Connect with us

News

COPA baffled by massive rewards for Customs at the expense of Treasury

Published

on

Question mark over Tax Appeals Commission

70% of fine on Lanka Coal ends up with officers

By Shamindra Ferdinando

The cash-strapped government hasn’t been able to recover tax revenue running into billions of rupees, in spite of sporadic interventions made by the Parliamentary Watchdog, the Committee on Public Accounts (COPA).

 According to a report submitted to Parliament on July 20 by COPA, the situation has been further complicated by the Customs receiving substantial amounts, as rewards, from fines imposed on tax defaulters, at the expense of the Treasury.

 Prof. Tissa Vitarana, in his capacity as the Chairperson of the 22-member COPA, has submitted the report.

 The COPA has questioned the Customs why prominent palm oil importers Pyramid Wilma Pvt Ltd and Naratha Agro Industries (Pvt) Ltd. were allowed to appeal in 2019 against the Attorney General’s decision that loss of revenue suffered by the Treasury to the tune of Rs 6.130 bn during 2013-2016 period should be charged from 2013 instead of 2016 as recommended by a committee that inquired into the irregularities.

Pointing out that the Tax Appeals Commission couldn’t accept appeals made after the stipulated 3 month period following a particular decision, COPA has instructed Director General of Customs, Maj. Gen (retd) Vijitha Ravipriya to inform the Tax Appeal Commission. DG, Customs has done so on Feb 2, 2021, COPA according a copy of the report made available to The Island.

 Tax Appeals Commission has been established in terms of Tax Appeals Commission Act No 23 of 2011 (subsequently amended).

 COPA has also dealt with an unprecedented case of Sri Lanka Ports Authority (SLPA) and Customs being involved in a costly case wherein the latter was seeking 50 percent of a fine imposed on SLPA as a reward for those involved in the inquiry. According to COPA proceedings, the SLPA had been blamed for defaulting on the payment of Rs 916,526 over the import of gantry cranes and other equipment worth Rs 11,498,829,084 way back in 2011.

 In spite of talks involving stakeholders, including the Treasury as well as the House watchdog over the years, the issue hadn’t been resolved as both parties spent quiet a lot on lawyers.

 Customs have sought a staggering 50 percent as a reward for officers from the fine imposed on the SLPA. The Consultative Committee on ports and shipping has inquired into the possibility of the Treasury taking the entire sum.

 COPA has questioned the rationale in one government institution receiving cash reward at the expense of another as it caused quite a problem. According to the COPA report made available to The Island, the watchdog has requested Chief Accounting Officer/Accounting Officer to send all relevant reports and documents to parliament before the Customs appeared before Prof. Vitharana’s outfit in two months.

 Prof. Tissa Vitharana told The Island that remedial measures should be taken to improve the revenue collection process. Appreciating the services rendered by members of his committee, the political veteran said that the need to enhance state revenue couldn’t be ignored. The LSSPer noted that the government income had now fallen very much less than 10 percent of the GDP, a situation all should be seriously concerned about.

 COPA has examined the legal wrangle involving the Customs and the SLPA against the backdrop of Customs officers receiving half of Rs 205 mn imposed on Lanka Coal Company (Pvt) Ltd as rewards due to the payment being categorized as a fine instead of an additional tax. The company in question has been formed by CEB (60%), Treasury (20%), Ceylon Shipping Corporation (10%) and SLPA (10%). COPA pointed out that in addition to taking 50 % of the so called fine, Customs had secured a further 20% (Rs 41 mn) for their welfare and management fund leaving Rs 61.5 for the Treasury.

 COPA has underscored the need to amend relevant laws to prevent recurrence of such irregularities.

 COPA has revealed a spate of instances wherein due to range of factors, including raging Covid-19 epidemic had been blamed on the inordinate delay in settling a substantial number of tax appeals. The tax and penalties pertaining to 1,108 appeals amounted to a staggering Rs 18,684,603,316 whereas only 49 were finalized.

