News
COPA baffled by massive rewards for Customs at the expense of Treasury
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.
News
Prime Minister launches Zahira College, Puttalam Website
The Prime Minister stated that the objective of the government is to use data and policy to provide what is best for children. Political interests or any other considerations are not important to us; what matters is, only the children.
The Prime Minister made these remarks while participating in an inspection visit to Zahira Muslim College Puttalam on Saturday [17th of January], following the visits to schools affected by the recent cyclone Dithwah.
During her visit, the Prime Minister officially launched the school’s website, which was designed and developed by the students of Puttalam Zahira Muslim College.
Responding to views presented by the Principal regarding obtaining approval to commence the GCE Advanced Level Science stream at the school, the Prime Minister stated that children should be provided with knowledge not only in science, but across all subject areas. She emphasized that all schools within the district should work collaboratively toward this goal, and stressed that building a division in society is not the vision of the government.
The Prime Minister further highlighted the need to do what is best for children, requesting that proposals and decisions required for this purpose be discussed collectively at the school level and communicated to her. She noted that it is not possible to provide a comfortable and effective education for children by operating in isolation as individual schools, and reiterated that priority must always be given to the needs of children.
Addressing at the gathering, the Prime Minister stated:
“We are now experiencing the consequences of incorrect decisions taken in the past. However, we can now look into a positive present. Therefore, going forward, we must refrain from making decisions based on political or personal considerations. Instead we must cultivate the practice of making decisions for the well-being and happiness of all children.
It was also emphasized that, in order to nurture children with diverse talents and abilities, education should not be limited to a single subject stream, but should aim to develop children with an understanding across all fields”.
The occasion was attended by the Minister of Public Administration, Provincial Councils and Local Government, Prof. A.H.M.H. Abayarathna; Members of Parliament Gayan Janaka Kumara, Ajith Gihan, Mohamed Faisal, and Hiruni Wijesinghe; the Mayor of the Puttalam District; the Secretary of Education to the North Western Province; the Director of Education; and teachers.


[Prime Minister’s Media Division]
News
Premadasa: Grade 6 syllabus fiasco signals deeper issues
Vicious attacks disguised as criticism of education reforms, says PM
Opposition Leader Sajith Premadasa has said Sri Lanka’s education system has fallen into a “tragic condition,” warning that the crisis extends far beyond the Grade 6 syllabus fiasco.Premadasa made these remarks at the Opposition Leader’s Office during the establishment of the “Common Platform to Protect Free Education.”
Premadasa said that while public attention was on the Grade 6 syllabus issue, the problems facing the education sector were far deeper and affected the entire education system, including schools, universities and tertiary education institutions.
The Opposition Leader noted that the current crisis had not manifested itself overnight due to result of recent decisions; instead, it had developed over time due to reforms being introduced without proper consultation, dialogue or a participatory process involving stakeholders.
The Opposition Leader stressed the urgent need for setting political agendas aside and making a concerted effort to introduce meaningful educaton reforms. He said the rights of more than 4.1 million schoolchildren must be protected.
Premadasa said Sri Lanka must ensure that education was free and of high quality, and warned that failure to do so would have long-term consequences for the country’s future.
Taking part in a televised interview, PM Harini Amarasuriya responded to criticism of the government’s proposed education reforms, especially recent criticism on the rainbow colours on the covers of modules.
This is not constructive in any way. This is vile. This is really vicious. This is the politics the people of this country rejected in three elections in 2024 and 2025,” she said.
She added that the government was open to constructive criticism.
News
Sri Lankan Airlines launches Intl branding initiative for Colombo Nawam Maha Perahera 2026
SriLankan Airlines has unveiled a landmark international branding initiative to promote the Colombo Nawam Maha Perahera 2026, one of the country’s most distinguished religious and cultural festivals. The initiative is showcased on an Airbus A320neo, transforming the aircraft into a flying ambassador of Sri Lanka’s living heritage.
Through a specially designed aircraft livery, SriLankan Airlines now carries the prestige, spirituality, and cultural identity of the Nawam Maha Perahera across its international route network. This initiative positions the Perahera not only as a sacred Buddhist procession, but also as a major cultural and tourism attraction, highlighting
Colombo as a destination of heritage, harmony, and tradition.
Organised under the auspices of the Gangaramaya Temple, the Nawam Maha Perahera is internationally recognised for its historical significance, spiritual depth, and ceremonial grandeur. The concept for this international branding initiative was initiated by Venerable Dr. Kirinde Assaji Thero, who recognised aviation as a powerful platform for cultural diplomacy and global storytelling.
The successful realisation of this initiative has been made possible through the collective efforts of the Nawam Maha Perahera Committee, devoted devotees and supporters, and the institutional collaboration of the Prime Minister’s Office and the Ministry of Aviation, together with the full cooperation of SriLankan Airlines. The entire international aircraft branding initiative has been fully funded by the Gangaramaya Temple, together with the Nawam Maha Perahera Committee, reflecting the commitment of the Temple and its devotees to preserving and promoting Sri Lanka’s religious and cultural heritage on a global stage.
SriLankan Airlines extended its support across all levels of the organisation. Special appreciation is extended to the Chairman, Board of Directors, senior management, engineering and technical teams, designers, operational staff, and frontline employees, whose combined expertise and dedication transformed this cultural vision into reality.
Recently, Venerable Dr. Kirinde Assaji Thero, along with members of the Nawam Maha Perahera Committee, visited the SriLankan Airlines engineering and operations premises in Katunayake, accompanied by resident young Buddhist monks from the Gangaramaya Temple. During the visit, the delegation observed the progress of the aircraft branding work and offered blessings to the SriLankan Airlines team, expressing appreciation for their professionalism and commitment.
As the Airbus A320neo travels from city to city and culture to culture, it carries with it the story of Gangaramaya Temple, the Nawam Maha Perahera, and Sri Lanka’s enduring cultural values—fostering international awareness and strengthening the country’s image as a destination of faith, heritage, and cultural pride.
This initiative stands as a strong example of how religion, culture, tourism, and national aviation can work together in unity to elevate Sri Lanka’s presence on the global stage in the lead-up to the Colombo Nawam Maha Perahera 2026.
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