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Govt. auditors returning to Litro offices after a lapse of two years

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By Shamindra Ferdinando

The Auditor General’s Department, in consultation with the Committee on Public Enterprises (COPE), will soon initiate the process of auditing State-owned Litro Gas and Litro Terminals after a lapse of nearly two years.

The audit inquiry gets underway in the wake of Chairman and CEO of Litro Gas Lanka Limited and Litro Terminals Theshara Jayasinghe’s bombshell revelation at his Union Place Office last Friday (5) that his organization conspired with the foreign supplier to manipulate the gas supply to the country in a bid to compel the state enterprise to further extend a two year contract now in place.

The Committee on Public Enterprises (COPE) sources say the AG has intervened after Jayasinghe withdrew a high-profile case initiated by Litro last year to thwart the due process.

Against the backdrop of Friday’s media briefing, The Island on Saturday (6) sought Jayasinghe explanation how Litro avoided government audit in spite of interventions made by the parliamentary watchdog committee in this regard. Jayasinghe said that he recently withdrew a case filed by Litro meant to deprive the AG of the opportunity to investigate the state enterprise. Jayasinghe said that quite an amount had been spent on the legal term and it should be investigated as well.

AG W.P.C. Wickramaratne yesterday told The Island that a team of officers would be sent to Litro on Monday (8) to commence the inquiry. Wickramaratne said that the AG could not intervene therein due to legal impediment caused by the state enterprise taking legal action. Asked to explain, the AG said that the court prevented the audit process in response to legal action initiated by the company.

Litro has hired President’s Counsel Romesh de Silva and Sanjeeva Jayawardena on its behalf. Sanjeeva Jayawardena represents the Monetary Board of the Central Bank of Sri Lanka for a fresh term of 6 years, up to June 2027. Appointments to the Monetary Board are cleared by the Parliamentary Council chaired by the Speaker.

Responding to another query, Jayasinghe explained how the country’s largest importer of LP gas in spite of being owned by Sri Lanka Insurance Corporation (SLIC) was audited by a private firm at the expense of taxpayers’ money regardless of serious concerns expressed by parliamentary watchdog committee COPE. Jayasinghe pointed out that those interested in extending the contract for a further period from early next year deliberately caused a gas shortage during President Gotabaya Rajapaksa’s absence. “They wanted to secure consensus on a fresh agreement. They probably felt confident the project could have been brought to a successful conclusion as the President was away in Scotland.”

Jayasinghe said that he called a media briefing after having informed the President of the disruption of the gas supply caused by interested parties.

The government in July this year brought Viyathmaga activist in place of Anil Koswatte who received the appointment in January 2020 in the wake of change of government in Nov 2019.

Current Litro and Litro Terminals Board includes Asoka Bandara and Shanthi Kumar. The Corporate Management Team consists of Janaka Pathirana, Lakmali Hapuarachchi, Mignone Wijesuriya, Wickramasinghe Kamalanatha, Jayantha Basnayaka, Pushpakumara Edirisinghe, Terrance Appuhamy, Maheshika Rajakaruna, Hiran Seneviratne and Muditha Thamanagama.

Jayasinghe stressed that as Chairman and CEO of the state enterprise he had no option but to disclose the massive racket that had been perpetrated at the expense of the government. “Their strategy was simple. They deprived the required foreign currency to procure gas in spite of direct intervention of the Central Bank,” Jayasinghe said, declaring he was ready to face the consequences of the unprecedented disclosure.

Anil Koswatte has in writing requested Finance Secretary S.R. Attygalle to inquire into the allegations directed by his successor. Attygalle didn’t answer his hand phone yesterday morning.

The Colombo Magistrate’s Court recently released Koswatte, a former Chairman of Laksala in a case filed by the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) as regards the losses caused to the government due to non-compliance with proper procurement procedures. The court issued the order after the CIABOC informed that the case could not be continued due to a technical error in the filing of the case.

Meanwhile, according to COPE proceedings pertaining to Litro Gas and Litro Terminals obtained from the Communications Department of the Parliament, the watchdog committee has inquired into the state enterprises acting contrary to specific instructions issued by the AG. In spite of the Auditor General, having obtained the approval of the Attorney General to proceed with auditing of the two enterprises, couldn’t do so as the board of directors hired private audit firm KPMG. COPE has taken up this issue in late February this year at a meeting attended by Prof. Charitha Herath (Chairman), Jagath Pushpakumara, Patali Champika Ranawaka, Premanath C. Dolawatta, S.M. Marrikar and S. Rasamanikkam.

The then Chairman Anil Koswatte, who had been present there on the invitation of COPE pointed out there couldn’t be any dispute over hiring of a private firm in terms of a decision taken by the Board of Directors of Litro Gas and Litro Terminals.

