Sir. Oliver turns up uninvited at ‘Temple Trees’ cabinet meeting and says “this nonsense must stop”

(Excerpted from Memoirs of a Cabinet Secretary by BP Peiris)

In March 1961, with the Prime Minister again in the United Kingdom and C. P. de Silva in the Chair at Cabinet meetings, satyagraha movement was started in the Northern and Eastern Provinces. This was organized by the Federal Party, and C. P. proposed to make a statement in Parliament. It was unfortunate for C. P. that all these difficult situations arose at times when the had been asked to hold the fort.

The Government was full of anxiety. It was possible that the movement might spread to other parts of the Island. The entrance to the Jaffna Kachcheri was blocked by peaceful squatters outside the entrance who prevented other persons from entering or leaving the premises.

The Government Agent lived in the premises of the Kachcheri building and could not get out. The clerks who lived out could not get in with the result that no work could be transacted at the Kachcheri and the administration was brought to a standstill.

The government felt that it had to show the public that it realized its responsibilities. With the entrances to the Kachcheri blocked, rice rations could not be issued and the Government decided that the issue of rations must be maintained at all costs. As the Food Control Office was situated within the Kachcheri premises, co-operative societies were unable to obtain the necessary documents for the releases to them of rice for distribution to consumers. Special arrangements were therefore made for the purchase of paddy in all the affected areas.

C. P. made the following statement in the House of Representatives:

“The Government has further considered the situation in the country arising from the so-called peaceful satyagraha movement in the Northem and Eastern Provinces as well as the statements made on the floor of the Senate and the House of Representatives and in the Government Parliamentary Group. The Government will ensure that services essential to the life of the community, that is, the payment of charitable allowances, pensions, salaries of Government servants, and more specifically the issue of rice rations are carried out.

The Government will not hesitate if it becomes necessary to utilize all powers at its disposal, including those under Part III of the Public Security Act, in order to remove every obstruction which is likely to prevent the Government from discharging its legitimate functions.”

The powers referred to were to the declaration of a State of Emergency. The Government Agents of Batticaloa and Trincomalee had been successful in distributing rice to the people in sufficient quantities. In Jaffna, however, the Co-operative Wholesale Unions had refused to come to the Kachcheri to take delivery of the rations. In these circumstances, telegrams were sent to all authorized distributors to come and collect the rations. They refused to do so.

The food situation in Jaffna was getting worse. The Food Commissioner was directed, with the assistance of the Marketing Commissioner, to set up an organization for the distribution of rationed foodstuffs to those public servants, including members of their households, of Government departments and Government sponsored institutions which were functioning in the Jaffna District.

The campaign was now in its third week. Large numbers of men and women were picketing the Kachcheri, Education Office, District Agricultural Office, the Excise Warehouse and a few other offices. There were processions and public meetings. One procession was led by school teachers who were Government servants. Children played a prominent part in the campaign.

The uniformed staff of the Postal Department in Jaffna went on strike for a week. There was a one day token strike in the Government Hospital, the Paranthan Chemical Works and the Cement Works at Kankesanthurai.

In the Batticaloa District, large numbers of men, women and children were picketing the Kachcheri, the Excise Warehouse, the Agricultural Office and the Labour Office. In Trincomalee, the Kachcheri was being picketed. At Vavuniya, there were pickets at Government offices.

Public servants were playing a prominent part in the campaigns. Against all the rules, they participated in meetings and processions. Even school children held a meeting on the Jaffna Esplanade. Schoolboys marched through the town abusing the Police and the Army, who were patient. The Jaffna Municipal authorities were supporting the campaign. In short, Government administration had ceased in the Provinces.

It was stated by the Opposition Members in Parliament that, in the handling of the situation, the Government had proceeded from blunder to blunder. The initial mistake had been made with the Language of the Courts Bill. People asked for the use of Tamil in the Northern and Eastern Provinces but, with Sinhala only as the Official Language, the request was not allowed.

There were allegations of Police assaulting the satyagrahis, following which, those outside the Federal Party joined the campaign, and the Government was compelled to send troops to maintain law and order.

Their presence gave unnecessary provocation to the people. Something had to be done quickly, quietly, tactfully and in a statesman-like manner, and that something appeared to be to accept Tamil as a language of a national minority in this country and to guarantee its use for official purposes in the Northern and Eastern Provinces. The Government did nothing. What it did was to declare a State of Emergency throughout the Island from 11. 55 p.m. on April 17, 1961. In addition to the regular forces, the volunteers were called out. Reference to this was in the next Queen’s speech:

“Some of the changes wrought by the laws enacted by that session of Parliament have unfortunately led to controversy and My Government has had to exercise emergency powers under the Public Security Act in the larger interests of maintaining peace and orderly government and to avoid a dislocation of the life of the people generally.”

