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Midweek Review

Pre-and post-Aragalaya sugar tax scams and culpability of Finance Ministry

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Then Secretary to the Ministry of Finance S.R. Attygalle declared, at a hastily arranged media briefing on March 12, 2021, that the Treasury suffered revenue loss due to reduction of Special Commodity Levy (SCL) on sugar imports from Rs. 50 a kilo to 25 cents

The Supreme Court ruling delivered on Nov 14, 2023 dealt with the economic crisis and found fault with the then President Gotabaya Rajapaksa, Finance Ministers, Mahinda Rajapaksa and Basil Rajapaksa and others. But absolutely no action has been taken yet on the basis of the Supreme Court findings. Instead, Parliament continue with a Select Committee tasked with investigating causes for the financial bankruptcy. The Opposition has boycotted the Committee, headed by SLPP General Secretary and Attorney-at-Law Sagara Kariyawasam.

By Shamindra Ferdinando

Last week’s Midweek piece “Warning issued over proposed ‘Open Government Partnership’ action plan” (OGP action plan) dealt with the daunting challenge in addressing improvement of public services, prevention of bribery and corruption, proper management of public resources, ways and means of addressing basic requirement of vulnerable communities and the management of state and privately funded projects at national and provincial level.

The decision on the part of President Ranil Wickremesinghe to place the high profile project under the Additional Secretary to the President at the Presidential Secretariat Chandima Wickramasinghe underscored the importance the UNP leader attached to the initiative. Sri Lanka is in the process of preparing a third OGP action plan which is expected to be submitted to the Cabinet-of-Ministers by no less a person than President Ranil Wickremesinghe. As the National Focal point for the OGP, Chandima Wickramasinghe is spearheading the effort.

Against that background, let me discuss the sugar scams perpetrated in Oct 2019 and Nov 2023 and the continuing failure on the part of Parliament to compel the Finance Ministry to take action at least in respect of the first scam. If the Wickremesinghe-Rajapaksa government is genuinely interested in addressing bribery and corruption, it needs to act on such mega corrupt deals without further delay. Those who have been tasked with preparing the OGP action plan should examine the sugar scams as they could help them to realize the daunting challenges ahead from within the government.

Mahinda Rajapaksa served as the Finance Minister at the time of the first sugar scam, whereas the second fraud took place under incumbent President and Finance Minister Wickremesinghe’s watch.

Unless the incumbent government is prepared to tackle waste, corruption, irregularities and mismanagement in line with OGP action plan, it shouldn’t squander time and energy thinking it can again hoodwink the masses with the latest OGP project. The government should bear in mind that the first and the second OGP projects flopped.

The Yahapalana government (2015-2019) and the Gotabaya Rajapaksa administration (2019-July 2022) should be held responsible for the collapse of OGP initiatives and the declaration of bankruptcy in April 2022.

High-handed tax fraud

In spite of the Committee on Public Finance (CoPF) relentlessly pressing the Finance Ministry and the Inland Revenue Department (IRD) over the inordinate delay in recovering the losses caused by the first sugar scam, the powers that be continued to hold up the process. Obviously overthrowing President Gotabaya Rajapaksa in July 2022 hasn’t resulted in speeding up of the process.

CoPF, under the chairmanship of Dr. Harsha de Silva, censured the Finance Ministry and IRD over their pathetic failure to recover the losses in terms of the findings made by Auditor General W.P.C. Wickremaratne. Senior representatives of the Finance Ministry and IRD appeared before CoPF on Aug 16. Among those who had been present at the proceedings were SLPP MP Chandima Weerakkody (now aligned with the main Opposition Samagi Jana Balawegaya), SLPP MP Duminda Dissanayake (SLFPer elected on the SLPP ticket), SLPP MP U.K. Sumith Udukumbura and SLPP MP Madura Vithanage.

CoPF flayed the Finance Ministry for turning a blind eye to sordid operations carried out by sugar importers who thrived at the expense of hapless consumers. The SJB should demand an explanation from President Wickremesinghe, as well as State Finance Ministers Ranjith Siyambalapitiya and Shehan Semasinghe, both elected on the SLPP, and members of the government parliamentary group at the time Gotabaya Rajapaksa’s government perpetrated the first sugar scam.

Then Finance Minister Mahinda Rajapaksa issued a gazette, dated Oct 13, 2020, in respect of the import of white sugar. The twice former President brought down the import tax (Special Commodity Levy/SCL) from Rs.50 to 25 cents (per kg).

It would be pertinent to mention that the then Trade Minister Bandula Gunawardena is on record as having said that he was never consulted on the Oct 13, 2020 gazette. S.R. Attygalle served as Secretary to the Treasury, whereas intervention made by then Presidential Secretary Dr. P.B. Jayasundera, to facilitate the scam, is in the public domain.

Anura Priyadarshana Yapa, MP, in his capacity as Chairman, CoPF, in early 2021, declared that the consumers hadn’t benefited at all from the sharp reduction of the SCL. The Gotabaya Rajapaksa government ignored the CoPF chief’s assertion. The government absolutely paid no attention to a special report issued by the National Audit Office regarding the sugar tax scam. The report asked the government to recover the losses from importers who made massive profits, thanks to the massive slashing of the sugar import tax.

According to the special audit, within four months after the reduction of the tax (14th October 2020 to 8th February 2021) the cash-strapped government was deprived of tax revenue to the tune of a whopping Rs. 16.763 bn. During the same period some of the stock had also been dumped on Sathosa above the cleared price and that resulted in a loss of Rs. 102 mn to the state enterprise.

