News
Treasury loses USD 18 mn as minister blocks CCD probe into generator fraud

by Ifham Nizam and Prabhath Withana
An investigation by the Colombo Crimes Division (CCD) into a complaint of fraud, which caused a loss of over USD 18 million to the government coffers, has been stalled by a minister, according to police sources.
The CCD commenced the investigation, several weeks ago, following a complaint against a Singaporean, of Sri Lankan origin, and a Sri Lankan, for using forged documents to cheat a Sri Lankan company out of Rs 35 million.
Investigators uncovered a customs fraud, amounting to USD 18 million using a Power Purchasing Agreement (PPA) between the Ceylon Electricity Board (CEB) and a Hongkong-based company. The Customs Department’s Compliance and Facilitation Division commenced a separate investigation.
The Customs investigation found that the suspects had deprived Sri Lanka of USD 18 million by using the PPA, which had been cancelled by the CEB. “As per the PPA, the V Power Holdings could import to Sri Lanka power generators, duty free, to supply 34 MW to the national gri, for a six-month period. As per the PPA, after six months the company is required to re-ship those generators and is also requested pay a 10 percent tax on revenue from the generators. That tax could have been around one million USD. They brought down 350 generators. The duty for the generators would have been around 14 million USD. The company obtained a duty waiver to the tune of around three million USD. However, the PPA had been cancelled by that time by the CEB because V Power Holdings failed to deliver 34 MW, within the stipulated one-month period,” a senior CCD officer said.
The company has to pay over 18 million USD to Sri Lanka. It did not re-export the generators. In addition, the suspects have also been charged with defrauding Rs 35 million from the Green Win Holdings Lanka Ltd., the local agent company of the Hong Kong-based Listed Company, V Power Holdings.
The CCD investigation has been halted due to political interference, sources said, adding that the suspects had approached a Cabinet minister.
Asked for comment, senior CEB officials said that there had been a PPA with V Power Holdings but it had been cancelled by the CEB. With the cancellation of the agreement, the company loses their rights for duty concessions, a top management level officer of the CEB told The Island.
Customs Media Spokesman and Deputy Director (Legal) Sudattha Silva said that the Compliance and Facilitation Division of the Department was conducting an investigation. He said he was not in a position to comment more as the investigation was in progress.
The V Power Holdings was accused of violating the Section 50 (A) (1) (a) (b) of the Customs Ordinance.
When contacted for comment, Chairman of Green Win Holdings Lanka Ltd, Vajira Wickramasinghe said. That there were two investigations into the aforementioned incidents.
“We signed the PPA with CEB as the Sri Lankan representative of the V Power Holdings of Hong Kong. The V Power Holdings’ Chief Commercial Officer sent a Singaporean of Lankan origin to work with us. Later, it was found that Singaporean with the help of a former director of our company, carried out the fraud. They have misused the canceled PPA to clear the consignment from the harbour. Now, the CCD says that they cannot find the Singaporean and the Lankan who have gone into hiding. I hope that the investigations will resume and the culprits will be caught so that justice will be done.”
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Sri Lanka Coast Guard commence clearing oil spill in Maduru Oya Reservoir

The Sri Lanka Coast Guard launched an operation to clear the oil spill caused by the crash of a Sri Lanka Air Force Bell 212 helicopter into the Maduru Oya Reservoir, during a training flight on 09 May 2025.
The efforts to clear the oil spill are ongoing and will continue today, 10 May.
News
Maduru Oya helicopter crash: Army, Air Force launch probes