 

 



Latest News

A new curriculum will be introduced for preschools in 2027, while steps will also be taken to train teachers accordingly – PM

Published

on

By

Prime Minister Dr. Harini Amarasuriya stated that a new curriculum will be introduced for preschools in 2027, while steps will also be taken to train teachers accordingly and to regulate preschools through a regulatory authority.

The Prime Minister made these remarks while addressing an awareness programme for preschool teachers in the Hambantota District on education reforms, held  on Sunday (15) at the Ambalantota Pradeshiya Sabha Auditorium.

During the programme, preschool teachers briefed  the Prime Minister about the challenges they currently face. Responding to their concerns, Dr. Harini Amarasuriya further stated:

“The issues within the preschool system cannot be discussed separately from the broader crisis in society and in the education sector. When we assumed office in 2024, our primary challenge was to free the country from its debt burden and to establish. a  sound economic indicators.

Although 2025 was a challenging year, we were able to bring the country’s economy to a certain level of stability and manage the national budget accordingly.

While we were working towards economic recovery, the war in the Middle East began, which has had certain impacts on our country as well.

A significant amount of Sri Lanka’s foreign remittances come from our fellow citizens working in the Middle East. Today, both their livelihoods and employment are under threat. In addition, a large number of tourists travelled to Sri Lanka through Middle Eastern airspace, and the closure of those air routes and airports has reduced tourist arrivals. Another issue concerns fuel transportation. This problem has affected not only Sri Lanka but many countries around the world. If the war continues for a long period, it will have further impacts on us, and therefore we must be prepared. We also need to manage the economy carefully and reduce certain expenditures.

Although we have the ability to borrow, our intention is not to weaken the country’s economy by relying on loans.

You are aware that we have begun implementing education reforms. Within that policy framework, we are also taking steps to reform preschool education. So far, the establishment of preschools and early childhood development has not been carried out in a systematic manner. Therefore, we must regulate and standardize all preschools, which is not an easy task.

First, all preschools must be formally registered. We have already prepared a curriculum for teacher training. In addition, we plan to introduce a new curriculum for preschools in 2027, provide teacher training accordingly, and regulate preschools through a regulatory authority. A recognized curriculum has also been prepared for the preschool diploma. In the future, priority for preschool teachers will be given based on these qualifications. We will also take gradual steps to enhance the professionalism of preschool teachers and establish a proper salary structure”.

The Prime Minister further stated that preschools fall under the authority of Provincial Councils and Pradeshiya Sabhas, while the line ministry can only provide policy recommendations. She also emphasized that issues related to preschools should be addressed in a systematic manner through structural committees and District Development Committees.

Member of Parliament Nihal Galappaththi and other public representatives, along with preschool teachers from the Hambantota District attended the awareness program.

(Prime Minister’s Media Division)

Continue Reading

News

Be mindful of the accuracy of information before sharing it on social media – PM

Published

on

By

The Prime Minister made these remarks while addressing the “Sandeshaya” Media Awards Ceremony held on 14 March at the Kularathne Hall of Ananda College, Colombo. The event was organized with the aim of providing Sri Lankan school students with an opportunity to actively contribute to the national media discourse while promoting ethics, responsibility, and critical thinking.

During the “Sandeshaya” Awards Ceremony , lifetime awards granted only once in a lifetime were presented to distinguished veterans in the media field, while media awards were also presented to talented students in the school category. The ceremony was held under the patronage of the Prime Minister.

Expressing her views further, the Prime Minister stated:

“We live in an era where information technology and the media are changing rapidly. Along with these changes, many opportunities have emerged, but we are also confronted with numerous challenges.

We must prepare our younger generation to live in a society and a world transformed by information technology and the media.

When we observe the changes taking place in the media today, we can say that the media and information have become democratized. In the past, access to knowledge and information was largely limited to privileged or powerful groups. The authority to communicate information and decide what should be disseminated was held by a small group. However, with the advancement of technology, this has changed dramatically. As a result of this revolutionary transformation, information, data, and knowledge have now become accessible to everyone. In that sense, it is a positive development.

