News
Country suffers huge loss due to corrupt revenue collection system – JVP
Govt. urged to act on COPA report or face the consequences
By Shamindra Ferdinando
JVP leader Anura Kumara Dissanayake says the country is paying a huge price for the failure of successive governments to streamline tax collection process. The JVPer insists the tax collection process has been somewhat debilitated by rampant corruption and irregularities.
Dissanayake was responding to The Island query regarding massive losses in tax revenue highlighted by the current Committee on Public Accounts (COPA) in its first report to the parliament tabled on July 20th.
Such large scale fraudulent activities couldn’t have been carried out without the complicity of those in authority whoever was in power, the Colombo District lawmaker. The JVP contested the 2020 general election on the National People’s Power (NPP) ticket. The JVP parliamentary group consists of three, including one National List MP, Dr. Harini Amarasuriya.
MP Dissanayake alleged that in addition to the failure on the part of the government to collect due taxes and mismanagement of finances, absolutely unjustifiable decision to sharply reduce taxes soon after 2019 presidential election dealt a deadly blow to national economy.
The government owed an explanation why the Treasury was denied as much as Rs 650 bn in taxes at the onset of incumbent administration, MP Dissanayake said. The country could have coped up with the continuing crisis caused by raging Covid-19 epidemic much better if the tax structure in place at the time of the 2019 presidential election was retained, he said.
Responding to another query, the JVP leader emphasized that a serious examination of losses caused by the ruling SLPP’s reduction of taxes amounting to Rs 650 bn should be made. Parliamentary watchdog committees, namely the Committee on Public Enterprises (COPE), Committee on Public Accounts (COPA) and Committee on Public Finance (COPF) should take up the matter. The latest COPA reported exposed an extremely embarrassing state of affairs in key institutions responsible for the tax collection process, the MP said.
Pointing out that the Customs and the Motor Traffic Departments coming under the purview of the Finance and Transport ministries, respectively, had been particularly named by COPA, MP Dissanayake said that massive scam in sugar imports soon after the last parliamentary poll proved how decisions were made at the expense of the national economy.
Referring to COPF proceedings that dealt with the sugar tax scam, MP Dissanayake said that COPF Chairperson Anura Priyadarshana Yapa (SLPP/Kurunegala District) is on record as having said on January 5, 2021 consumers hadn’t benefited at all by Finance Ministry decision to reduce Rs 50 tax on imported kilo of sugar to paltry 25 cents. MP Yapa was referring to a gazette No 2197/12 issued by the Finance Ministry on Oct 13, 2020, the JVPer said. MP Dissanayake said that the sugar tax scam was as bad as the Treasury bond scams perpetrated by the previous administration. Although some government members expressed concerns over the sugar tax scam at the COPF, the government conveniently turned a blind eye to what the JVPer called a brazen fraud perpetrated on the hapless population.
Have you ever heard of such a drastic reduction of taxes in respect of sugar on any other occasion, MP Dissanayake asked, alleging the incumbent administration as a result of sheer crookedness caused unbearable loss of revenue. The JVP leader said that sugar tax scam couldn’t be suppressed though the government acted as if nothing had happened.
Successive governments obviously facilitated fraudulent practices in the tax collection system. The incumbent government was no exception, the MP said, underscoring how government revenue gradually dropped over the years as robber barons took over the national economy. “We are now in such a desperate situation those in authority seem to be clueless where the national economy is heading,” MP Dissanayake said.
Urging the government to go flat out to recover long overdue taxes, the JVP leader said that in spite of big talk the government was in a bind, struggling to face the daunting financial challenge. Asked to explain the situation, lawmaker Dissanayake said that the raging Covid-19 epidemic deprived Sri Lanka of two major sources of income, namely funds remitted by those who had been employed overseas and the disruption of tourism. The JVPer pointed out that tourism suffered in the wake of 2019 Easter Sunday carnage followed by Covid-19 as both ruined the sector. Acknowledging that the country had managed to sustain the garment trade and other exports, lawmaker Dissanayake said that the economy was in a critical phase. The government seemed to be either incapable of comprehending the rapid deterioration or it could sustain the economy until the ongoing vaccination drive achieved desired objective.
MP Dissanayake said that Sri Lanka could no longer afford to delay taking action to restructure revenue collection mechanism. The SLPP should be prepared to face the consequences unless continuing corrupt practices were brought to an end. The deterioration of national economy caused by Covid-19 against the backdrop of waste, corruption, irregularities and negligence could overwhelm the country soon unless remedial measures were taken.
The JVPer said that the parliamentary system of governance should take command of the situation regardless of the political power being with the SLPP. The deepening national economic crisis couldn’t be addressed by playing politics with the issue at hand as commanding overwhelming majority in parliament wouldn’t be relevant.
The JVP leader said that there was no need to comment on proposed tax amnesty to crooks as former minister Dew Gunasekera, one-time General Secretary of the Community party, in an interview with The Island explained futility of such an exercise.
News
Govt. confident of 2/3 majority despite NPP split speculation
By Shamindra Ferdinando
The ruling NPP yesterday (21) dismissed claims of a widening rift, within the government, over the proposed 22nd Amendment. Asked whether the NPP was concerned over a section of the Opposition alleging Prime Minister Dr. Harini Amarasuriya and two dozen MPs taking a view contrary to that of the party in this regard, authoritative party sources said some persons were propagating speculation for their own interest.
