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Finance Ministry allows liquor company to operate without paying taxes: Ways and Means Committee

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Ranawaka

By Shamindra Ferdinando

Chairman of the Committee on Ways and Means Patali Champika Ranawaka on Tuesday (12) alleged that the Finance Ministry had allowed the operation of a distillery in spite of that company failing to pay taxes.

The former minister said that the country lost millions for want of political will to recover what that company owed the Treasury.

Addressing the media at the Thalakotuwa office of Eksath Janaraja Peramuna, its leader Ranawaka questioned the failure on the part of the Finance Ministry to cancel the license issued to that company. In spite of specific instructions issued in that regard, the Finance Ministry and the Excise Department were yet to take expected action. Lawmaker Ranawaka estimated the weekly loss of revenue at approximately Rs 100 mn.

Pointing out that President Ranil Wickremesinghe held the finance portfolio, MP Ranawaka said that SLPPers Shehan Semasinghe and Ranjith Siyambalapitiya functioned as State Finance Ministers. They should pay immediate attention to the issue at hand, the former JHU stalwart said.

Responding to The Island queries, MP Ranawaka said that parliamentary committees that had been tasked with streamlining the operations didn’t receive the cooperation of relevant government institutions responsible for revenue collection.

The ex-minister also found fault with two major state banks for withholding data pertaining to non-performing loans. However, the National Savings Bank (NSB) has complied with the instructions issued by Parliament, MP Ranawaka said, drawing the attention of the Finance Ministry to the developing situation.

The bone of contention is whether certain influential persons undermined their efforts to streamline revenue collection at a time the people were up in arms over increasing of the Value-Added Tax (VAT) from 15% to 18% and imposing it on nearly 100 items that had been hitherto exempted from the same.

MP Ranawaka said that the IMF has told the Wickremesinghe-Rajapaksa government to achieve revenue targets that weren’t feasible at all. In comparison with 2022, the IMF wanted the government to increase revenue to 6.5% of the Gross Domestic Product (GDP) by 2025, the MP said, declaring that no country experiencing a severe difficult economic crisis could achieve such targets. According to him, the expected revenue was approximately Rs 2,000 bn whereas the government intended to collect an additional Rs 600 bn by way of VAT.

But certain companies and individuals had been allowed to operate outside the law and their sordid operations were being facilitated, the ex-minister said, pointing out the inordinate delay in amending what he called the tax appeal process. The Parliament as the institution accountable for public finance should be held responsible for this situation, MP Ranawaka said.

For want of a clear system in place, profit-making state enterprises refrained from paying relevant taxes to the Treasury. Referring to the latest available statistics, MP Ranawaka questioned why the CPC that had earned a profit of Rs 88 bn was yet to be taxed. The ex-minister said that though 52 state enterprises obtained a profit of Rs 303 bn they weren’t taxed.

The CEB made quite significant profits in November and this month but the government seemed not interested in taxing that institution, he said. The parliamentarian said that the possibility of some 100 rural hospitals facing closure for want of proper attention at every level should be examined against the backdrop of successive governments failing to streamline revenue collection.

Commenting on the sharp increase in the number of Sri Lankans migrating to Australia and other countries, particularly for education, the MP said that it was a very heavy burden on the economy.

Alleging that the government lacked a proper strategy to meet the daunting challenges, the former minister said that if 18% VAT was slapped on fuel with effect from January 01, 2024 a liter of petrol (92 Octane) would go up by Rs 38 and diesel by Rs 34.



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Sri Lankan singer Mariazelle Goonetilleke passes away at the age of 68

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It has been reported quoting family sources that veteran singer Mariazelle Goonetilleke has passed away this morning (10)  at the age of 68

She had been  receiving treatment at the Kalubowila Teaching Hospital.

 

 

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Sallay’s wife further complains to HRC over continuing violation of husband’s FRs by CID

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The wife of retired Major General Suresh Sallay has lodged a further complaint with the Human Rights Commission of Sri Lanka (HRCSL), alleging that her husband’s fundamental rights continue to be violated as Criminal Investigation Department (CID) officers prevent him from having confidential consultations with his lawyer while he is under detention at the National Hospital.

In a letter addressed to the HRCSL Chairman on Thursday, Mrs. S.B.M.S.B. Sallay has said the latest complaint was filed in relation to an earlier complaint concerning the detention and treatment of her husband.

Full text of the letter: I, Mrs. S.B.M.S.B. Sallay, respectfully write to lodge this further complaint in relation to my earlier complaint bearing reference H RC-HO-1 103-26, concerning the detention and treatment of my husband, Retired Major General Suresh Sallay.

I wish to bring to the attention of the Commission a further serious violation of his fundamental rights that occurred on 08 July 2026 during a consultation between my husband and his Attorney-at-Law, Mr. Asith Siriwardena, while my husband remains under detention and is receiving treatment at the National Hospital.

I am informed by his Counsel that he is presently permitted to consult with my husband only once a week for a period of approximately twenty minutes. During the consultation held on 08 July 2026, officers of the Criminal Investigation Department (CID) stationed at the Cardiac Coronary Care Unit of the National Hospital informed Counsel that they had received instructions from higher authorities that my husband should not be permitted to meet with his

legal counsel in private. Consequently, the officers remained present throughout the consultation and refused to permit a confidential lawyer-client meeting.

This conduct constitutes a grave infringement of my husband’s fundamental right to communicate privately and confidentially with his legal counsel. Confidential communication between an accused or detainee and his lawyer is an indispensable safeguard of the right to legal representation, the right to prepare his defence, and the right to a fair trial. The denial of confidential legal consultations undermines these fundamental protections guaranteed under the Constitution of the Democratic Socialist Republic of Sri Lanka and the applicable provisions governing persons detained under the Prevention of Terrorism Act.

The confidentiality of communications between a lawyer and client is also a well-recognized principle under international human rights law and forms an essential safeguard against arbitrary detention, coercion, and unfair legal proceedings.

In view of the foregoing, I respectfully request the Human Rights Commission of Sri Lanka to urgently intervene and take all necessary steps within its statutory mandate to:

1. Ensure that my husband is afforded immediate and unrestricted confidential access to his legal counsel without the presence or supervision of law enforcement officers;

2. Inquire into the instructions allegedly issued by higher authorities requiring CID officers to remain present during lawyer-client consultations;

3. Direct the relevant authorities to cease any practice that interferes with confidential legal consultations; and

4. Take such further action as the Commission considers appropriate to safeguard my husband’s constitutional and human rights.

This complaint is made as a further complaint to Complaint No. H RC-HO-1103-26, and I respectfully request that it be placed on the same file and considered together with my previous complaints.

I respectfully seek the Commission’s urgent intervention in this matter.

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SC upholds Commercial HC ruling that Weerawansa violated intellectual property rights of JVP

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The Supreme Court yesterday (9) upheld a Colombo Commercial High Court order directing former Minister Wimal Weerawansa to pay Rs. 1 million in damages to Janatha Vimukthi Peramuna (JVP) General Secretary Tilvin Silva for violating intellectual property rights.

A three-member Supreme Court bench dismissed in its entirety an appeal filed by Weerawansa challenging the earlier Commercial High Court ruling.

The case was instituted by Silva, who alleged that Weerawansa had violated provisions of the Intellectual Property Act by publishing his book “Neththa Wenuwata Aththa” (“Truth Instead of Lies”), which contained the JVP’s political ideology and official party documents without authorisation.

The Supreme Court also affirmed the order restraining the publication and distribution of the book in its existing form. However, the court ruled that the book could be republished if the 60-page section identified as infringing intellectual property rights was removed.

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