News
Prospective applicants protest over demand to raise ‘personal loans’ to buy government flats
At Lunawa Sea View Residencies meant for ‘low and middle income families’
BY SURESH PERERA
Prospective buyers of Sea View Residencies at Lunawa developed by the Urban Settlement Development Authority (USDA) for “low and middle income families” have been left kicking their heels after they were informed last week to raise “personal loans” ranging from Rs. 3.5 to Rs. 4.1 million from any financial institution to procure the units.
This is apart from the 25% down-payment plus another Rs. 240,000 as “related charges”, which have to be paid upfront to acquire the flats, the prices of which range from Rs. 4.56 million to Rs. 5.58 million.
For example, to procure a unit valued at Rs. 4.56 million on the fourth floor of the complex, one has to make a down-payment of Rs. 1.14 million.
The general practice earlier when selling housing units in complexes specifically meant for “low and middle income families” was for the government institution concerned to arrange a feasible credit facility largely through HDFC Bank.
However, prospective buyers of Sea View Residencies complained that they were summoned to ‘Sethsiripaya’ at Battaramulla on Tuesday and told in no uncertain terms that they need to secure a bank loan if they wanted to procure a unit in the newly-built housing complex.
“When we protested that we are low and middle income earners, and no financial institution would offer a credit facility without collateral, an official interjected that there was then no option, but to give up the idea of acquiring a flat”, the distraught buyers said.
Application forms were initially issued to interested buyers on a non-refundable deposit of Rs. 2,000 each. After shortlisting applicants, interviews were called, where they were assured that after the 25% down-payment on the total value of each unit was made, a credit facility would be arranged through the Bank of Ceylon under a monthly repayment plan at 6.25% per annum, they noted.
The availability of a bank facility was also clearly outlined in letters sent to buyers shortlisted as “eligible applicants” to purchase the flats. However, in a sudden turnaround, the promised loan facility has been ditched, they complained.
Some prospective aspirants had in fact approached banks for some degree of relief, but were specifically told that they should either surrender the deed of the flat or some other form of collateral to secure a ‘personal loan’.
“If we had millions of rupees the USDA is now demanding for the units, we could have purchased a small house in the area without waiting for more than a year until the housing complex was completed”, they reasoned.
Whereas the highest priced unit in the complex costs Rs. 5.58 million, there’s a small house put up for sale for Rs. 5.5 million close to Moratuwa town, another shortlisted applicant said. “If I had ready cash, I would prefer to buy an individual house”.
“We were asked to make the 25% down-payment as early as possible, but in case the balance is not settled within the time-frame, refunds will be subject to an unspecified penalty”, he further said.
It appears that the government has built the Sea View Residencies for the wealthy or for those who pump funds, hold on for some time and resell at a considerable margin, he opined. “The deserving has been elbowed out”.
USDA Director-General, Major General (Retd.) Udaya Nanayakkara assured that he was aware of the issue and discussions are ongoing with banks to evolve a solution.
“We wanted to recover the construction cost of the housing complex as the land value has not been calculated into the price”, he told The Sunday Island.
“We were looking at recouping the investment upfront without opting for a time-consuming repayment plan”, he explained.
Another official, who asked not to be identified, admitted that 90% of the shortlisted applicants are now unable to procure units without a workable repayment scheme.
“We were aware that prospective buyers would be left in the lurch sans a bank facility as low and middle income earners don’t have access to millions of rupees in liquid cash. However, we had to adhere to UDA (Urban Development Authority) guidelines”, he asserted.
He said that with the growing displeasure over preference to “people who can afford” rather than “those who deserve” has resulted in looking at the process afresh and the possibility of arranging a bank facility is on the cards.
The President, and the Prime Minister, as Housing Minister, should be made aware of obstacles placed by an officialdom insensitive to the average man’s housing needs, he noted.
The applicants were shortlisted on the basis of a monthly household income of Rs. 75,000. Those who earned more than this were rejected as the flats are meant for low and middle income families, he added.
“At the end of the day, the displeasure generated will reflect on the government”, he added.
A UDA official said the complex was developed by the USDA and therefore “it’s their baby”.
“We had nothing to do with it”.
News
Wife, counsel seek regular access to ex-Spy Chief Sallay held under President’s detention order
Wife of former State Intelligence Chief Maj. Gen. (Retd.) Suresh Sallay has asked CID Director retired SSP Shani Abeysekera to allow her, her family members and lawyers to visit her husband in the National Hospital, Colombo. Sallay’s counsel has also written to Abeysekera, asking for permission to visit the former spy held on a detention order signed by President Anura Kumara Dissanayake.
The text of Manori’s letter: “I respectfully request your assistance in granting me, and my daughter or alternatively my son, permission to visit my husband, Rtd. Major General Suresh Sallay, who is currently at the National Hospital, Colombo.
“As you are aware, my husband is presently engaged in a fast-unto-death campaign. His physical condition and emotional well-being are of deep concern to our family. During this difficult period, the presence and support of his immediate family are extremely important to him.
“I firmly believe that regular visits from me with our daughter or our son would help uplift his spirits, provide him with much-needed emotional strength, and may encourage him to reconsider continuing this course of action. Family support can play a vital role in preserving his mental and emotional health while he remains hospitalised.
“In view of these exceptional circumstances, I kindly request that permission be granted for either me and my daughter or my son to visit him daily during the period of his hospitalisation.
“I would be most grateful for your compassionate consideration of this request.”