Koswastte said so when the COPE sought an explanation how the two enterprises hired a private firm as the SLIC which owned 99 percent shares of them was audited by the AG and the SLIC too backed their stand.  During that meeting held on Feb 23, 2021, losses suffered by the SLIC to the tune of Rs 36 mn due to the termination of its operations in Male and Seychelles, too, was revealed.

Inquiries revealed that the SLIC that owned 99 percent of shares at Litro Gas and 100 percent shares at Litro Terminals had one vote at the Board of Directors whereas one share at Litro Gas was represented by three persons.

The COPE has repeatedly told Parliament that their authority in respect of state sector finance is questioned by various parties.

Couple of weeks after Jayasinghe succeeded Koswatte, The Island sought information pertaining to the actual situation at the state enterprise. Having asked for time to go public, Jayasinghe told the media last week that for those who robbed the country, political parties and governments did not matter. Jayasinghe alleged that powerful persons benefited at the expense of the state enterprises and the hapless public.



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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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Communist Party regrets failure of Justice Minister to visit a single prison

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Dr. G. Weerasinghe

The Communist Party of Sri Lanka (CPSL) has blamed what it describes as a systemic collapse of the country’s prison administration and the government’s adherence to IMF-backed austerity measures for the recent violence at Negombo Prison, calling for an independent investigation and sweeping reforms to the correctional system.

In a statement issued by its General Secretary, Dr. G. Weerasinghe, the CPSL extended condolences to the families of those killed during the unrest at Negombo Prison and subsequent incidents at other prisons, describing the violence as “not merely an administrative failure within a single institution but a profound systemic breakdown in Sri Lanka’s criminal justice and correctional framework.”

Full text of the statement: The Communist Party of Sri Lanka (CPSL) extends its condolences to the families of the people who lost their lives during the recent grave events that unfolded at Negombo Prison and subsequently at other prisons. It also expresses its deep concern and firm condemnation regarding the incidents, which represent not merely an administrative failure within a single institution but a profound systemic breakdown in Sri Lanka’s criminal justice and correctional framework.

The CPSL reiterates that prisons are institutions of rehabilitation, not arenas of violence. The Party has long maintained that Sri Lanka must transition from a punitive model to a restorative justice system, to one that rehabilitates offenders and reintegrates them as useful members of society. The lives of prisoners are of value to the nation, and the greatest effort should always be taken to preserve life.

It is therefore significant that President Anura Kumara Dissanayake himself stated that the loss of even one prisoner’s life is unacceptable. Yet the public was shocked by footage of an STF officer firing apparently indiscriminately through the Judas Window of the main gate of Negombo Prison. This raises serious questions: Why were non-lethal alternatives, including drone-based surveillance and assessment, not deployed? Why did command decisions fail at the most basic level?

The CPSL also notes with deep dismay that the honourable Minister of Justice and National Integration has not visited a single one of the prisons that come under his purview, since his appointment.

The outbreak at Negombo Prison is a symptom of a wider malaise. These include:

1. Extreme Overcrowding: Negombo Prison, designed for 650–680 inmates, was forced to house 2,600. Prisoners reported severe shortages of toilets, with up to 60 inmates queuing for a single facility. Nationally, the system built for 10,000–11,000 inmates now holds 39,000–41,000. This level of overcrowding is not mismanagement, it is institutional collapse.

2. Medical Neglect: Prisoners have repeatedly complained of insufficient access to medication. Amid ongoing epidemics, including Dengue Fever, inmates fear for their lives. A correctional system that cannot provide basic medical care is failing in its most fundamental duty.

3. Severe Undermanning: The prison service faces a shortage of 1,500 personnel, worsened by the ongoing recruitment freeze. Officers are overworked, underpaid, and insufficiently motivated due to disgracefully low public sector salaries.

The CPSL holds the Government fully responsible for this disaster. Its willingness to accommodate the draconian austerity conditions of the IMF has crippled recruitment across the public service, including the prison system. These externally imposed constraints have prevented the Department of Prisons from fulfilling its basic obligations to inmates and staff.

This tragedy is yet another proof of the Government’s incompetence and inability to govern. A regime that cannot protect those in its custody cannot claim moral or administrative legitimacy.

The CPSL calls upon the Government, Ministry of Justice, and Department of Prisons to:

1. Conduct an independent, transparent investigation into the Negombo Prison incident, with findings released to the public.

2. Hold accountable all officials whose actions or negligence contributed to the loss of life.

3. Provide immediate medical care, protection, and humane treatment to all inmates.

4. Implement urgent structural reforms to address overcrowding, understaffing, and medical shortages.

5. Transition toward a restorative justice model, reducing recidivism and strengthening social reintegration.

6. Reject externally imposed austerity measures that undermine national sovereignty and public safety.

The CPSL urges calm among the public and calls upon all stakeholders, including prison staff, families, civil society, and human rights organisations, to cooperate with investigative processes. The Party reaffirms its commitment to defending human dignity and ensuring that Sri Lanka’s institutions serve the people with justice, compassion, and accountability.

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