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TISL invites public comments on the proposed Bill on Recovery of Stolen Assets
Large-scale corruption has long plagued Sri Lanka, undermining the country’s economic development and eroding public confidence in the government. Citizens have become increasingly vocal in their demands for justice, transparency and the return of illegally acquired wealth for the benefit of the nation, said a release issued by the Transparency International Sri Lanka (TISL).
It said: The Proceeds of Crime Act (POCA) aims to provide a legal framework for the detection, seizure, recovery and management of illegally acquired assets hidden offshore, ensuring that perpetrators of corruption are held to account and that stolen property be returned to its rightful owners – the people. of Sri Lanka.
Recognizing the lack of a comprehensive and consistent legislative framework in Sri Lanka for the said purpose, there has long been a call for new legislation. Recent International Monetary Fund (IMF) determinations as part of a structural benchmark necessitated the introduction of legislation on the recovery of stolen assets by March 2024, in line with the standards set out in the United Nations Convention against Corruption (UNCAC).
The Ministry of Justice has now published on its official website the ‘Report of the Committee on the Development of the Policy and Legal Framework and Draft Provisions of the Proposed Proceeds of Crime Law’, dated April 10, 2024. The Committee consists of 17 members and headed by Supreme Court Justice Yasantha Kodagoda, PC.
The report contains a draft bill, consisting of eleven parts, relating to: ‘General provisions and criminal offences; Proceeds of crime investigations, coercive measures and seizures; Judicial freezing of proceeds from crime; Protection, preservation and management of proceeds of crime; Forfeiture proceedings; Civil remedies for crime victims; Proceeds from the Crime Management Authority; Disposal of forfeited proceeds of crime and use of the resulting value; Crime Victims Trust Fund; International cooperation; and miscellaneous provisions’.
Transparency International Sri Lanka (TISL) is concerned that the published report was prepared without any public consultation, which shows the Sri Lankan government’s blatant disregard for consultation with the public and civil society in formulating a major anti-corruption legislation such as the POCA. Designed to recover and manage stolen assets, the POCA is a critical piece of legislation that requires extensive input from various stakeholders, including the public, civil society and local experts, to ensure its effectiveness and alignment with democratic principles to ensure. It is also worrying that the IMF, which provided technical assistance to this process, appears to have tolerated the lack of a proper, transparent and consultative process.
In response to this critical need, Transparency International Sri Lanka (TISL) invites the public to review and provide specific feedback on the proposed law regarding POCA. Such feedback can be submitted via email to tisl@tisrilanka.org with the subject line “Feedback on the Proposed Proceeds of Crime Bill.” While the exact timetable for presenting the bill to Parliament remains uncertain, TISL is committed to forwarding all feedback received to the Ministry of Justice for consideration.
TISL calls on the government to take sufficient time and effectively engage in meaningful dialogue with the public, local experts and civil society actors to ensure that legislation is robust, in line with the Constitution, citizens’ rights upholds and reflects the aspirations of its citizens. the Sri Lankan people and serves as a valuable tool for transparency and accountability.
News
Coal scam has become litmus test for NPP: FSP
The scam involving the import of substandard coal has become the litmus test for the NPP Government, says the Frontline Socialist Party.The substandard coal scam has become the litmus test for the NPP government’s integrity and transparency, Frontline Socialist Party (FSP) Education Secretary Pubudu Jayagoda said on Thursday, alleging serious irregularities and contradictions in the government’s handling of coal procurement for the Lakvijaya Power Plant.
Addressing the media in Colombo, Jayagoda strongly rejected recent statements made by Tilvin Silva, General Secretary of the JVP, during an interview with a state television channel on the ongoing coal tender controversy. He said several of Silva’s claims were factually incorrect and echoed earlier statements made by the Minister of Power and Energy that had already been abandoned after being proven false.
“There are serious inaccuracies in the views expressed by Tilvin Silva. Some of these false points were first raised by the Power Minister a week or two ago, but he stopped repeating them once we produced documentary evidence,” Jayagoda said, adding that the JVP General Secretary appeared to be “not up to date with the facts.”
Jayagoda rejected claims that coal had previously been purchased without calling for tenders from a politician’s company at inflated prices. He said that since the Lakvijaya Power Plant commenced operations in 2008, tenders had been called annually and contracts awarded to the lowest bidder.