The audit revealed that one of the major sugar importers Pyramid Wilmar recorded a colossal profit of some 1,222%.

The Human Rights Commission, on April 18, 2022, amidst growing unrest, urged Gotabaya Rajapaksa’s government to immediately implement the Auditor General’s recommendation.

The then Commission’s chairperson and retired Supreme Court Justice Rohini Marasinghe stressed in a statement: “… the arbitrary and unreasonable use of state power affects the economic, social and cultural rights of citizens.” The government simply ignored that warning, too.

In addition to the Finance Ministry and the IRD, lawmaker Patali Champika Ranawaka, in his capacity as Chairman of the House Ways and Means Committee, has strongly questioned the Attorney General’s Department’s response to the sugar scams. However, MP Ranawaka’s criticism should be examined, also taking into consideration the second sugar scam perpetrated by the incumbent government in the first week of last November.

Dr. de Silva, at the conclusion of the January 16 proceedings, had asked the IRD to submit a report as to why the monies owed by major sugar importers couldn’t be collected.

The failure on the part of responsible authorities to reach a consensus on a specific plan to deal with tax frauds remains a major problem.

Let me stress that the real issue is the circumstances under which the Finance Ministry issued the relevant gazette notification, dated Oct 13, 2020, pertaining to the reduction of the sugar tax. The Auditor General’s report conveniently failed to inquire into that aspect. If the AG quite rightly asserted that sugar importers benefited from the issuance of that particular gazette, it would be the responsibility of the government to investigate the possible collusion between the importers and the Cabinet-of-Ministers, who obviously leaked that information to them in advance and thereby helped them to import vast quantities if sugar at 25 cents a kilo tax and then made a killing when the tax was raised overnight to Rs 50 per kg.

Manusha on second sugar scam

The Wickremesinghe-Rajapaksa government made a desperate bid to dismiss accusations regarding the second sugar fraud that captured media attention in the run-up to the presentation of Budget 2024.

In the second scam, sugar consignments had been cleared just before the government increased the tax from 25 cents per kg of sugar to Rs 50 from midnight Nov 1.

President Ranil Wickremesinghe’s Director General on Trade unions Saman Ratnapriya during his regular media briefing at Lake House denied what he called the Opposition’s unsubstantiated claim that sugar importers had benefited from the latest increase in sugar tax.

The writer who had been there to cover the media briefing and sought an explanation from former UNP National List MP Ratnapriya regarding Labour and Foreign Employment Minister Manusha Nanayakkara’s accusation that sugar importers benefited from what he called inside information.

SJB Galle District MP Nanayakkara who switched allegiance to the then Premier Ranil Wickremesinghe and reiterated the commitment to President Wickremesinghe and found fault with the Customs.

Minister Nanayakkara declared that he wouldn’t remain silent regarding the latest scam as he raised his voice against the one perpetrated during the previous administration.

However, the lawmaker hadn’t commented on the second scam since his initial observation issued by way of a statement released by the Labour and Foreign Employment Ministry on Nov 07, 2023. Claiming that only Customs had been aware of the impending revision of tax, lawmaker Nanayakkara called for an investigation to ascertain how sugar importers received that information even before the Cabinet-of-Ministers was made aware of the move.

Minister Nanayakkara shouldn’t forget that the issuance of the relevant gazette notification is the responsibility of the Finance Ministry and certainly not the Customs which comes under the former.

CoPF and Auditor General should also inquire into the second scam. Authorities haven’t inquired into lawmaker Nanayakkara’s claim made in his capacity as a member of the current Cabinet. In his statement, MP Nanayakkara cleared the Cabinet, but the Cabinet-of-Ministers cannot absolve itself of the responsibility for leaking of such sensitive information at a time the country is yet struggling to overcome a state of bankruptcy.

The most obvious conclusion we can reach is that the latest scam was allowed in order to build a war chest for the present government to fight the next election. And the previous one was to pay off someone who financed the SLPP’s last polls campaign. All these happen as international lenders, like the IMF, blow lots of hot air about how keen they are in fighting corruption, while allowing such daylight robberies to continue which only results in the poor and even middle class Sri Lankans going without meals! What a way to tighten our belts IMF?

The team tasked with preparing the OGP action plan under any circumstances cannot be blind to continuing corruption at every level. Those tasked with the job involving the Presidential Secretariat, Transparency International Sri Lanka and Sarvodaya have to consider the current economic status, especially against the backdrop of the historic and unprecedented Supreme Court ruling in respect of the economic ruination.

Preparation of a report acceptable to the OGP community would pose quite a challenge as the country is down on its knees before the International Monetary Fund (IMF) for the 17th occasion.

The current crisis could have been averted if the Gotabaya Rajapaksa government sought the IMF intervention earlier, as experts have claimed. But, ironically, instead, the then government, soon after the 2019 presidential election, declared an unparalleled tax cut that deprived the Treasury of a staggering Rs 600 bn in much needed revenue, on top of the body blow the country received, especially to its lucrative tourism industry from the devastating Easter Sunday terror attacks, which even targeted important tourist hotels. To make matters worse, we were struck by the COVID pandemic that also paralysed much of the world, never before experienced in our living memory.