Declaring that there was absolutely no issue regarding the controversial Amendment, sources emphasised once it was tabled in Parliament, it would be passed with 2/3 majority.
Sources dismissed claims that out of its 159-member parliamentary group a section of NPPers was opposed to the government move. According to an influential Opposition activist, there are 57 JVPers and 66 NPPers in the government group and the rest contested the last parliamentary polls, having aligned with the JVP.
Ministerial sources told The Island that the government was confident of going ahead with the 22nd Amendment and Judicature (Amendment) Bills. Sources said that the NPP was not bothered about the Opposition protests in and outside Parliament.
Speaker Dr. Jagath Wickremaratne is expected to disclose the confidential ruling that he received from the Supreme Court in respect of more than 65 petitions for and against the 22nd Amendment and Judicial Amendment Bills. The enactment of the 22nd Amendment would pave the way for extending the retirement age of Supreme Court judges, from 65 to 67 years, and Court of Appeal judges, from 63 to 65 years.
News
Justice Corea appointed Acting President of the Court of Appeal
President Anura Kumara Dissanayake has appointed Court of Appeal Judge Mayadunna Sri Mevan Anthony Edirimannasuriya Corea as the Acting President of the Court of Appeal.
The appointment has been made as President’s Counsel Nalin Rohantha Abeysuriya, who currently serves as President of the Court of Appeal, will be overseas until the 24th.
Accordingly Justice Mayadunna Corea was sworn in as Acting President of the Court of Appeal before President Anura Kumara Dissanayake at the Presidential secretariat last morning (21).
Secretary to the President Dr Nandika Sanath Kumanayake was also present at the occasion.
News
Protest against setting up of cement factory in highly populated area near BIA
… school alleges deception
What began quietly as a single-storey tourist hotel, on the edge of Katunayake-Seeduwa has, five years later, morphed into a looming five-storey cement factory and with it, a storm of fear, anger and unanswered questions.
At a media briefing held on 19 September at St. Thomas International School, Seeduwa, the community finally found its voice. The gathering included priests, school principals, environmental defenders, and parents whose children study within a few hundred metres of the site.
The briefing was led by Rev. Fr. Jude Chrishantha Fernando, Director of National and Archdiocesan Catholic Social Communications, Rev. Fr. Nilantha Heshan, Director of the Archdiocesan Sethsarana Institute, Dinusha Nanayakkara, Convener of the Archdiocesan Committee for the Protection of Muthurajawela, and Attorney-at-Law Ms. Isuri Rodrigo.
Their message was clear: This is not a campaign against development.
“We Are Not Against Cement. We Are Against Deception.”
“Cement is an essential raw material for the country. We have no opposition to any such factory or production plant,” they told the media. “But what we cannot agree to is a project of this magnitude, in this location, without any proper environmental assessment.”
The speakers alleged a textbook case of deception, obtaining approvals for a low-impact tourist hotel, in one of the most densely populated educational zones in the Katunayake-Seeduwa Municipal Council area, and then transforming it into a heavy industrial plant.
“In an area where thousands of schoolchildren study, to show one thing on paper and build another is a highly fraudulent procedure. It is clear that the real environmental damage and the truth have been hidden from the people,” they said.
With the sea and lagoon winds that sweep across Seeduwa, experts fear these fine particles will not stay confined to the factory walls. They will drift across classrooms, homes, and the Katunayake Free Trade Zone, where thousands of workers, representing all 25 districts of Sri Lanka, work every day.
“The risk is not local. It is national. We are talking about a future generation of children with respiratory illnesses, and workers developing chronic breathing disorders,” one speaker warned.

Rev. Fr. Jude Chrishantha Fernando, Director of National & Archdiocesan Catholic Social Communications, responding to journalists
Then there is the proximity that defies logic, just 500 metres from the Bandaranaike International Airport.
The panel presented a scientific concern that has aviation experts worried: a significant drop in air quality around the airport and its runway, and the severe risk to highly sensitive aircraft engines when they ingest air mixed with cement dust. What is at stake, they argued, is not just health but the economy itself.
“When you weigh it deeply, the economic contribution of an international airport is far higher than that of a cement factory. If international airlines start to avoid Katunayake due to safety and air quality concerns, it will be a fatal blow to our country’s economy,” they emphasised.
A few minutes away lies another victim the Negombo Lagoon and the Muthurajawela wetlands, Sri Lanka’s largest and most sensitive coastal ecosystem.
The panel warned that cement dust settling on the mangrove system could degrade water quality, disrupt the delicate salinity balance, and directly interfere with fish breeding grounds. For the fishing communities of Negombo, whose lives depend on the lagoon, this is an existential threat.
“The lagoon is a nursery. If its water quality drops, fish will not breed. If fish do not breed, an entire fishing community collapses,” they said.
The speakers alleged that while the developers claim to have approvals from various state institutions, many of the mandatory clearances, particularly comprehensive Environmental Impact Assessments and feasibility reports, have not been obtained.
They stressed they are not calling for an end to investment, but for it to be done right.
“We have no objection to this factory being started in another suitable location where it will not cause these environmental impacts, based on proper feasibility and assessment reports. Stop this construction here and move it,” was the unanimous demand.
The appeal has now been directed again to the President, the government, and all responsible state institutions and officials.
As the briefing ended, one image lingered — a school playground, a lagoon, and a towering cement structure rising between them. It is a scary picture for the people of Seeduwa; they asks a simple question: What price are we willing to pay for development that doesn’t breathe?
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