About this time, just before a night meeting at Temple Trees, with Sirimavo in the Chair, I saw the Governor-General Sir Oliver walking up and down one of the corridors deep in thought. He spoke to no one; and no one knew what his business was at Temple Trees at that time of the night, 9 p.m. There had been summoned, to be in attendance at the meeting, the three Service Chiefs, the Inspector-General of Police and a few senior deputies, all the Government Agents in the Northern and Eastern Provinces, the Food authorities and other officials concerned with the problem in hand.

When the meeting began, the Governor-General walked into the room, drew a chair, and sat down behind the Ministers and the officials present. It is unconstitutional for the Sovereign to attend a Cabinet meeting, and I did not know how to record his presence in the Minutes. After the discussion had gone on among the Ministers for about two hours (11 p.m.) the Governor-General addressed the meeting. I thought he began on the wrong note.

“Madam Prime Minister,” he said, “It is time this nonsense stopped. I have come to exercise my constitutional right to advise and to warn.” He spoke for over one hour and I made copious notes for the purposes of my Minutes. His master-scheme, in short, was, amalgamate the revenue districts of Jaffna and Anuradhapura and make Anuradhapura the capital of the new district, and transfer all pending cases to Anuradhapura; stop the trains somewhere near Vavuniya and move more troops to the north.

He elaborated on this theme and made many more points which I cannot now remember. He then said “I have finished. Please consider my suggestions carefully”, and left the room. I ran after him and asked “Sir, how am I to record your presence at this meeting?” In typical O. E. G. style, he said “Peiris, I saw you making notes while I was speaking.

Cut them all out. I was not present at this meeting.” The Ministers did not accept his advice as they thought the Governor-General was laying a trap for them. Timeo danaos et dona ferentes. Beware the Greeks bearing gifts.

In February 1962, the emergency was still in operation with a censorship of news added and the newspapers had ceased to be newsworthy. The emergency was partially lifted on April 7, 1962, after having been in operation for 252 days. The emergency regulations kept in force applied to the detention of those connected with a suspected coup to overthrow the Government. The censorship of news and the proscription of the Federal Party were lifted and newspapers became readable again.

In 1961-62, the actual budget deficit was expected to be Rs 559 million. For several years previous to 1960, there had been an excess of recurrent expenditure over revenue. Very serious difficulties were foreseen, in these circumstances, in raising loans to finance economic development. The public would not subscribe to the loans if they were to be used to finance unproductive expenditure. Every effort was therefore made to reduce recurrent expenditure and this necessitated further taxation to the limit of Rs 45 million.

The economic development programme was carried out on funds raised by way of loans, but the expenditure had been far in excess of the loans raised. Increase in prices and costs would result in severe consequences. It had also far-reaching social consequences and could bring about a distortion in income distribution of an adverse character. A process of rising prices tends to be cumulative in effect. Rising prices result in pressure for wage increases which, if realised, prove in turn self-defeating by further raising the level or prices and costs.

The cost of living was continuing to rise. As in chemistry, every political action by the Government appeared to have a reaction. There was an accumulation of about three million rupees stock of handloom textiles which the people were not buying because, compared with the foreign articles, the quality was cheap and the price high. People were prepared to pay a little more for the superior and more durable article.

The Government stepped in and brought local textiles under the Industrial Products Regulation Act which compelled an importer of foreign textiles to buy, in relation to the quantity of his imports, a prescribed quota of the local article. The traders retorted by buying the local product as required by law, selling it well below cost, and adding the difference to the cost of the imported article. People still preferred to buy the imported article and did not seem to mind the increase.

Maldive fish and dried fish were being imported by the private sector and reasonable quantities were always available to the public, the importers keeping a reasonable margin of profit for themselves. The Government thought that the trader should not be allowed to make the profit and handed the monopoly of import to the Co-operative Wholesale Establishment. Immediately, the two commodities went underground. They were not available at co-operative societies but were obtainable at neighbouring boutiques at blackmarket prices.

Of several Corporations, only four were showing profits – KKS Cement, Gintota Plywoods, Ceramics and Leather. Corporations are business concerns and should be manned by men of experience in business methods. Instead, they were manned by inexperienced party men who were appointed merely to please the party members. When an experienced man of integrity was appointed, he found it impossible to carry out his duties because of political pressure.