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SJB alleges section of govt. raising funds for next presidential election

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Mujibur

Latest sugar tax scam:

‘IMF’s conditions disregard regardless of suspension of bailout package’

By Shamindra Ferdinando

Top SJB spokesman Mujibur Rahman yesterday (12) alleged that a section of the Wickremesinghe-Rajapaksa government seemed to be raising funds for the presidential election scheduled for next year.The former SJB MP said that a well-organised operation was underway to raise funds at the expense of the country.

Rahman told The Island that the recent increase in the Special Commodity Levy (SCL) imposed on imported white sugar had been raised from 25 cents to Rs 50 a kilo immediately after the clearing of 8,500 metric tonnes of sugar from the Colombo Port indicated that the government was busy raising campaign funds.

However, Saman Ratnapriya, President Ranil Wickremesinghe’s Director General of Trade Unions last week claimed that only 520 metric tonnes had been imported immediately before the government effected an increase of SCL from 25 cents to Rs 50.

Rahman said that such a fraud couldn’t have been carried out without the blessings of the powers that be. Rahman compared the loss of Rs 1.6 bn revenue as a result of the mega sugar tax scam perpetrated in late 2020 by the Gotabaya Rajapaksa’s government.

Responding to another query, Rahman stressed that the government seemed to have simply ignored the IMF’s recent advice regarding the urgent need to enhance public sector revenue. “They have quite conveniently forgotten the suspension of the IMF’s USD 2.9 bn bailout package pending tangible actions on its demands,” Rahman said, urging relevant parliamentary watchdog committees to inquire into the latest sugar scam.

In terms of the agreement reached with the IMF in March this year, Sri Lanka was to receive funds in eight equal tranches, Rahman said.The former MP pointed out the responsibility on the part of the parliament to ensure action was taken on sugar scams perpetrated in 2020 and this year as the culprits could be the same.

The one-time parliamentarian said that regardless of assurances given by the government, the Finance Ministry was yet to recover the losses suffered as a result of the 2020 fraud.

Rahman urged professionals to take up this issue as the government burdened the public with additional taxes whereas the unscrupulous elements made massive profits overnight.

“We expect the IMF and other lending agencies as well as major bilateral lenders to take up the contentious issue of corruption with this government,” Rahman said, pointing out the government revised the SCL just two weeks ahead of the presenting of 2024 budget.

Rahman said that the Cabinet-of-Ministers owed an explanation regarding the sugar tax scam as one of them namely Labour and Foreign Employment Minister Manusha Nanayakkara is on record as having alleged the powers that be alerted the sugar importers of the impending revision. The relevant parliamentary watchdog committee could ask Minister Nanayakkara to justify his declaration, Rahman said, requesting the Election Commission to take note of their concerns.

“What is the point of enacting laws to control campaign funds when the government in power raises money for elections at the expense of the national economy,” Rahman said.

The ex-MP said that the government suffered a loss of Rs 422 mn due the latest scam. Alleging that a former minister, too, had been involved in the current episode, Rahman said that the Yahapalana government collapsed as a result of corruption at the highest level.

Rahman said that successive governments had ignored the Auditor Generals’ reports which shed light on public sector corruption. Had there been laid down procedures to deal with disclosures made by the AG, the country wouldn’t have been in the current financial mess.



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Elders’ home devastated by fire was a ‘house of horror’: Witnesses

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Death toll rises to 12: Director remanded

Some residents were allegedly chained

Police have come under public pressure to investigate allegations of inhumane treatmenf the residents at an elders’ home in Batagoda, which was also reportedly used as a care centre for persons with special needs, following a devastating fire that has so far claimed 12 lives.

Eyewitnesses who were among the first responders told the media that several residents had been chained inside rooms at the Senehase Kedella Elders’ Home when the fire broke out on Wednesday. They claimed that rescue efforts were hindered as iron chains could not be removed, and that some residents died while being restrained.

Authorities have not yet verified these claims, and Police said investigations are continuing.

