News
“Move to hand over Sevanagala Sugar Co. to Daya G alleged”: PMD responds

Dhanushka Ramanayake, Director General (Media) of the President’s Media Division (PMD) has sent us the following clarification:
“The attention of President’s Media Division has beenbrought to the news item on pages 01 and 02 of The Island newspaper dated 30.10.2023, titled “Move to hand over Sevanagala Sugar Co. to Daya G alleged.”
Mr. Daya Gamage, a Sri Lankan entrepreneur and an active member of the United National Party under the leadership of President Ranil Wickremesinghe, is closely associated with politics. This connection highlights that any insinuation of a “conflict among allies” in the news, whether intentional or inadvertent, is misleading and based on incorrect information.
In the spirit of our mutual commitment to delivering accurate information to the public, we wish to present the correct details regarding the news piece in The Island newspaper from 30.10.2023, titled ‘Move to hand over Sevanagala Sugar Co. to Daya G alleged.’
No decision or proposal has been made to transfer Sevanagala Sugar Company to Daya Group.
As per the report in The Island newspaper, the Sevanagala Sugar Factory was brought under government ownership through the Revival of Underperforming Enterprises or Underutilized Assets Act No. 43 of 2011. This act also facilitated the government’s acquisition of several financially struggling institutions, including the Pelwatta Sugar Factory, Hilton Hotel and Grand Hyatt Hotel.
At the time of this acquisition, the investment in the Sevanagala Sugar Factory was attributed to the Daya Group Company, which is owned by Mr. Daya Gamage, a notable Sri Lankan entrepreneur. In cases where financial losses were incurred by investors due to the government takeover of these struggling businesses a designated assessment committee was appointed. The provisions of the same act were invoked to determine and provide compensation where warranted.
Consequently, compensation was disbursed to the companies taken over by the government. However, in the case of the Sevanagala Sugar Company, no compensation was forthcoming due to specific technical issues.
In response to this situation, Mr. Daya Gamage, as the investor in the Sevanagala Sugar Company, initiated three legal proceedings to seek compensation or the return of the property. He expressed his willingness to regain ownership and resume business operations without requiring compensation as an alternative resolution.
The government’s decision in this matter was to provide compensation rather than returning the property. In response, employees at the Sevanagala Sugar Company filed two fundamental rights cases in the Supreme Court, both of which are currently awaiting resolution.
To calculate the compensation owed to the investor for the handover of the Sevanagala Sugar Company to the government a Compensation Commission was re-established. This commission’s task is to assess the losses suffered by the investor encompassing property not only the immovable property of the Sevanagala Sugar Company but also considering the business losses incurred due to the acquisition of specific motor vehicles, machinery and equipment meant for its further development.
The Compensation Commission is chaired by the Chief Valuator of the Government and includes two retired Chief Appraisers from the Government Valuation Department as members. They are responsible for conducting the compensation calculations. To maintain transparency throughout this process, the investor has been granted approval by the cabinet to appoint a monitor.
As it stands, the government’s decision is to compensate the investor for property acquisition losses and business losses determined by the Compensation Commission. No proposal or decision has been made regarding the reversion of the property, and such a proposal has not been approved by the Cabinet.
In an effort to ensure transparency in government property disposal, a new Public Enterprises Reform Unit has been established, with criteria approved by the Cabinet. If the property is to be re-disposed, it will be done through a transparent tender process following these established guidelines.
It’s important to note that the government has not chosen to return the property to the previous investor through any other procedure and an additional related case is still pending in court.
In the spirit of providing a fair platform for all information, I kindly request that you give the same level of publicity to this accurate account as you did to the initial news in the newspaper.
News
Racketeers imported luxury cars, fraudulently declaring them as tractors: COPA