Bell 212 accident during passing out parade kills six military personnel, injures six others
A Bell 212 helicopter, belonging to the Sri Lanka Air Force (SLAF), crashed into the Maduru Oya reservoir yesterday morning, killing six forces personnel and injuring six others. The helicopter was on a routine mission in support of a Special Forces passing-out parade when it encountered technical difficulties and attempted an emergency landing.
The crash occurred at approximately 8:17 a.m., after the helicopter took off from the SLAF Base Hingurakgoda, at 6:47 a.m., and picked up Army personnel in Maduru Oya around 7:08 a.m. According to the SLAF, the aircraft was conducting a heli-rappelling drill as part of a military demonstration when it suffered a technical malfunction shortly after takeoff.
The aircraft was carrying 12 individuals—six from the Army and six from the Air Force, including two pilots. Initial rescue efforts led to all passengers being retrieved alive and transported to the Aralaganwila Regional Hospital, with eight later transferred to the Polonnaruwa General Hospital due to the severity of their injuries.
Despite emergency medical care, six of the personnel succumbed to their injuries—four Army Special Forces soldiers and two Air Force members. Among the deceased were helicopter gunmen and elite Special Forces troops.
In the wake of the tragedy, both the Army and Air Force have launched separate investigations to determine the cause of the crash. Air Force Commander Air Marshal Bandu Edirisinghe has appointed a nine-member inquiry committee, while Army Commander Lieutenant General Lasantha Rodrigo confirmed that expert teams have been dispatched to the crash site to gather evidence.
Air Force spokesperson Group Captain Eranda Geeganage said the crash occurred during a drill demonstration at the training school and that the exact cause of the accident remains unknown at this time.The remaining six injured personnel are still receiving treatment, with their conditions being closely monitored.
By Norman Palihawadane
News
Cardinal Prevost becomes Pope Leo XIV

Nearly half a century has passed since the Catholic Church last had an Italian Pope. In the hallowed corridors of the Vatican, as the Conclave began deliberations to elect a successor to Pope Francis, several Italian names were whispered with increasing frequency. Chief among them was Cardinal Pietro Parolin, the Vatican’s Secretary of State, a seasoned diplomat, and well-known among the electors. Others, like Cardinals Pierbattista Pizzaballa and Matteo Zuppi, also had their share of admirers.
Yet, when the white smoke rose above the Sistine Chapel, it was not an Italian who emerged. Instead, the Cardinals turned to an unheralded American – Robert Francis Prevost, a canon law professor and lifelong missionary – electing him as successor to St. Peter. He has taken the name Pope Leo XIV.
Though born in the United States, Pope Leo’s spiritual and pastoral heart lies in Peru, where he spent much of his life in missionary service. His elevation comes as a surprise to many as he had been made a Cardinal just two years earlier, appointed by Pope Francis himself. A relative newcomer in the College of Cardinals, he was seen by many as a wildcard – yet perhaps that’s exactly what the Church needed.
At 69, Pope Leo is poised for what could be a lengthy pontificate – time enough, perhaps, to carry forward the reforms initiated by his predecessor. It’s no secret that Pope Francis saw in him a leader fit for the challenges of global Catholicism. When Prevost returned from Peru to head the Augustinian Order – a role he held for 12 years – it was Francis who sent him back across continents, appointing him Bishop of Chiclayo and entrusting him with pastoral care once more in Peru.
Those close to the new Pontiff describe him as deeply spiritual, a steady hand, and a bridge-builder, qualities sorely needed in a Church increasingly split between traditionalists and reformists. He is expected to offer a more measured, balanced approach on key issues, fostering dialogue rather than division.
In many ways, this Conclave echoed the dramatic scenes of October 1978, when an unknown outsider from Poland – Karol Wojtyla – was chosen as Pope John Paul II. Like then, the Cardinals have once again looked beyond the obvious front-runners. But, unlike 1978, when it took eight ballots to break the deadlock and settle on a compromise, this time it took just four.
That speed speaks volumes. The Cardinals were not merely settling – they were convinced that here’s the man to take the Church forward. In Cardinal Prevost, they found a shepherd capable of steering the Church through a time of transition, someone who could temper Franciscan reform with pastoral wisdom and unite a divided flock under the banner of faith and humility.
By Rex Clementine
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