The Supreme Court ruling that was delivered on Nov 14, 2023 dealt with the issue and found fault with the then President Gotabaya Rajapaksa, Finance Ministers, Mahinda Rajapaksa and Basil Rajapaksa and others. But absolutely no action has been taken yet on the basis of the Supreme Court findings. Instead, Parliament continue with a Select Committee tasked with investigating causes for the financial bankruptcy. The Opposition has boycotted the Committee, headed by SLPP General Secretary and Attorney-at-Law Sagara Kariyawasam.

Former COPE Chairman Prof. Charitha Herath who promised in last July to release a comprehensive report on the economic crisis within three months is yet to do so (https://island.lk/probe-into-countrys-bankruptcy-ex-cope-chief-going-ahead-with-own-inquiry/). Whatever the outcome of the parliamentary probe, conducted by the SLPP and dissident SLPPer’s report, the OGP should go by the Supreme Court ruling. The possibility of attempts at different versions to suit political agendas in an election year cannot be ruled out.

A govt. in dilemma

The post-Supreme Court ruling scenario cannot be discussed without taking into consideration the continuing alliance between President Wickremesinghe and the SLPP. The latest to declare his support for the incumbent President is Chief Government Whip Prasanna Ranatunga, the SLPP’s Gampaha District strongman.

With an influential section of the SLPP openly backing Wickremesinghe’s candidature at the next presidential election, scheduled for later this year, the UNP leader seemed to have secured the backing of a sizable group of government group members. Of course of the SLPP MPs, Gampaha District lawmaker Nimal Lanza is the first to throw his weight behind the UNP leader at an early stage of the Wickremesinghe presidency.

OGP Research Officer Christina Socci, in an article titled ‘Reform Space to Watch: Strengthening Governance in Sri Lanka,’ posted on Dec 12, 2023, dealt with the situation and developments here. Socci, formerly of the National Democratic Institute (NDI) and the UN Project Office on Governance, emphasized the responsibility on the part of the government to adopt and implement new policies to promote integrity, eliminate corruption and corruption vulnerabilities. Socci quite rightly declared that in the wake of President Gotabaya Rajapaksa’s ouster (she called it people’s uprising) the executive, the legislature and judiciary were coming under increasing pressure to adopt far reaching reforms at all levels (https://www.opengovpartnership.org/stories/reforms-to-watch-2023-strengthening-governance-in-sri-lanka/)

The crux of the matter is can Sri Lanka restore public faith in a system brazenly abused, exploited and used by political parties currently in Parliament. In fact, the Parliament has been accused of enacting several laws which were actually detrimental to the country. There cannot be a better example than the enactment of the Foreign Exchange Act No 12 of 2017 by the Yahapalana administration that severely weakened regulatory powers. That law was brought in place of the time-tested Foreign Exchange Control Act No 24 of 1953 (https://island.lk/abolition-of-time-tested-exchange-control-act-in-terms-of-rti-act-house-releases- names-of-mps-who-voted-for-new-law/)

The then UNP parliamentary group voted for that destructive law. Some of those who voted for that law now function as members of the SJB. Regardless of the breaking up of the UNP ahead of the 2020 general election in 2020 those who voted for Foreign Exchange Act No 12 of 2017, too, should be held accountable for the current crisis.

All political parties need to review their strategies and policies. Perhaps the OGP action plan can sort of guide political parties.

While appreciating the OGP project, it must be pointed out that even after the declaration of bankruptcy political parties represented in Parliament are yet to agree on a tangible action plan to curb rampant waste, corruption, irregularities and mismanagement. The allegations made against President Gotabaya Rajapaksa’s Cabinet in a fundamental rights petition filed by three of his ministers, Vasudeva Nanayakkara, Wimal Weerawansa and Udaya Gammanpila in respect of the controversial Yugadanavi agreement signed in Sept 2021 should have promoted genuine examination of the immoral system in place. Instead, President Gotabaya Rajapaksa sacked Weerawansa and Gammanpila in early March 2022.

Three weeks later public protests, backed by the US, erupted and by July 2022 the man who handsomely won the presidential poll was out and Wickremesinghe, discarded at the parliamentary polls, took over the presidency. The rest is history. But, the UNP leader, regardless of the criticism of the way he secured the executive office, brought the situation under control swiftly.

The ongoing controversy over Sri Lanka Cricket (SLC), based on damning disclosures made by the National Audit Office (NAO) in its report on Sri Lanka’s tour of Australia for the T20 World Cup (Oct. 09-Nov.13), in 2022. The Wickremesinghe-Rajapaksa government’s reaction to that report revealed the pathetic state of affairs – instead of taking action, the political leadership unceremoniously sacked Sports Minister Roshan Ranasinghe and brought the Ministry under Harin Fernando, MP. Having entered Parliament on the SJB National List, Fernando served as Tourism and Lands Minister when he was also sworn in as Sports and Youth Affairs Minister on Nov 27, 2023 by President Wickremesinghe.

Opposition accusations directed at the Chairman of Committee on Public Enterprises (COPE) Prof. Ranjith Bandara (SLPP National List) as regards his alleged attempts to shield the SLC underscored the responsibility on the part of the government and Parliament to restore public confidence in the parliamentary system. Sri Lanka is in such a precarious state, political parties represented in Parliament are no longer in a position to hoodwink the public. President Gotabaya Rajapaksa’s fate proved beyond doubt that cosmetic political, economic and social reforms won’t end developing instability caused by the executive, legislature and the judiciary to a certain extent.



