News
Patali: Four out of 25 low-quality coal shipments caused Rs. 1,759 mn loss
CIABOC urged to deal with NPP the way it dealt with Mahindananda, Nalin
Declaring that large-scale premeditated coal import fraud had caused massive losses, ex-Minister Patali Champika Ranawaka has urged the CIABOC (Commission to Investigate Allegations of Bribery or Corruption) to deal with it, the way former Ministers Mahindananda Aluthgamage and Nalin Fernando were dealt with.
The Colombo High Court Trial-at-Bar sentenced Aluthgamage and former Sathosa Chairman Fernando on 29th May, 2025, for 20 and 25 years RI, respectively, for committing the offence of corruption by procuring 14,000 carrom boards and 11,000 checkers boards, through Sathosa, to distribute to schools and sports clubs selected by the Sports Ministry, and distributing them to party offices of the government during the 2015 Presidential Election, thus causing a loss of over Rs. 53 mn to the government.
Ranawaka, in a statement posted over the weekend on social media, based on documents furnished to Parliament by the CEB recently, declared that the procurement of substandard coal through an Indian company, faulted for money laundering, has so far resulted in a staggering loss of Rs 1,759 mn.
According to the former Colombo District lawmaker, the losses had been brought down to Rs 1,759 mn after the supplier compensated the government to the tune of Rs 1,037. Pointing out that the losses had been estimated at Rs. 2,796 before the supplier was fined, Ranawaka emphasised that the losses mentioned in CEB documents pertained to four shipments of inferior quality coal.
Ranawaka who had been at the forefront of anti-corruption campaigns over the years said that the government reached an agreement with the controversial supplier and so far only six of the 25 coal shipments were received. Based on the losses so far accrued due to the use of inferior quality coal at the Norochcholai Lakvijaya coal-fired power plant, Ranawaka pointed out gravity of the situation.
Commenting on the penalties imposed on the supplier, Ranawaka said that as he had secured shipments at a much lower cost-perhaps USD 30 to 40 per ton less than the usual rate, paying compensation wouldn’t have been an issue.
The former parliamentarian flayed the CIABOC for its failure to investigate the coal fraud in spite of several complaints lodged with it. Ranawaka warned that the country would have to face the consequences of using what he called low-grade coal. The damages to the plant would have to be estimated later, Ranawaka said, while underscoring the importance of using coal aligned with the plant design.
The Island received a copy of letter CEB General Manager Engineer K.S.I. Kumara sent to the Secretary to the Energy Ministry that exposed the procurement of low-quality coal.
Alleging that President Anura Kumara Dissanayake and the entire cabinet of ministers should be held responsible for the procurement of low-quality products knowing the consequences, Ranawaka underscored the need to identify all those who benefited from the coal deal. The ex-lawmaker questioned the possibility of the coal deal being part of a money laundering project.
Ranawaka said that the powers that be wanted 7.5 mn electricity consumers to bear the losses resulting from the corrupt deal. Having repeatedly promised to slash electricity tariffs substantially, the government was now aiming to crease tariffs by 13.5 percent. Hapless Sri Lankans were charged higher rates at a time crude oil and gas were low in the international market, he claimed.
Ranawaka urged the public to protest while calling for an organized campaign to highlight the corruption at the highest levels of the incumbent dispensation. Ranawaka said that slapping of fines proved that coal shipments hadn’t met the stipulated specifications and all attempts by the current dispensation to shield those responsible failed.
At the onset of his statement, Ranawaka said that the government entered into this corrupt coal deal in spite of the Attorney General’s Office advising them to do away with slack procedures in place during the economic crisis.
Following a recent visit to the power stations, former UNP Deputy Minister Ajith P. Perera, who is also a member of the Constitutional Council eclared that the coal scam had been confirmed. “The biggest tender under the NPP government is corrupt,” the attorney-at-law alleged.
By Shamindra Ferdinando
News
PSTA worse than PTA: FSP
The Frontline Socialist Party (FSP) yesterday accused the government of seeking to use the proposed Protection of the State from Terrorism Act (PSTA) to suppress popular political activity, claiming that some of its provisions were more repressive than those of the Prevention of Terrorism Act (PTA).