“The text of the counsel’s letter: “I write in my capacity as Counsel for Rtd. Major General Suresh Sallay, who is presently under detention and admitted to the National Hospital, Colombo.
As you are aware, Major General Sallay has embarked on a fast-unto-death campaign, giving rise to serious concerns regarding his physical and mental well-being. In these circumstances, it is imperative that I be granted reasonable and regular access to my client during his hospitalisation.
As his legal representative, I have a professional obligation to monitor his condition and obtain instructions from him so that I may accurately apprise the relevant courts of his health status and any developments affecting his rights and welfare. Effective legal representation requires continuous communication with my client, particularly in light of the grave circumstances presently confronting him.
I also wish to respectfully highlight that Major General Sallay has placed explicit trust and confidence in me as his counsel. Indeed, I was the first person he contacted following his arrest.
Given the trust he reposes in me, I believe I am uniquely positioned to engage with him constructively and persuade him to discontinue this campaign and instead place his confidence in the legal remedies and judicial processes available to him.
For these reasons, I respectfully request that I be granted permission to visit my client on a daily basis during the period of his hospitalization.
Such access would not only facilitate the discharge of my professional responsibilities but may also contribute meaningfully towards safeguarding his health and encouraging a resolution through lawful and institutional means.
News
CIABOC summons Yoshitha over his participation in British Navy training programme
Yoshitha Rajapaksa, who served as a Lieutenant in the Sri Lanka Navy, has now been summoned to the Commission to Investigate Allegations of Bribery or Corruption next Tuesday (16) for questioning over his participation in a Royal Navy training programme in the United Kingdom outside established procedures.
The Commission is expected to record statements in relation to several complaints received regarding his recruitment and subsequent service in the Navy after he enlisted on December 14, 2006.
According to sources, the investigation focuses on allegations concerning the educational qualifications considered at the time of his enlistment, as well as foreign training opportunities he is said to have received while in service, which are suspected to have been granted in violation of due process.
The Bribery Commission has launched the inquiry under the provisions of the Anti-Corruption Act, officials said.
News
Communist Party condemns ill-treatment of Sallay, calls for review of PTA
Sri Lanka Communist Party has urged the NPP government to initiate a credible review of the PTA (Prevention of terrorism Act) and related practices that enable arbitrary detention and torture.CPSL General Secretary Dr. G. Weerasinghe issued the following statement regarding the arrest of retired Maj. Gen. Suresh Sallay:
The CPSL expresses its deep concern over the continued detention of former Intelligence Chief Major General (retd.) Suresh Sallay, who was arrested on 25 February and has now been held for 95 days under the PTA.
Maj. Gen. Sallay’s initial detention under the PTA was for 90 days, after which the Colombo Magistrate extended his period of custody. The CPSL notes that the PTA was specifically referenced in the 2024 manifesto of the ruling New People’s Power (NPP) — “A thriving nation, a beautiful life” – which promised the “abolition of all oppressive acts including the Prevention of Terrorism Act (PTA) and ensuring civil rights of people in all parts of the country.” The party calls attention to this commitment and urges that it be honoured in both letter and spirit.
The CPSL is alarmed by reports from legal counsel and medical personnel alleging that Major General Sallay has suffered both physical injuries and severe psychological distress while in custody. President’s Counsel Shavindra Fernando informed the Court that the Judicial Medical Officer’s report diagnosed Maj. Gen. Sallay with post-traumatic stress disorder, anxiety and depression, and identified injuries at five locations on his body. The report, counsel says, indicates alleged torture.
Further, counsel and family members have raised serious complaints about inhumane treatment in detention. Mrs. Manori Sallay has filed a formal complaint with the Inspector General of Police alleging inadequate food, lack of basic sanitation and other inhumane conditions. Additional court submissions stated that Maj. Gen. Sallay was denied proper meals, and on one night was reportedly served rice with gravy on a piece of newspaper placed on the cell floor. By contrast, media reports indicate that some detainees have been permitted access to the CID canteen.
The CPSL acknowledges the necessity of lawful procedure in the investigation and prosecution of criminal and terrorism cases. At the same time, the party is compelled to note credible allegations that proper procedure has not been followed in this case. These lapses reinforce concerns that the arrest and continued detention may be politically motivated.
Human rights organisations have long criticised the PTA as a draconian statute that facilitates prolonged arbitrary detention without trial and creates opportunities for torture and coerced confessions. The CPSL reiterates these concerns and underscores the contradiction between the NPP’s manifesto pledge to abolish oppressive legislation and the continued use of the PTA in this instance.
The Communist Party of Sri Lanka therefore calls on the Government and relevant authorities to:
Immediately ensure that Major General Suresh Sallay receives full medical care and protection from further mistreatment.
Make public the full medical report of the Judicial Medical Officer and permit independent medical examination by a qualified neutral body.
Adhere strictly to legal procedure in the investigation and prosecution of this matter, ensuring access to counsel, adequate food, sanitation, and humane detention conditions.
Provide transparent justification for any further extensions of detention under the PTA and allow timely judicial review in accordance with constitutional safeguards.
Honour the NPP manifesto pledge by initiating a credible review of the PTA and related practices that enable arbitrary detention and torture.
The CPSL stands for the rule of law, human dignity and civil rights. While recognising the state’s responsibility to investigate genuine security threats, the party will not remain silent where there are credible reports of abuse, procedural irregularity, and possible political motivation. The CPSL will monitor the case closely and urge civil society and human rights bodies to do the same.”
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