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Midweek Review

Impact of US policy shift on Sri Lanka

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Early honeymoon period after mission accomplished with toppling of President Gotabaya Rajapaksa. Julie Chung shares a light moment with Ranil Wickremesinghe during a three-day visit to Nuwara Eliya and Ella in early July 2023. Ella Odyssey was part of Sri Lanka’s commemoration of 75 years of independence. Colombo-based foreign heads of missions and nine heads of mission, based in New Delhi, joined the journey (pic courtesy PMD)

President Trump has unceremoniously overturned US foreign policy. His decision to deport illegal Indian migrants just ahead of a summit with Premier Narendra Modi, underscored the tough stance taken by the new US admiration. The much-touted US-India strategic partnership didn’t deter Trump from carrying out the much-publicized humiliating deportations of Indians. US Vice President J.D. Vance’s speech at the Munich Security Conference, recently, indicated that Trump has terminated his special relationship with Europe and is charting his own course. The upcoming Trump and Russian leader Putin’s meeting stressed that the US policy wouldn’t be shaped by European concerns over Russia. Against that background, the US is very much unlikely to pursue the Biden policy as regards bankrupt Sri Lanka. Actually, Sri Lanka’s political leadership will have to do some serious thinking and re-examining our position as Trump redraws US foreign policy.

By Shamindra Ferdinando

Since the successful conclusion of the war in mid-May 2009, despite all the naysayers, and even the likes of the then British Foreign Secretary David Milliband and French Foreign Minister Bernard Kouchner, rushing here at the eleventh hour with the hope of getting President Mahinda Rajapaksa to halt the offensive to enable them to evacuate the LTTE supremo, his family and their surviving fanatical terrorist band to safety abroad, the US appointed five Ambassadors to Colombo. Of them four were women, namely Patricia A. Butenis, Michele J. Sison, Alaina B. Teplitz and incumbent Julie J. Chung. Between the tenures of Sison and Teplitz, the only male Atul Keshap, of Indian origin, served here for a period of four years (Aug. 2015-July 2018) during the Yahapalana administration.

Ambassador Chung oversaw President Gotabaya Rajapaksa’s forced ouster in 2022. In spite of her denial, Amb. Chung’s role in President Rajapaksa’s removal is clear and cannot be disputed. Amb. Chung will soon be replaced by Elizabeth Kathryn Horst, currently the Principal Deputy Assistant Secretary and Deputy Assistant Secretary responsible for Pakistan, yet another country in which Washington is mired in regime change operations in the region.

Amb. Chung presented her credentials on Feb. 25, 2022, to President Rajapaksa, at the Janadhipathi Mandiraya. The President was flanked by State Foreign Minister Tharaka Balasuriya and Presidential Secretary Gamini Senarath. The new US envoy took office close on the heels of a major crisis within the government that compelled the President to ask for his Secretary Dr. P.B. Jayasundera’s resignation. Just five weeks after Amb. Chung took over the mission, the ‘GotaGoHome’ campaign got underway and a President, elected with over 6.9 mn votes on the SLPP ticket, was thrown out of office within four and half months by violent mobs armed with meticulous intelligence as to which politicians’ houses were to be ransacked and torched, along with those of their close supporters in a matter of a few hours, especially on May 09, 2022. Exactly two months later they completed their despicable mission by storming the Presidential palace.

The SLPP, both in and outside Parliament, accused Amb. Chung of staging the ouster of President Gotabaya Rajapaksa. Award-winning author Sena Thoradeniya (Galle Face Protest: System Change or Anarchy) and (Nine: The Hidden Story) by National Freedom Front (NFF) leader Wimal Weerawansa, MP, dealt with Amb. Chung’s sordid involvement.

However, the writer believes that the whole exercise should be examined as another arrogant US intrusion rather than Amb. Chung’s private agenda. Her job was to do the bidding of Washington. Let me stress that the US made a serious but an abortive attempt to bring President Mahinda Rajapaksa’s reign to an end in 2010. Thanks to Wikileaks we know how the US used a UNP-led coalition, that included the wartime LTTE ally the Tamil National Alliance (TNA), and the JVP, to back retired General Sarath Fonseka at the presidential election. That gamble failed. The war-winning Army Chief ended up with egg on his face with an unforgettable thrashing from the overwhelming southern electorate.

Eyebrows were raised when the outgoing American envoy recently expressed her desire to meet Sri Lanka Podujana Peramuna (SLPP) leaders at the Nelum Mawatha party office as she never bothered to do so since her arrival in early 2022.

Contrary to speculation, the outgoing US Ambassador had sought a meeting about two weeks ago before the unprecedented public exposure about the USAID’s (United States Agency for International Agency) sinister operations here and worldwide in the wake of the new US administration deciding to curtail drastically its operations for being a white elephant as America itself is being confronted with a fast developing and yet to be fully fathomed economic crisis, which might even exceed the worldwide Great Depression that came with the 1929 stock market crash. On her arrival at Nelum Mawatha last Friday (14) Amb. Chung was received by SLPP General Secretary and Attorney-at-Law Prasad Kariyawasam. The SLPP delegation was led by its National Organizer Namal Rajapaksa and one of the three lawmakers in the current Parliament. Having accused her of being in the thick of the regime change, the SLPP’s readiness to meet Amb. Chung, too, is a mystery.

