News
VFS Global again offers to cooperate with govt. following exposure by NAO
…withheld over USD 1.4 mn belonging to SL, funds routed through foreign banks
Outsourcing and technology specialist VFS Global, investigated by the National Audit Office (NAO) over the controversial online visa issuance scheme, yesterday (29) expressed its readiness to cooperate with the Auditor General, or any other relevant authority.
In a statement issued through a PR agency, VFS Global claimed that though they, on 07 November, 2024, offered to provide ‘full support and any information which may be required’ to the Auditor General, no response had been received. According to the statement, VFS Global made the offer after hearing of the NAO move to conduct an audit. However, VFS Global remains committed to extend its support to the Auditor General, the company said.
President Ranil Wickremesinghe’s government entered into a controversial outsourcing agreement with GBS Technology Services & IVS Global FZCO (IVS-GBS), V F Worldwide Holdings Ltd (VFS Global) on 21 December, 2023, for provision of e-visa and other related services. On behalf of the government, the Department of Immigration and Emigration entered into the agreement.
The VFS statement claimed as per the terms of this agreement VFS Global had a limited role as technical partner as the IVS-GBS was the prime contractor.
Sources familiar with the issues relating to the agreement, pointed out that the then Controller General of Immigration and Emigration, Harsha Illukpitiya, on 23 September, 2024, was given two years’ imprisonment for contempt of court, following his failure to comply with an interim order related to the issuance of electronic visas.
The Supreme Court bench that gave the order consisted of Justices Yasantha Kodagoda, Janak de Silva, and Arjuna Obeyesekere.
The NAO audit report, dated 03 October, 2025, revealed GBS Technology Services and IVS Global-FZCO, operating under VFS VF Worldwide Holdings Ltd., collected both the 2.5% Social Security Contribution Levy (SSCL) and 18% Value Added Tax (VAT) from visa applicants, between April and August 2024, but conveniently failed to remit these taxes, causing a loss of $ 1,418,360 to the Government ($ 172,970 in SSCL and $ 1,245,390 in VAT).
The audit also revealed the company earned an additional $ 1.8 million from visa-fee-waiver countries, where visitors were exempt from visa fees but were still charged a service fee.
The audit exposed major financial and procedural irregularities, including tax evasion, foreign remittance violations, and breaches of procurement law.
NAO also disclosed that visa fee revenues were routed directly to foreign bank accounts, managed by the private service providers, instead of being deposited into official Sri Lankan government accounts. This practice prevented the govermentt from independently verifying the actual income generated, creating, what the report described as, “a significant accountability gap.”
Top Opposition spokesman Prof. G. L. Peiris repeatedly pointed out that the government entered into a new agreement at the expense of arrangements implemented by Mobitel Private Ltd.
NAO highlighted that the proposals for the new agreement had been submitted on 08 September, 2023, and the Cabinet of Ministers appointed a committee to evaluate it on 11 September, 2023, and approval was granted on 11 December, 2023, and finalised on 21 December, 2023 (SF)
News
No PC polls this year, says Tilvin
The much-delayed Provincial Council (PC) elections cannot be held this year due to financial and legal constraints, JVP General Secretary Tilvin Silva has said in Jaffna.Silva said so, fielding questions from journalists after the opening of the NPP coordination office in the Jaffna District on Saturday.
When asked whether the government was under Indian pressure to conduct the Provincial Council elections soon, Silva answered in the negative, claiming that Sri Lankan and Indian governments maintained close and friendly relations with a strong level of understanding.
He said budgetary allocations had been made for the PC elections, but the government had been compelled to divert resources for disaster relief following the impact of Cyclone Ditwah. According to Silva, nearly Rs. 500 billion had to be allocated for relief measures, making it difficult to hold the elections this year. He further said legal complications in the electoral reform process had also contributed to the delay in holding the PC elections, noting that a parliamentary committee had been appointed to determine the electoral systems under which the PC polls should be conducted. Once the committee submitted its report and if no further issues arose, the elections could possibly be held next year, he said.
Silva also said the government had taken measures to strengthen reconciliation and development in the North by releasing lands previously occupied by military camps and improving road infrastructure.He added that empowerment initiatives were being implemented under the Praja Shakthi programme and that both Sri Lanka and India were continuing to work in close cooperation.