Police spokesman ASP F.U. Wootler, contacted for comment, said there were rumours to that effect, but the Police were not in a position to verify the claims until a report from the Government Analyst was received. He said eight survivors with burn injuries were being treated in hospital.

Meanwhile, the Director of the facility had been arrested and was due to be produced before the Horana Magistrate’s Court, Police said adding that he was remanded till June 11.

The death toll from the fire has risen to 12 as of Thursday morning following the recovery of additional charred remains during ongoing forensic examinations at the site. Six others sustained serious injuries and are being treated at the Horana Base Hospital.

Police said 72 residents were inside the facility at the time of the blaze. Of them, 10 died inside the building, seven were injured and hospitalised, while 51 were rescued and relocated.

Survivors were initially housed at Batagoda Junior School before being transferred with Army assistance to another branch of the same care network in Galpatha.

A magisterial inquiry was conducted on Thursday morning. Horana Magistrate Lakmini Vidanagamage visited the scene. The burnt remains were examined and removed under judicial supervision.

Separately, allegations have emerged that residents were required to pay an admission fee of Rs. 75,000, along with a monthly charge of Rs. 35,000 to the centre. Police have not commented on these claims.

The director was taken to the scene as part of ongoing investigations, while forensic experts continue examinations to determine the cause of the fire, which remains undetermined.Anguruwatota Police are conducting investigations.

 By Norman Palihawadane and Nishan S Priyantha

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CERT : AI-generated videos depicting Prez, PM lure public into financial scams

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Sri Lanka CERT has issued a public warning over the circulation of artificial intelligence (AI)-generated videos falsely depicting President Anura Kumara Dissanayake, Prime Minister Harini Amarasuriya and several other prominent personalities to promote fraudulent investment schemes online.

According to complaints received by the national cyber security agency, the videos have been created using deepfake technology and are being used as part of attempts to defraud members of the public through financial scams.

The images of famous sports personalities and other public figures have also been misused in the deceptive content.

The agency has warned that similar AI-generated material has been used to spread false information relating to investment opportunities, employment offers, as well as matters concerning the country’s economy and tax policies.

According to Sri Lanka CERT, the videos are being widely shared across online platforms and frequently contain links urging viewers to make investments in return for purported profits.The agency has cautioned that these links may redirect users to fraudulent websites designed to steal personal information, financial data and money from unsuspecting victims.

Sri Lanka CERT has urged the public to exercise extreme caution when encountering such content online and advised against clicking on suspicious links or sharing personal information through unverified websites.

“The public should remain vigilant and avoid becoming victims of false information and online fraud schemes,” the agency said.

Sri Lanka CERT has also encouraged internet users to verify information through official sources before acting on any investment, employment or financial offers circulated via social media or other online platforms.

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New tax law comes into force

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Speaker Dr Jagath Wickramaratne endorsing the certificate on a Bill (File)

Speaker Dr Jagath Wickramaratne on Wednesday endorsed the certificate on the Inland Revenue (Amendment) Bill, bringing the legislation into force as the Inland Revenue (Amendment) Act, No. 11 of 2026, Parliament sources said.

The Bill, which amends the Inland Revenue Act, No. 24 of 2017, was passed by Parliament on May 19.

The new law introduces a series of reforms aimed at modernising tax administration procedures, improving compliance and enforcement mechanisms, enhancing the accuracy of tax calculations and deductions, and strengthening transparency within the tax system.

The amendments also support broader economic policy objectives and include measures designed to reinforce anti-money laundering safeguards.Among the key provisions of the Act is the mandatory use of Taxpayer Identification Number (TIN) certificates for specified high-value financial transactions.

The legislation also introduces revisions to the calculation of taxable income, clarifies tax exemptions applicable to certain projects and business entities, and expands the scope for information disclosure to relevant authorities.

The amendments are expected to improve the efficiency of tax administration while facilitating greater accountability and regulatory oversight.With the Speaker’s endorsement of the certificate, the Inland Revenue (Amendment) Bill has now become law as the Inland Revenue (Amendment) Act, No. 11 of 2026.

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