It would be pertinent to briefly explain the USAID’s global objectives as the vast majority wrongly believed the agency is meant for humanitarian work. It is definitely not a charity. Its main objective is to strengthen capabilities of US agents, or assets, at local and regional levels regardless of the status of Washington’s relationship with the targeted country.

These agents, or assets, are available for the US at any time as Washington desired. Pentagon, the State Department or even the Central Intelligence Agency (CIA) used its resources under whatever circumstances. If we closely examine the pattern of USAID operations, as well as other related organizations that had been active here over a period of time, even our legislature is within the sphere of their influence. In other words, they obviously have direct access to politicians and officials who wield power over key institutions. The private sector, too, became part of the US operation carefully expanded countrywide.

By the time Amb. Chung arrived here. US assets were in place at different levels ready to carry out directives. Those who pointed a finger at Amb. Chung never bothered to examine the background and comprehend the gradual build-up that allowed the gathering of all elements, under the social media fuelled ‘GotaGohome’ campaign.

The US mission here had done a tremendous amount of work, especially beginning with the Amb, Keshap’s time, to enhance the capacities of their existing assets and identify and develop new assets.

What really prompted Amb. Chung to suddenly seek a meeting with the SLPP? Did National List MP Namal Rajapaksa’s call for the setting up of a Parliamentary Select Committee (PSC) to probe USAID funding, influence her decision? But that cannot be as the US Embassy made the request before the USAID controversy. Perhaps, SLPP General Secretary Kariyawasam expressed concern over Amb. Chung’s frequent visits to the JVP headquarters at Pelawatte, whereas she ignored the SLPP.

Appearing on a live television programme, Kariyawasam pointed out that Amb. Chung had plenty of time for the JVP, a party with just three MPs, while the SLPP, in spite of being represented by 145 MPs, never received the US envoy’s attention.

Perhaps Amb. Chung didn’t really feel the requirement to visit Nelum Mawatha as she maintained a close contact with the SLPP founder Basil Rajapaksa.

Ambiguity over objectives

It would be pertinent to ask both the sponsors and recipients whether various foreign-funded projects achieved their objectives.

The following are some of the USAID-funded projects launched, beginning 2017: [1] USD 19 mn social cohesion and reconciliation project implemented by Global Communities (July 2018-Dec, 2023) [2] Analysis of social cohesion and reconciliation implemented by US Institute of Peace at a cost of USD 700,000 (Aug. 2018-Feb. 2024) [3] USD 15 mn project implemented by Chemonics International Inc. to strengthen the justice sector, including the Justice Ministry and Office of Attorney General (Sept. 2021-Sept. 2026) [4] USD 17 mn project carried out by National Democratic Institute, International Republican Institute and International Foundation for Electoral System in support of Parliament and other government institutions, including the Election Commission (June 2020 – June 2024) [5] USD 14 mn worth project in support of civil society meant to achieve good governance reforms and strengthen accountability. Implemented by Management Systems International (Feb. 2018-Aug. 2024) [6] USD 7.9 mn scheme to strengthen media implemented by International Research and Exchanges Board Inc. (Aug. 2017-April 2023) [7] SAFE Foundation implemented a programme at a cost of USD 3.9 mn aimed at combating human trafficking (Oct. 2021-Sept. 2026) [8] USD 1.6 mn project to enhance protection for those threatened by gender-based violence (Oct. 2021-Sept. 2026). Implementing agency Women-in-Need [9] USD 3.6 mn project for the benefit of plantation community implemented by Institute of Social Development (June 2022-June 2027) and [10] a staggering USD 19 mn project meant to strengthen the civil society by unnamed private agencies (Sept. 2022-August 2027).

Interestingly, high profile USAID operations implemented in collaboration with successive governemnts covered the Justice sector (Justice Ministry and Office of Attorney General), Parliament as well as the Election Commission.

Over the years USAID with a massive budget that even exceeded the CIA’s and allied organizations have built up a system that served the interests of the US. That is the truth. Sri Lanka has cooperated not only with the US but other organizations, such as the UNDP, to allow them influence in Parliament. The USAID and UNDP have ‘secured’ Parliament by lavishly spending funds on various projects. In spite of spending millions in USD with the 2016 agreement between Parliament and USAID being the single largest project, what they have achieved here is nothing but a mystery.

Successive governments have encouraged USAID, UNDP and other interventions. They felt happy as external sources provided the funding. Let me give an example of how the UNDP stepped-in for want of sufficient public funding for vital government initiatives. Sometimes, they advanced their political project in the guise of helping the government of the day.

On May 13, 2021, the then Attorney General Dappula de Livera, PC, opened the USAID funded state-of-the-training facility that included a boardroom, auditorium, computer laboratory, and other facilities. The outspoken AG also launched an electronic system to track cases and legal files. The launch of the training facility, electronic diary and file management system, and the Attorney General’s Department website were also attended by Supreme Court Judge Justice Yasantha Kodagoda P.C., Acting Solicitor General Sanjay Rajaratnam P.C., the Secretary of the Ministry of Justice M.M.P.K. Mayadunne, and virtually by DCM Kelly and USAID Mission Director Reed Aeschliman.

The US Embassy, in a statement issued on that quoted AG Livera as having said: “This is another first in the 136-year history of the Attorney General’s Department. The opening of the training centre is a notable, salutary achievement that meets a long-felt need for continuous learning and professional development.” The AG was further quoted as having said these new tools would “drive the institution from strength to strength.”