State coffers suffered huge losses
A probe conducted by the Auditor General’s Department and the Parliamentary watchdog committee, COPA (Committee on Public Accounts) has revealed that a large number of luxury cars and SUVs have been imported with the help of forged documents that declared them as tractors.
During a recent COPA investigation into the Department of Motor Traffic (DMT), it was disclosed that the files related to the registration of those vehicles had gone missing.
COPA Chairman Aravinda Senaratne pointed out that BMWs and Mercedes-Benz cars had been declared as tractors. A total of 158 such cases had been specifically identified, the COPA said.
At the last COPA meeting, the DMT was instructed to provide details regarding those instances, but the Department has not yet done so. Some officials had already been identified and charged with the fraudulent registration of vehicles, Senaratne said.
“Wrong information about these vehicles has been entered deliberately. Their years of manufacture have been altered. According to our records, whenever an issue is raised, officials claim that the relevant files are missing,” Senaratne stated.
Current Commissioner General of the DMT, Nishantha Weerasinghe, said that those incidents had occurred before he assumed office.
Former DMT Commissioner General Sumith Alahakoon revealed that he had lodged two complaints with the CID. “When I took office, there were about 12 container loads of files flagged for errors. Out of those, 118 files were recovered by internal auditors and submitted to the CID. Thereafter, I was removed from my post,” he said.
The COPA Chairman accused the current DMT Commissioner General and his officials of failing to follow up on the complaints lodged with the CID by his predecessor.
When asked about action taken against the prime suspect in the fraud involving the luxury cars imported as tractors, the current Commissioner General said the suspect had been released due to insufficient evidence. A system analyst had been interdicted as investigators found that the database contained wrong information about vehicle imports.
COPA member MP Chandana Sooriyarachchi remarked that COPA investigations would be meaningless if officials sought to absolve themselves of responsibility simply by claiming that files had gone missing.
Sooriyarachchi said such fraudulent actions had cost the state coffers billions of rupees.The COPA Chairman said all aspects of the case would be thoroughly investigated.
by Saman Indrajith
News
Kariapper finds fault with NPP over Gaza statement

SLMC General Secretary Nizam Kariapper, MP, yesterday (23) said that the National People’s Power (NPP) government owed an explanation as to why it continued to ignore indiscriminate Israeli attacks on Gaza.
Parliamentarian Kariapper pointed out that a statement, dated March 21, issued by Foreign Affairs, Foreign Employment and Tourism Ministry, while expressing deep concern over the deteriorating conditions in Gaza, requested all sides to avoid any action that would lead to further escalation of the situation.
The government statement conveniently failed to mention that Israel killed over 400 civilians and launched a fresh ground offensive in Gaza regardless of the ceasefire in place, lawmaker Kariapper said. The top SLMC official accused the NPP government of remaining silent on US approved slaughter of civilians taking place.
“The majority of victims in the Gaza war were women and children,” MP Kariapper said. If the NPP government lacked the strength to issue a statement that properly dealt with the ground situation, Sri Lanka should have refrained from commenting on the latest developments.
The SJB National List MP said that the Jewish State also launched operations in Yemen, Syria, and Lebanon as it sought to exploit the situation to its advantage.
MP Kariapper urged the government to take a principled stand on Israeli military action that so far claimed the lives of over 60,000 people since late 2023.
Israel launched large-scale offensive action after Hamas terrorists killed over 1,200 Israeli civilians in raids carried out in early Oct 2023. Hamas abducted a large number of Israelis and a section of them have been released so far.
By Shamindra Ferdinando
News
Gun violence: 22 killed in 27 shooting incidents so far this year

There has been an increase in underworld activities and gun violence this year, and 27 shooting incidents have left 22 persons dead, and more than a dozen others injuried.The latest shooting incident was reported from Devinuwara on Friday night, when two gunmen killed two youths at point-blank range.
The shooting spree which began in early January has continued into March, with incidents reported from areas such as Mount Lavinia, Mannar, Galle, Kotahena, and Devinuwara. Victims included civilians gang members, and a former prison official.
On 19 February 19, a man and his two young children were brutally gunned down in Middeniya. On the same day, underworld figure Ganemulle Sanjeewa was assassinated inside the Aluthkade Magistrate’s Court by a suspect disguised as a lawyer. Those brazen attacks, often carried out in broad daylight, have caused serious concerns over public safety and the proliferation of firearms in criminal networks.
January saw multiple targeted attacks, including the contract killing of two men in Mount Lavinia for Rs. 1.5 million on 19 Jan. A dried fish trader narrowly escaped death outside his home in Devinuwara on 13 Jan., when gunmen opened fire on a house in Dodangoda. A shooting incident on Jan 31 in Hiniduma, Galle, claimed three lives, including that of a lodge owner.
The gun violence intensified in February, with the assassination of an alleged gang member in Kotahena on February 10 and the shooting of a man near a school in Minuwangoda on 07 Feb. Following the courtroom assassination of Ganemulle Sanjeewa on 19 Feb., the violence continued with two separate shootings in Ja-Ela and Kotahena on 21 Feb., leaving two people dead.
March saw a further escalation of gun violence, with the fatal shooting of former Boossa Prison Superintendent Siridath Dhammika at his residence in Galle on 13 March. A day later, a man known as Podi Sudda was gunned down in Ambalangoda.
by Norman Palihawadane
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