News
Weather conditions worsen, displacing 31,000 people
More than 31,000 people across Sri Lanka have been affected by worsening weather conditions, as the southwest monsoon intensifies ahead of its full establishment, raising fears of renewed flooding in vulnerable low-lying areas, the Disaster Management Centre (DMC) has warned.
The DMC has said 31,072 individuals from 7,983 families have already been impacted by persistent rain, strong winds and rising water levels across multiple districts, with the situation most severe in the Gampaha District where 15,313 people from 3,950 families have been affected and one death reported.
Officials have cautioned that the scale of disruption could worsen as the southwest monsoon is expected to fully establish over the island around May 26–27, bringing heavier and more sustained rainfall to the southwestern region.
At present, 18 safety centres are in operation, sheltering 1,724 displaced persons from 446 families. One person has been injured and 859 houses have been partially damaged. Two houses have been destroyed.
The Department of Meteorology has forecast increased rainfall over the coming days, warning that conditions are likely to deteriorate further as monsoon activity strengthens.
Flood-hit areas remain widespread, with river systems still under pressure despite a brief easing in rainfall on Saturday. The Kelani River has returned to normal levels, but minor flooding persists along the Kalu River basin, particularly in the Millakanda area, where tributary water levels remain elevated.
Low-lying areas in Bellapitiya, Horana, continue to be inundated, while traffic on the Bulathsinhala–Kalutara road remains disrupted due to flooding in Diyakaduwa. Authorities have also flagged continued risk in Putupawula and Ellagawa along the Kalu River.
The Attanagalu Oya basin is also slowly receding, though residents in Dunamale have been urged to remain on alert. Several homes in Ja-Ela remain underwater, with residents alleging that delayed repairs to a damaged canal embankment worsened the flooding.
In a fresh blow to infrastructure, the Swarna Hansa Podi Ela bridge in Ja-Ela collapsed on Saturday evening, further disrupting local transport links, while the main Ja-Ela–Gampaha bus route remains submerged in parts of Yakkaduwa.
Meteorologists have warned that rainfall is expected to intensify again from May 26 to 28, when the southwest monsoon is likely to be formally declared over Sri Lanka, raising the risk of further flooding and landslides in already saturated areas.
by Norman Palihawadane and Chaminda Silva
News
Dickoya double murder suspect arrested
Police said a suspect wanted in connection with the murder of an elderly couple inside a shop in Dickoya town, Hatton, had been arrested on Saturday evening (23).
The arrest was made in the Bogawantalawa police area. Acting on a tip-off, the police arrested him while he was hiding in a house on a tea estate.
Police said stolen gold jewellery had been recovered.
Preliminary investigations revealed that the suspect, originally from Badulla, had been residing in Dickoya after his marriage.
Earlier on Saturday, Hatton Police released CCTV footage of the suspect and sought public assistance to trace and arrest him.
According to police, the suspect allegedly slit the throat of the elderly woman and killed her husband using a sharp weapon on Thursday (21) before fleeing with gold jewellery valued at around 18 sovereigns, including a necklace and earrings.
Investigations further revealed that the suspect had arrived in Dickoya town on the morning of May 21 and visited several jewellery shops claiming he intended to purchase a gold necklace, while loitering in the area.
Police said that around 1.15 pm, he entered the couple’s shop and remained concealed inside the premises before allegedly carrying out the attack.
Hatton Police added that the suspect is believed to have committed the murders and left the shop around 5.30 pm the same day before going into hiding.
by Norman Palihawadane
-
Features5 days agoOctopus, Leech, and Snake: How Sri Lanka’s banks feast while the nation starves
-
Opinion4 days agoMurder of Ehelepola family, Bogambara Wewa and Sightings of Wangediya
-
Sports5 days agoSri Lanka women’s volleyball team ready for Central Asian challenge
-
News4 days agoSteps underway to safeguard Sri Lanka’s maritime heritage
-
Editorial4 days agoA play without its protagonist
-
Features1 day agoThe NPP’s pivot to the past
-
Opinion3 days agoThe need to reform Buddhist ecclesiastical order
-
Midweek Review5 days agoOverall SLPP failures stressed in new Aragalaya narrative