He also dismissed assertions that no tenders were called in 2023. “The Power Minister initially made this claim, too, but stopped after we presented the tender advertisements,” Jayagoda said. He questioned contradictory statements made by government representatives, pointing out that while Silva claimed no tender was called in 2023, references to 2023 tender specifications had been publicly cited by Deputy Minister Kumara Jayakody.
“If no tender was called in 2023, how were tender specifications published that year?” Jayagoda asked, describing the claims as mutually contradictory.
According to Jayagoda, tenders were, indeed, called in 2023 and the contract was awarded to Coral Energy. When that company failed to supply coal on time, the supply responsibility was transferred to Black Sand. He further rejected claims that no tenders were called in 2024, explaining that during the bidding process a company named Potentia had offered a lower price than the initial lowest bidder.
“Based on approvals from the Technical Evaluation Committee, the Procurement Committee, the Cabinet, and finally the Attorney General, coal was purchased from the lowest bidder,” he said, adding that any doubts regarding the legality of the process could be investigated through proper legal channels.
However, Jayagoda stressed that the controversy was not merely about whether tenders were called, but about how the process was manipulated. He listed several concerns raised by the FSP from the outset, including a four-month delay in calling for tenders, changes to tender specifications, and the tender period being reduced by half.
“Urgency was cited as the justification for these changes, yet there was a six-week delay in awarding the tender. That clearly shows there was no real urgency,” he said.
Jayagoda also alleged that laboratory reports were concealed when substandard coal shipments were imported, in order to protect the supplying company. He said that despite a contractual clause requiring the tender to be cancelled if two shipments failed quality standards, the government continued with the order. He further accused the authorities of violating the agreement by approving emergency purchases in a way that benefited the supplier.
“The entire process is suspicious,” Jayagoda said. “A Minister will not resign unless they admit to fraud. But it is the responsibility of the President and the government to conduct an independent investigation, determine whether fraud has occurred, and remove the Minister if wrongdoing is established.”
He concluded by reiterating that the coal tender controversy would serve as a decisive test of the government’s commitment to accountability. “This is the litmus test for the integrity and transparency of the government,” Jayagoda said.
News
INS Gharial delivers 10 Bailey Bridges to Lanka
A consignment of 10 Bailey Bridges arrived in Colombo from Visakhapatnam aboard the Indian Navy ship INS Gharial and was formally handed over at a ceremony held on 05 February.The bridges were handed over by the Acting High Commissioner of India to Sri Lanka, Dr. Satyanjal Pandey, to Deputy Minister of Ports and Civil Aviation, Janitha Ruwan Kodithuwakku.
The additional Bailey Bridges have been provided under India’s grant assistance of USD 5 million for post-Cyclone Ditwah reconstruction, aimed at strengthening critical connectivity infrastructure in affected areas. Another consignment, carrying the remaining bridge components, is expected to arrive shortly.
The supply of Bailey Bridges forms part of India’s comprehensive USD 450 million Reconstruction and Rehabilitation Package announced by India’s External Affairs Minister, Dr. S. Jaishankar, during his visit to Sri Lanka, following Cyclone Ditwah.
The newly supplied bridges are to be installed at various locations across the country. Technical assessments for installation are being carried out by Indian Army engineers, in close coordination with the Sri Lankan Army and the Road Development Authority (RDA).
India has previously supplied four Bailey Bridges to Sri Lanka, two of which were installed in the Kilinochchi District and two along the Kandy–Ragala Road. These bridges have played a key role in restoring connectivity in difficult and hilly terrain, improving access for local communities and facilitating the resumption of essential services, livelihoods, and economic activity.
News
Anusha Palpita further remanded until 20 Feb.
Former Secretary to the Ministry of Mass Media and former Chairman of the Telecommunications Regulatory Commission of Sri Lanka (TRCSL), Anusha Palpita, was further remanded until 20 February by the Colombo Chief Magistrate’s Court.
The Court issued this order after considering the facts presented by the Bribery Commission and the attorneys representing the suspect.
Palpita was taken into custody and subsequently produced before the court on 23 January in connection with an investigation conducted, based on information received by the Bribery
Commission regarding the failure to disclose the source of assets amounting to Rs. 46 million, the Commission stated.
According to the Bribery Commission, Anusha Palpita arrived at the Commission on 23 January 23 was taken into custody after recording his initial statement.
The arrest was made on the charge of accumulating significant assets and property, exceeding his income, during a specific period, following an investigation into assets gathered beyond his legal earnings, within that time frame.
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