News
BASL petitions Court of Appeal to protect their dollar earnings
By A.J.A. Abeynayake
The Bar Association of Sri Lanka (BASL) Tuesday petitioned the Court of Appeal seeking the issuance of a writ order nullifying the Extraordinary Gazette Notification issued by the Governor of the Central Bank of Sri Lanka ordering the conversion of foreign currency received through bank accounts into Sri Lankan rupees.
The petition was filed by President of the Bar Association of Sri Lanka, Saliya Peiris, PC and President’s Counsel Anura Maddegoda, Deputy President of the Association.
The Governor of the Central Bank Ajith Nivard Cabraal, the Monetary Board, Minister of Finance Basil Rajapaksa and the Attorney General have been named as respondents.
The petition filed by Attorney-at-Law GG Arulpragasam states that the petitioners’ Association is an organisation that deals with the rights of lawyers, human rights and the rule of law.
Attorneys who are members of the Petitioners’ Association have so far received fees from their clients in foreign currency both inside and outside Sri Lanka. For this, they had the ability to receive foreign currency directly from both the personal resident foreign currency account and the foreign deposit account, as well as through commercial bank accounts.
So far, there has been no need to convert the foreign currency into rupees. The members of the petitioners’ association have done a great service to the country so far, earning large amounts of foreign exchange.
Foreign currency earned by importers or international traders as well as members of the BASL can be withdrawn directly from Sri Lankan accounts.
Despite this situation, on 28 October, the Governor of the Central Bank issued an Extraordinary Gazette Notification 2251/42 – “Repatriation of Export Proceeds into Sri Lanka Rules No. 5 of 2021” under the Section 10.1 of the Finance Act.
This gazette notification made it mandatory to convert foreign currency sent to this country through bank accounts into Sri Lankan rupees.
It is unlawful to order the foreign currency to be converted into Sri Lankan rupees without the consent of the members of their association. It is also against Article 140 of the Constitution.
This is also against the principle of natural justice.
Further, the Governor of the Central Bank and the Monetary Board have taken steps to issue this gazette notification in violation of the provisions of the Foreign Exchange Act. This is a law of the jungle.
Therefore, the Bar Association of Sri Lanka (BASL) has requested the court to issue notice to the respondents, issue a writ order nullifying the relevant gazette notification and issue an interim order restraining the execution of the relevant gazette notification.
News
Fuel crunch looms
Govt. tells fuel distributors to maintain stocks to ensure uninterrupted supplies
by Saman Indrajith and Norman Palihawadane
The government had instructed private fuel distributors to maintain minimum stocks and ensure uninterrupted supplies to the market, Energy Minister Anura Karunathilaka told Parliament yesterday (06).
Karunathilaka said the Ministry of Energy Secretary had notified the relevant companies of the requirement, following a reduction in supplies by some private distributors, amid higher international fuel prices.
The Minister said private companies had informed the government that they were facing losses because international prices had risen while fuel was being sold, locally, at prevailing prices. As a result, some companies had reduced the volumes released to the market.
The reduced supplies had increased the burden on the Ceylon Petroleum Corporation (CPC), whose share of the diesel market had risen from about 54% to 82%, the Minister said.
“The CPC currently holds an 82% share of the market,” he said, adding that it had increased its supplies, compared with February, to compensate for the reduction by private distributors.
Karunathilaka said the government could not, under the existing agreements with private companies, specify the quantities they should supply to individual filling stations. However, it could require them to maintain minimum stocks in the country.
The Minister said the Energy Ministry had already instructed companies that had failed to maintain the required stocks to take steps to prevent supply disruptions.
The Minister attributed the queues reported at some filling stations to reduced supplies from private distributors, as well as normal variations in fuel distribution. He also said demand for CPC fuel had increased because private companies generally did not provide fuel to dealers on credit, while the CPC offered a three-day credit facility.
“We expect that, as the Ceylon Petroleum Corporation takes on this additional burden, the problem will ease to some extent by Wednesday or Thursday,” Karunathilaka said.
He said instructions had also been issued to increase supplies to CPC filling stations. A special discussion on the issue is scheduled for today (07), with officials of the Energy Ministry and CPC expected to participate,
along with President Anura Kumara Dissanayake.
Meanwhile, Petroleum Dealers’ Association officials have called for an early solution to the supply issue. Association Chairman D.V. Shantha Silva said queues had been reported at many filling stations, mainly those operated by private distributors.
He said the situation was not due to an overall shortage of fuel, but was linked to reduced orders by Lanka IOC, Sinopec and R.M. Parks amid concerns over losses incurred on fuel sales.
The Ceylon Petroleum Private Tanker Owners Association has urged motorists to refrain from panic buying, saying there was no nationwide disruption to fuel supplies.
The government earlier increased fuel prices and introduced a per-litre diesel subsidy following concerns raised by distributors over rising international prices.
News
Gnansara Thera to be assigned to prison printing section: Officials
by Norman Palihawadane
Bodu Bala Sena General Secretary Ven. Galagodaatte Gnanasara Thera, who has been ordered by the court to serve the remainder of his prison sentence, is to be assigned to the prison ‘printing work party’, prison officials said yesterday.
The monk was produced before the Colombo High Court yesterday by prison officials in connection with a warrant issued by the court.
He appeared before the court in civilian attire.
Prison sources said arrangements were being finalised for his detention and that he would subsequently be assigned to the printing work party.
The Thera initially objected when prison officials instructed him to change from his robes into the attire worn by convicted prisoners.
He later agreed to wear the prescribed prison clothes, sources said.
The Supreme Court, in September, annulled the presidential pardon granted to Gnanasara Thera in 2019. He had been serving a six-year prison sentence imposed following his conviction for contempt of court but had served only about nine months when then President Maithripala Sirisena granted him a presidential pardon in May 2019.
Following the Supreme Court ruling, the Thera was required to serve the remainder of his sentence. He was subsequently reported missing, prompting the Court of Appeal to issue an open warrant for his arrest.
The Court of Appeal on Monday ordered the authorities to enforce the remainder of his prison sentence.
News
Speaker rejects Ajith Perera’s privilege complaint
Speaker Dr. Jagath Wickramaratne yesterday ruled that a privilege complaint submitted by SJB Kalutara District MP Ajith P. Perera did not constitute a prima facie breach of parliamentary privilege.
The ruling was made in response to a notice of privilege submitted by Perera on October 02.
Perera alleged that his parliamentary privileges had been breached over the failure to take formal action or reach a final decision on a written request submitted on August 03 by 18 Opposition MPs seeking the appointment of a Special Select Committee to investigate delays in the judicial system and prison overcrowding.
He had also requested that the matter be referred to the Committee on Ethics and Privileges for investigation and recommendations.
In his ruling, Speaker Wickramaratne said the Speaker, as the Presiding Authority and guardian of the powers, rights and privileges of Parliament, could not be subjected to a privilege complaint or disciplinary inquiry by a committee subordinate to the Chair in respect of actions taken in an official capacity.
He said that, under the Standing Orders, the Speaker was required to independently determine whether a prima facie case of breach of privilege existed.
Referring a complaint against the Speaker to a committee functioning under the Speaker’s authority would, therefore, create a procedural contradiction, he said.
Accordingly, the Speaker ruled that Perera’s notice did not constitute a prima facie breach of parliamentary privilege and disallowed the request to refer the matter to the Committee on Ethics and Privileges.
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