At the same time, we are no longer merely media viewers or consumers. As citizens, we can also become media creators. Citizens now have significant space to engage with the media and share information. While this is positive in one sense, it also carries certain dangers. There are serious questions, issues, and challenges regarding responsibility and credibility in the dissemination of information. Today, information flows so rapidly that it is sometimes difficult to determine what is true. Making decisions has become increasingly challenging. Not only in our country but globally, there have been many instances where societies have been set ablaze due to misinformation or deliberately distorted information. We have witnessed numerous occasions where people’s lives have been destroyed as a result.

Sometimes, without even realizing it, we get trapped on the internet. We share various things through our social media platforms, both necessary and unnecessary. However, what we often forget is that a large amount of personal information accumulates on the internet through these actions. Once incorrect information becomes widespread in this way, it becomes extremely difficult to erase.

The spread of false information weakens public trust in the information provided by the media, and this is extremely dangerous for a society. For the sustainability of a society, it is essential to maintain trust among citizens and trust in the institutions that influence people’s lives. Only through the trust we can safeguard the sustainability, continuity, and security of a society.

However, what has happened today due to the spread of misinformation? We no longer have confidence in our leaders. We do not even trust elders. There is doubt about whether the news we receive can be trusted. When credibility weakens within a society, it can push that society into crisis.

Therefore, it is extremely important to cultivate a culture that strengthens trust in leadership, promotes confidence in elders, and enhances awareness about reliable sources of information. In this context, those entering the field of media carry a significant responsibility.

Just like the senior professionals we honored today, you too may one day enter this field. However, there is a vast difference between the era in which they entered the profession and the era you will enter. You will carry a unique responsibility to strengthen the credibility of the media and to stand firmly behind the information you present.

You must be able to stand by the information you provide. You must reflect on whether the information you share is true and who might be affected by it. Ensuring the credibility of the information you disseminate is also your responsibility.

Similarly, as users of any form of media, we all bear a responsibility to verify the reliability of the information we receive and to be aware of how to distinguish between truth and falsehood. That is why digital literacy and media literacy are essential. It is also for this reason that we believe such subjects and concepts must be incorporated into education reforms so that our student generation can learn them.’

The Prime Minister further stated that citizens have a responsibility to be mindful of the truthfulness of information before sharing content found on the internet and social media with others.

The event was attended by the Secretary to the Ministry of Health and Mass Media Anil Jasinghe, Principal of Ananda College D.M.L.P. Dissanayake, journalists, principals, teachers, and students.


(Prime Minister’s Media Division)

Continue Reading

Latest News

Heat Index at ‘Caution level’ at some places in the Western, Sabaragamuwa, Southern and North-western provinces and in Monaragala, Mannar, Anuradhapura and Vavuniya districts

Published

on

By

Warm Weather Advisory
Issued by the Natural Hazards Early Warning Centre of the Department of Meteorology  at 3.30 p.m. on 15 March 2026, valid for 16 March 2026.

The public is warned that the Heat index, the temperature felt on human body is likely to increase up to ‘Caution level’ at
some places in the Western, Sabaragamuwa, Southern and North-western provinces and in Monaragala, Mannar, Anuradhapura and Vavuniya districts.

The Heat Index Forecast is calculated by using relative humidity and maximum temperature and this is the condition that is felt on your body. This is not the forecast of maximum temperature. It is generated by the Department of Meteorology for the next day period and prepared by using global numerical weather prediction model data.


Effect of the heat index on human body is mentioned in the above table and it is prepared on the advice of the Ministry of Health and Indigenous Medical Services.

ACTION REQUIRED
Job sites: Stay hydrated and takes breaks in the shade as often as possible.
Indoors: Check up on the elderly and the sick.
Vehicles: Never leave children unattended.
Outdoors: Limit strenuous outdoor activities, find shade and stay hydrated.
Dress: Wear lightweight and white or light-colored clothing.

Note:
In addition, please refer to advisories issued by the Disaster Preparedness & Response Division, Ministry of Health in this regard as well. For further clarifications please contact 011-7446491

 

Continue Reading

Trending