FSP Education Secretary Pubudu Jayagoda told a media briefing, in Nugegoda, that the definition of terrorism in the Bill was so broad that it could be used to label almost any form of popular political activity as terrorism.
He said the Bill’s approach to defining terrorism was based largely on attempts to compel a government, or an international organisation, to do, or refrain from doing something, rather than on internationally recognised criteria, such as killings, causing serious bodily harm, kidnapping or acts intended to spread terror among the public.
Jayagoda also alleged that the Bill transferred substantial powers from the judiciary to the executive, while extending powers of arrest, investigation and detention to the armed forces, in addition to the police.
He claimed that the government had sought to portray the Bill as a replacement for the PTA while retaining or introducing provisions that could facilitate political victimisation and repression.
The FSP also questioned the government’s decision to proceed with the Bill, despite having previously sought public views on an earlier draft.
Jayagoda said a draft had been published earlier this year, with the period for public submissions ending on February 28, but the Bill subsequently gazetted was essentially the same draft with some provisions rearranged.
Jayagoda also referred to a letter reportedly sent by Attorney-at-Law Saliya Peiris, a member of a Committee, chaired by President’s Counsel Rienzie Arsecularatne, that had been appointed to draft the legislation. He said Peiris had stated, in the October 06 letter, that changes had been made to the draft prepared by the Committee.
“This means that even the Committee, appointed to prepare the Bill, was a deception,” Jayagoda alleged.
He said that the PSTA was fundamentally similar to the Anti-Terrorism Bill introduced by the previous government, in 2023, which the National People’s Power (NPP) opposed and challenged in court.
“If the NPP opposed that Bill then and is now bringing the same legislation before Parliament, the government must explain its position,” he said.
Jayagoda called on NPP MPs to oppose the PSTA in Parliament and urged trade unions and other groups to build a broad public movement against the legislation.
He challenged the government to an open debate on the Bill.
News
Shiranthi R remanded until 13 Oct.
Former First Lady Shiranthi Rajapaksa was yesterday remanded until 13 October after being produced before the Colombo Magistrate’s Court following her arrest by the Commission to Investigate Allegations of Bribery or Corruption (CIABOC).
Shiranthi, wife of former President Mahinda Rajapaksa, was arrested at her residence on Poorwarama Road, Kirulapone, after CIABOC officers recorded a statement from her for nearly two hours.
According to the CIABOC, the arrest was made over allegations that Rs. 10 million obtained from the National Savings Bank through the Siriliya Saviya organisation was misappropriated.
The money was allegedly obtained to provide a Computed Tomography (CT) scanner to the children’s hospital. Investigators allege that the scanner was not provided and that the funds were instead unlawfully used.
CIABOC is investigating alleged offences under the Public Property Act and corruption-related provisions in connection with the transaction and other financial activities involving Siriliya Saviya, which was headed by Rajapaksa.
Rajapaksa returned to Sri Lanka on Monday night on a flight from Malaysia after travelling overseas for medical treatment. She left for Singapore on 16 September after being admitted to a private hospital in Colombo on 15 September following an illness.
She had been due to appear before the Financial Crimes Investigation Division (FCID) on 13 October in connection with its investigation into the financial affairs of Siriliya Saviya.
Meanwhile, her lawyers filed an anticipatory bail application before the Maligakanda Magistrate’s Court on Monday, seeking an order preventing her arrest in connection with the FCID investigation.
News
Former NSB Chairman Kariyawasam granted bail
Former National Savings Bank (NSB) Chairman Pradeep Kariyawasam was yesterday granted bail by the Colombo Magistrate’s Court following his arrest by the Commission to Investigate Allegations of Bribery or Corruption (CIABOC).
Kariyawasam, husband of former Chief Justice Shirani Bandaranayake, was arrested in connection with the Bribery Commission’s investigation into the ‘Siriliya Saviya’ account linked to former First Lady Shiranthi Rajapaksa.
The investigation concerns financial activities involving the Siriliya Saviya initiative, which was headed by Rajapaksa, wife of former President Mahinda Rajapaksa.
CIABOC is continuing investigations into the alleged financial irregularities relating to the account.
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