingam and his family members have been named as beneficiaries.According to HCBT’s website, it has been recognized as a degree-awarding institute by the Ministry of Higher Education, in Sri Lanka, as well as a private higher education service provider in Sri Lanka by the University Grants Commission (UGC).

An email sent to Upul Daranagama, Chairman, HCBT, yesterday (18) requesting an opportunity to clarify certain matters pertaining to the ongoing investigation, bounced back. Prof. H.L. Obeysekera said that he was no longer the Rector, HCBT, hence his inability to respond to media queries. When The Island pointed out that the HCBT website, as of today, named him as the Rector, Prof. Obeysekera stressed that he was only the Dean, Faculty of Technology, Horizon Campus.An executive of HCBT said that Daranagama could be contacted on Monday while asserting HCBT and Horizon Campus were two entities under Horizon.

Meanwhile, the CIABOC is expected to respond next week to Justice Minister Dr. Wijeyadasa Rajapakse, PC, accusations that the outfit didn’t serve any purpose. Lawnaker Rajapakse questioned the rationale in maintaining the CIABOC which did nothing. The PC found fault with the outfit for its failure to inquire into his complaints, lodged over the years.



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Review of progress in reforms and modernisation of key state revenue-collecting institutions

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A progress review meeting on reforms and modernisation initiatives at Sri Lanka’s key state revenue-collecting institutions was held on Thursday  (15) at the Presidential Secretariat, chaired by Secretary to the President Dr Nandika Sanath Kumanayake, with the participation of representatives of the International Monetary Fund (IMF) and officials of the Revenue Administration, Reform and Modernisation Bureau (RARMB) of the Presidential Secretariat.

At the meeting, the IMF representatives commended the revenue collection efficiency of the Department of Inland Revenue, Sri Lanka Customs and the Department of Excise, the country’s three leading state revenue-collecting institutions. Extensive discussions were also held on the progress of the reform and modernisation programmes being implemented at these institutions.

Secretary to the President Dr Nandika Sanath Kumanayake outlined the progress achieved by the three institutions to date and the reforms planned for implementation in the future.

The IMF representatives also highlighted the importance of strengthening risk management, developing human resources and ensuring the efficient operation of computer systems at the respective institutions.

Senior Additional Secretary to the President Seevali Arukgoda also attended the meeting. The IMF was represented by Cindy Negus, Senior Economist in Revenue Administration for the Asia and Pacific, Europe, Middle East and Central Asia regions; Alison Lister, Revenue Administration Adviser; and Gregory Toppin, Resident Revenue Adviser in Sri Lanka. A group of senior officials from the Revenue Administration, Reform and Modernisation Bureau of the Presidential Secretariat also participated.

(President’s Media Division)

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Cut power bills by 3-5%, don’t hike them, consumers demand

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By Anuradha Hiripitiyage

Electricity tariffs should be reduced by between 3 and 5 percent instead of being increased by 2.88 percent in the fourth quarter, as proposed by the National System Operator (NSO), Electricity Consumers’ Association Secretary Sanjeewa Dhammika said.

Addressing a media briefing in Maradagahamula, Divulapitiya, Gampaha, yesterday (16), Dhammika said a proper assessment of electricity generation costs, including the contribution of hydropower, could justify a reduction in tariffs.

He said the NSO had sought approval from the Public Utilities Commission of Sri Lanka (PUCSL) for a 2.88 percent tariff increase, which was expected to generate an additional Rs. 4,438 million.

However, the Commission had indicated that an increase of only 1.46 percent was warranted, amounting to Rs. 2,245 million, he said, adding that even this increase was unnecessary.

Dhammika alleged that the proposed revision sought to pass on to electricity consumers the financial burden arising from the non-arrival of five coal shipments and failed tenders.

“The Government had said that the burden of coal-related losses would not be passed on to the public. It is therefore unjust to make consumers bear these costs,” he said.

He pointed out that the PUCSL had forecast that hydropower would account for 32.34 percent of total electricity generation in the coming quarter, while the cost of such generation would represent only 3.45 percent of the overall cost of electricity production.

Consumers should benefit from the lower cost of hydropower generation rather than bear the burden of more expensive thermal power generation, he said.

Dhammika also questioned the inclusion of Rs. 669 million in capacity charges that had not been approved by the PUCSL, as well as a further Rs. 1,069 million to repay loans relating to incomplete projects.

Including such charges in the proposed tariff revision was unjustifiable, he said.

The PUCSL has given the public until October 30 to submit their views on the proposed tariff revision.

Dhammika said the possibility of increased hydropower generation in the coming weeks, as reservoir levels rise, should also be taken into account when determining electricity tariffs.

He maintained that tariffs could be reduced by 3 to 5 percent if hydropower generation was properly assessed and coal-related losses and unapproved charges were excluded from the calculations.

He further claimed that electricity tariffs could be reduced by as much as 10 percent through the promotion of renewable energy and the effective use of solar power and battery storage systems.

The Electricity Consumers’ Association urged the Government to withdraw the proposed tariff increase, insisting that consumers should not be made to bear costs arising from coal supply problems and other disputed charges.

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Asgiri Mahanayake calls for immediate release of Gnanasara Thera

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Most Ven. Warakagoda Sri Gnanaratana Mahanayake Thera

By S.K. Samaranayake

Most Ven. Warakagoda Sri Gnanaratana Mahanayake Thera of the Asgiri Chapter has called for the immediate release of Ven. Galagodaaththe Gnanasara Thera, who is currently serving a prison sentence, following a court ruling.

The Asgiri Mahanayake made the appeal when a delegation of senior prison officials, including Assistant Commissioner of Prisons and Director of Operations Senaka Pallegedara, called on him on the 16th.

During the meeting, the prelate warned that the continued incarceration of Ven. Gnanasara Thera could lead to a volatile situation and cause public agitation.

Responding to the appeal, the prison officials informed the Mahanayake Thera that the authority to order the release of Ven. Gnanasara Thera did not rest with the Prisons Department but with the President.

Other senior prison officials, including Rajeev Srimal Silva, Sampath Warnakulasooriya and Mangala Welivita, were also present at the meeting.

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