News
Whistleblower prevented from leaving for Dubai
Lak Sathosa garlic scam:
By Shamindra Ferdinando
One-time Executive Director of Consumer Affairs Authority (CAA), Thushan Gunawardena says the Immigration and Emigration Department has barred him from leaving the country.
An irate Gunawardena alleges he is being harassed over the disclosure of a massive garlic scam at Lak Sathosa last September.
“Instead of prosecuting those responsible, expeditiously, I’m being targeted for ordering the raid that exposed the corrupt lot,” Gunawardena told The Island soon after returning home. The ex-CAA official declared he would be soon filing a fundamental rights case against the Immigration and Emigration Department.
Gunawardena said that the senior officer in charge of the Immigration and Emigration unit at the Bandaranaike International Airport (BIA) in the early hours of Saturday (22) had informed him of the instructions received in that regard. Gunawardena was to board the Colombo-Dubai Emirates flight that departed at 2.55 am, on Saturday.
Gunawardena said that a stock of 56,000 kilos of garlic that had been released by the Sri Lanka Ports Authority (SLPA) to Lak Sathosa, had been sold to a regular Lak Sathosa supplier at about Rs 135 a kilo. The Sathosa management had planned to buy back the same consignment at Rs 445 a kilo and then make it available to consumers at about Rs 540 a kilo. Alleging that the fraud had been perpetrated at Lak Sathosa management level, Gunawardena said the plan had gone awry due to the raid carried on information provided by an insider. Lak Sathosa had sold the stock at such a low price to a supplier on the basis of poor quality in spite of Quality Assurance clearance, Gunawardena said, such fraudulent activities were rampant though never been properly investigated.
Gunawardena said that the government owed an explanation how the Immigration and Emigration Department had thwarted his departure in spite of him carrying a valid passport. “I was told the BIA unit acted on the instructions received from their head office at ‘Suhurupaya’ Sri Subhuthipura road, Battaramulla. But, the issue at hand is as my passport hadn’t been impounded in connection with investigations into the garlic scam, there is suspicious of interested parties manipulating the Immigration and Emigration Department.”
Gunawardena said that according to a document that had been received by the Immigration and Emigration unit, he was categorized as a suspect along with five others unknown to him.
The Immigration and Emigration Department 1962 hotline in a recorded message stated that the department could be contacted only on weekdays between 8.30 am and 4.15 pm.
Gunawardena emphasized the political leadership couldn’t absolve itself of the responsibility for what was happening with the connivance of lawmakers and top officials. Gunawardena said that he learnt a bitter lesson having had an opportunity to serve as CAA executive. “Corruption here is nothing but a way of life. The current dispensation, despite its leaders’ pledges, has done nothing to curtail waste, corruption and irregularities,” Gunawardena said.
Responding to another query, Gunawardena said that he expected the Justice Ministry, the Bar Association of Sri Lanka (BASL), the Human Rights Commission as well as the Police Commission to inquire into this matter.
Gunawardena claimed that he earned the wrath of both Trade Minister Bandula Gunawardena and State Minister Lasantha Alagiyawanna for going public with garlic fraud. Now that the government had prevented him from attending some meetings in Dubai connected with his present employment he was seriously contemplating seeking compensation for loss of business opportunities.
President Gotabaya Rajapaksa has assigned the Immigration and Emigration Department to Defense State Minister Chamal Rajapaksa. The Immigration and Emigration Department is one of the 31 state institutions that come under the purview of the Defence Ministry.
The Police Department, State Intelligence Service (SIS), Registration of Persons Department, National Dangerous Drugs Control Board and the Telecommunication Regulatory Authority (TRC) are among other state institutions coming under the purview of the Defence Ministry.
Gunawardena said that a senior management level official who had been arrested and then granted bail pending further investigations into the garlic scam was reinstated. Recalling he sent in his resignation to Chairman CAA retired Maj. General Shantha Dissanayake in the third week of Sept last year, Gunawardena said government actions couldn’t certainly be compatible with the much-touted policy statement titled Vistas of Splendor.