If such facilities were so important why on earth the Attorney General’s Department failed to take tangible measures to meet that particular requirement.

Those who demand investigations into USAID must realize that their role is much more complicated than alleged and reported in some sections of the media. Among the beneficiaries were the Sri Lanka Judges’ Institute.

American Corner in Jaffna

The US Embassy established an American Corner in Jaffna with the collaboration of Jaffna Social Action Centre (JSAC), an NGO that particularly promoted women and children rights. Formed in 2003 in the North as the Liberation Tigers of Tamil Eelam (LTTE) was preparing to launch Eelam War IV, JSAC, over the years, developed into a recipient of US funding. JSAC is among the groups promoting LGBTQ in the Northern and Eastern Provinces. JSAC annually participates in the much-touted 16 Days of Activism Against Gender Based Violence campaign. The then US Ambassador Butenis attended the opening of the American Corner. JSAC, in its website, has revealed an impressive list of partners and donors.

Perhaps JSAC should explain how it served the interests of ordinary people, especially during the 2003-2009 period when the LTTE stepped up forcible recruitment of children, including girls. Forced conscription continued unabated as the military slowly but steadily rolled back the LTTE fighting formations, towards the east coast, until they were trapped in a sliver of land in the Mullaitivu district.

Sri Lanka should be grateful for US assistance over the past decades. The ordinary people benefited from such help but later Washington weaponized the setup as various interested parties queued up to secure lucrative contracts.

Amb, Chung, in late Sept. 2022, moved the American Centre in Colombo, that had been in existence for over seven decades, to the new US Embassy building. This was a couple of months after Aragalaya (March – July 2022) forced Gotabaya Rajapaksa out of office. The American Centre in Colombo had been first located at the Millers Building in Colombo, then at Galle Face Court, followed by Flower Road, before moving to the Sri Ramya at 44, Galle Road.

The American Corner in Kandy was established in 2004. In addition to Jaffna, Colombo and Kandy, there are similar facilities in Matara and Batticaloa.

The recent declaration by Bharatiya Janata Party MP Nishikant Dubey, in the Indian Parliament, that the USAID had been funding organisations with a view to creating unrest cannot be ignored. The BJP’s declaration underscored the gravity of the situation. Those who discarded repeated accusations by National Freedom Front (NFF) leader Wimal Weerawansa as regards US interventions here must take a fresh look at the developments taking place since Donald Trump’s return for a second term.

Dubey alleged the USAID funded organizations that carried out protests against the Agniveer initiative of the government, backed caste census, and supported Naxalism in India.

On behalf of the BJP, Dubey asked for a probe into whether Congress and the Gandhi family-controlled Rajiv Gandhi Foundation had received USAID funds through George Soros’ Open Society Foundations (OSF) for conducting activities, including the campaign for a caste census and against the Agniveer scheme introduced by the government. The MP claimed OSF received ₹5,000 crores from USAID to “break up India”. He raised the issue during zero hour.

The BJP MP’s accusations seemed somewhat surprising as India, under Narendra Modi’s leadership, established close relations with Washington and is a member of the four-country Quad, comprising the US, Australia, Japan and India meant to counter Chinese expansion.

Why subvert India? Is the question in everybody’s mind? President Trump, during a joint press conference with Premier Modi, speculated about the possibility of USAID role in the Lok Sabha elections last year. Perhaps Trump is playing politics even at the expense of the US as he sought to dismantle USAID.

The Trump administration has imposed a global stop-work directive on USAID, suspending most aid initiatives, except for critical food relief programmes.

However, India, too, had been blamed for interfering in internal affairs of other countries. Recently Canada alleged that India intervened in its electoral process. Canada named China as the other offender. India has strongly refuted the Canadian allegation. It would be pertinent to mention that Canada had been playing politics with Sri Lanka for many years as major political parties sought to exploit the post-war developments for their advantage. New Delhi also accuses Canada of encouraging Khalistan separatists operating from there.

Canadian Parliament, in May 2022, unanimously declared that Sri Lanka perpetrated genocide in a bid to appease Canadian voters of Sri Lanka origin.

The expansion of the USAID project here should be examined against the backdrop of Geneva adopting a US accountability resolution, co-sponsored by the treacherous Sirisena-Wickremesinghe government in 2015. The US backed Sirisena’s candidature at the 2015 presidential election. That was in line with their overall strategy to end the Rajapaksas rule, perceived to be China-friendly. The US funded the 2015 UNP-led campaign that involved the TNA and JVP as well. A group of civil society groups, led by the National Movement for Social Justice (NMSJ), backed Sirisena’s candidature, who switched sides at the last moment having been in the Rajapaksas camp throughout his political career and it was done after having a hopper feed with them the previous night.

Having betrayed his own party in 2014, Sirisena has ended up politically irrelevant. That is the price the one-time SLFP General Secretary had to pay for switching sides for personal gain. The former President is most unlikely to get an opportunity to re-enter Parliament ever again.

The NPP will have to be cautious how it handles the situation against the backdrop of developing political and economic upheaval in Washington as we may have never seen hitherto. The way the new administration addressed much more complicated issues, such as the Russia-Ukraine war in a manner seriously inimical to the European powers and pullout from the Geneva-based UNHRC and WHO meant that Trump has already turned US foreign policy upside down.

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Midweek Review

Revisiting Humanism in Education:

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Tagore

Insights from Tagore – III

by Panduka Karunanayake

Professor in the Department of Clinical Medicineand former Director, Staff Development Centre,

University of Colombo

The 34th J.E. Jayasuriya Memorial Lecture

14 February 2025

SLFI Auditorium, Colombo

(Continued from18 Feb.)

Tagore had an important answer to the question of whether the economic or the political should enjoy the primacy of place, in designing educational policy. He said: “Economic life covers the whole base of society, because its necessities are simplest and the most universal. Educational institutions, in order to obtain the fullness of truth, must have close association with this economic life.”

Sometimes I have difficulty understanding why Tagore, in spite of his appreciation of science and disdain for superstition, still lavishly exalted his traditional dieties and the scriptures. I think he did so because he saw a remarkable practical utility in them for the organisation of society and because they carried innumerable lessons for human conduct – for which science and technology, or even modern administration, had not yet furnished any suitable alternative.

Besides, it is clear that he admired religion’s potential to bring peoples together. In The Religion of Man, he wrote: “On the surface of our being we have the ever-changing phases of the individual self, but in the depth there dwells the Eternal Spirit of human unity beyond our direct knowledge.” But of course, religion seldom brought humanity together. And whenever it played the divisive role, he did not blindly follow its precepts.

The stickiest issue in India for the modern philosopher is probably its caste system, and Tagore had no qualms about repudiating it:

“…differentiation and separation of vocations and trades, professions and callings on which the caste system originally rested has become totally extinct and it is altogether impossible to maintain it any longer. Yet all the taboos, external restrictions and customs associated with the varna system are still in place, static and intact. It seems we must put up with the cage with all its iron bars and fetters though the bird for which it was made is dead and gone. We provide bird feed every day but no bird feeds on it. In this way, due to the cleavage between our social life and social customs, we are not only being inhibited and obstructed by unnecessary, outmoded arrangements, we cannot live up to our professed social ideals, either.”

Prof. Carlo Fonseka / Dr. Abrahm T. Kovoor

I wish that for our country, we could replace the phrase ‘caste system’ with our own ‘outmoded arrangements’ – such as astrology, superstitious rituals and harmful so-called healing practices – and carefully re-read that quote. Sadly, our populace is filled with superstition, myth and pseudoscience – as a cursory glance at the supplements of any weekend Sinhala newspaper would show. Here, the high literacy rate actually works against the nation! Our public intellectuals must also take the blame, because they have failed to sustain the good work that had been done in the 1970s by intellectuals like Dr E.W. Adikaram, Abraham Kovoor and Professor Carlo Fonseka.

Another interesting point in his ideas is his desire to see education as a tool for everyone, not just the educated few. Reminding us on ancient Indian education and learning, he said:

“There was a regular traffic between specialised knowledge and ordinary knowledge. Scholars, pundits or learned society did not have an antithetical relationship with the less learned segments of society…There was hardly a place in the country where the Ramayana, the Mahabharata, the Puranic myths and religious discourse did not spread in a variety of ways. Even the theoretical philosophical issues which were rigorously, relentlessly discussed and debated in philosophy and metaphysics always filtered down to the mind of the people…In those days learning was the asset of the entire society and not the acquisition of the learned few.”

In our own country, in contrast, I wonder whether expanded access to education has had a similar effect. In spite of decades of education in swabhasha and wide access to education, knowledge is a tool of separation, seclusion and self-aggrandisement for the few who win the lottery. Is this the fault of the education or the educated? Perhaps both. The educated use their learning as a weapon rather than as a tool to serve, a manifestation of the fierce competitiveness and the fixed mindset that pervades the successful products of our education. At the same time, as Tagore pointed out, it is the fault of education too:

“The rains of our education are falling a long distance away from where the roots of our whole life lie…Our ordinary daily life has no use for the education we acquire…It is unjust to blame this on students. Their world of books and the world in which they live everyday are poles apart…That is why it is seen that the same person who has formidable erudition in European philosophy, science and ethics tenaciously clings to the age old superstitions…We are no more amazed when we see that on the one hand he is separately enjoying literature full of varied sentiments while on the other he is busy only with making money…”

These are a few fundamentals that can be gleaned from Tagore’s second phase. They aren’t many, and perhaps they aren’t as earth-shattering as one might expect. But I feel that they are exactly what we are lacking today and prevent education from playing a nation-building role. If we can get these right, we actually need to get very little else right.

Phase 3: ‘Freedom from bondage’

Tagore’s role and position as an unrepentant internationalist at the time when India was demanding swaraj is well known. He was opposed to nationalism, and in fact correctly identified colonialism itself as a manifestation of the nationalism of the British – so he asked, if one were anti-colonialist, how could one be nationalist also?

But his internationalism was not a rootless existence floating aimlessly in the air. He was clear that one must be rooted in one’s own soil, strongly and firmly – it is from here that one must reach out to the wealth of the world. In another beautiful simile, he urged us not to fear the wind, and to open the windows of our house to let that wind in. He would assure us that we would be able to retain the good that the wind blew in and get rid of the bad. He also said that as long as our house had a firm foundation, the wind will not blow it away. So for him, the first step of being an internationalist is studying one’s own soil and placing a firm foundation for one’s existence. He admired and studied tradition without being a traditionalist.