News
Educational equipment Provided to University Students through the President’s Fund
A programme to provide educational equipment to selected university students was held on Thursday (18) morning at the Head Office of the President’s Fund.
During the event, laptop computers were distributed to 14 students selected from applications received through Divisional Secretariat offices across the island. The President’s Fund has allocated Rs. 5.8 million for this initiative.
Accordingly, the President’s Fund has provided educational equipment to approximately 30 university students in 2025 and 2026. More than Rs. 9.8 million has been spent on this programme to date.
The event was attended by Secretary to the President’s Fund and Senior Additional Secretary to the President, Roshan Gamage, along with senior officials of the President’s Fund, parents, and other invitees.
(PMD)
News
Creditor receives USD 2.5 mn as Lankan public bears loss from theft of Treasury funds
Amidst ongoing accusations that the theft of USD 2.5 mn (nearly 1 bn Rupees) from the Treasury hadn’t been properly investigated, The Island learns that the relevant payments had been made to the actual creditor on the instructions of the Finance Ministry.
Confirming the inquiries made by us, authoritative sources said that payments had been made to several accounts through the US banks. Earlier, Sri Lanka released funds to fake foreign accounts in spite of warnings regarding the suspicions about the process.
The funds were part of a bilateral debt repayment to Australia with a settlement due in September 2025. The payment was part of a $ 22.9 million debt settlement.
The lapses occurred in the wake of far reaching changes regarding the debt management functions. In terms of a particular condition of the International Monetary Fund (IMF), Sri Lanka’s debt management functions that had been previously handled by the Central Bank were transferred to a new institution established under the General Treasury—the Public Debt Management Office (PDMO).
Sources said that regardless of the loss of USD 2.5 mn, Sri Lanka couldn’t have defaulted and therefore payments had been made.
Sources who closely followed the issue said that the government owed an explanation and public apology regarding the loss of USD 2.5 mn and how fresh payments were made.
Sources said that the USD 2.5 mn paid to fake accounts had been lost and could never be traced. CoPF Chairman Dr. Harsha de Silva has said that the NPP government has told the IMF that stolen USD 2.5 mn would be recovered from the public by introducing an amendment to the budget.
By Shamindra Ferdinando
News
Former Minister Nalin raises defence of double jeopardy
The Court of Appeal yesterday (18) postponed until June 25 the hearing of a petition filed by former Minister Nalin Fernando seeking the dismissal of an indictment brought against him by the Attorney General in connection with the controversial ‘Carrom Boards’ case.
The petition was taken up before a bench comprising Justices P. Kumararatnam and Pradeep Hettiarachchi.
Appearing for the petitioner, President’s Counsel Ali Sabry, instructed by Attorney-at-Law Ramzi Bacha, informed court that Fernando had already been convicted and sentenced to 30 years rigorous imprisonment in a case instituted by the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) arising from the same incident.
Counsel argued that the Attorney General had subsequently filed a separate case based on the same set of charges and maintained that subjecting an accused person to a second prosecution for the same offence was contrary to law.
He submitted that preliminary objections on the issue had been raised before the Colombo High Court but were dismissed by the trial judge.
The petitioner has therefore sought a declaration from the Court of Appeal that the indictment filed by the Attorney General is unlawful and requested that the charges be set aside.
The court directed that the matter be called again on June 25, when the Attorney General is expected to present submissions on the petition.
The case stems from allegations that during the 2015 presidential election campaign, 14,000 carrom boards and 11,000 checkers boards were imported and distributed through Lanka Sathosa outlets for allocation to political offices of former President Mahinda Rajapaksa, resulting in an estimated loss of Rs. 39 million to the State.
Based on those allegations, the Attorney General has instituted proceedings against Fernando before the Colombo High Court under the Public Property Act.
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