With regard to Indian universities of his day, he lamented the fact that these were European grafts and nothing like India’s ancient intellectual heritage, such as Nalanda, Wikramshila or Takshasila. He lamented the type of intellectual this would produce. He wrote in 1932:

“We receive European learning as something static and immutable and consider it the height of modernity to cull and recite sentences from it. For this reason we lack the courage to reconsider it or think about it from a new angle. Our universities have nothing to do with and are cut off from the acute questions, dire necessities and extreme hardship facing the people of the country…Like parasites our mind, attached to text books, has lost its ability to find its food and invent by itself.”

These words seem no less relevant to our own universities, 90 years after they were written.

Tagore’s belief in internationalism and its effect on his philosophy of education is captured by his description of Visva-Bharati, the higher education institute he set up in 1921 using the Nobel Prize money: “Visva-Bharati represents India where she has her wealth of mind which is for all. Visva-Bharati acknowledges India’s obligation to offer to others the hospitality of her best culture and India’s right to accept from others their best.”

Conclusion

Prof. J. E. Jayasuriya / Dr. E. W. Adhikaram

Ladies and Gentlemen: I am afraid time would not permit me to cover the whole breadth of Rabindranath Tagore’s complete educational philosophy, and I wouldn’t even pretend to cover it in depth. For example, I didn’t touch on other important aspects that Tagore spoke of, such as school administration, advice for teachers, maintaining discipline without corporeal punishment, carrying out research and promoting creativity, women and education and so on. Forgive me for only scratching the surface. But the topic of Tagore’s educational philosophy is so vast that nothing wider would be possible in a short time.

You will also note that my talk was not filled with anecdotes of incidents and peculiarities at Santiniketan – like how classes were conducted under trees or how the gurudev once conducted a class in the rain for cattle when the students didn’t want to come out and get wet. These are not the timeless substance of the tale; they are only its time-sensitive ornaments.

If, on the other hand, I have been able to whet your appetite for his educational philosophy, and also convinced you that he had patiently worked on and presciently invented an antidote to today’s problems of education, I would be content for now. Balance was his antidote. My goal this evening was to place the seeds of his ideas in your minds, and hope that they will grow, be nourished and be pruned and manicured into a contextually appropriate shape in the months or years to come.

Selected bibliography

Dasgupta, U. (2013). Rabindranath Tagore: A Biography. Oxford University Press. (Translated by hiisß ckl l=udr- mßj¾;l (2024).rúkaøkd;a ;df.da¾-udkj ksoyi iy úúO;ajh kqf.af.dv iriú m%ldYlfhdaව)

Dore, R. (1976). The Diploma Disease: Education, Qualification and Development. London: George Allen & Unwin (republished in 1977 by Institute of Education, University of London).

Gunasekara, P. (2013). moaud .=Kfialr – kkaofiak .%duSh wOHdmk l%uh^1932-1939) lkakka.r;=udf.a wu;l l< fkdyels w;ayod ne,Sula fld<U iQßh m%ldYlfhda: කන්නunasekara, S.P. (2012). iuka mqIamd .=Kfialrම(2012). rúkaøkd;a ;df.da¾ fld<U tia f.dvf.aසහiyifydaorfhda(Basedon Rabindranath Tagore: The Myriad Minded Man (1995) by Krishna Dutta and Andrew Robinson, and other works.)

Illich, I. (1970). Deschooling Society. USA: Harper & Row (republished in 1973 by Penguin Education, Harmondsworth, England).

Iyengar, K.R.S. (1987). Rabindranath Tagore: A Critical Introduction. London: Oriental University Press.

Kripalani, K. (1961). Tagore: A Life. New Delhi: National Book Trust, India (author publication, republished in 1971 by National Book Trust, India).

Maithra, S., translator (2014). Education as Freedom: Tagore’s Paradigm. New Delhi: Niyogi Books.

Navaratnam, R. (1958). New Frontiers in East-West Philosophies of Education. Calcutta: Orient Longmans.

Neogy, A.K. (2010). Santiniketan and Sriniketan: The Twin Dreams of Rabindranath Tagore. New Delhi: National Book Trust, India.

Samuel Ravi, S. (2024). Philosophical and Sociological Bases of Education (2nd edn). Delhi: PHI Learning. (Chapter 13: ‘Rabindranath Tagore’, pp. 163-179.)

Sarathchandra, E.R. de S. (1942). ‘Through Santiniketan eyes’. Kesari People’s Weekly (Jaffna) serialised from 2(9) to 2(17) and compiled by Goonetileke, H.A.I., also available translated to Sinhala ^iqpß; .ï,;a-mßj¾;l ප(2001). ශYdka;s ksfla;kfha weiska fld<U tia f.dvf.a iy ifydaorfhda).

Venn, G. (1965). Man, education and work. In, Cosin, B.R., editor: Education: Structure and Society. Harmondsworth: Penguin Books. (Chapter 6, pp. 97-107.)

Venn, G. (1971). Preparation for further preparation (editorial). Educational Leadership 1: 339-341.

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Midweek Review

Posy for the Unsung

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By Lynn Ockersz

You may call it a pilgrimage,

This yearly trudge she undertakes,

A posy of dainty flowers in hand,

To a rock-pile on a secluded hill,

Reeking of the graveyard’s silence,

Which covers her son’s remains,

Whom they bound and whisked away,

With dozens of other angry young men,

To a high place where elders say,

They were made to dig their graves,

At the point of smoking Ak-47 guns,

But all that scores of mothers such as her,

Have earned for their long nights of pain,

Are yellowing number tags for the missing,

Issued within stone walls of official silence.

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