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Rs 16 bn revenue loss: CIABOC summons Bandula over sugar duty scam

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Dec.09 disclosure has implicated Prez, his advisors

By Shamindra Ferdinando

The Commission to Investigate Allegations of Bribery or Corruption (CIABOC) inquiring into massive revenue losses suffered in 2020/2021 owing to an alleged sugar tax scam has summoned the then Trade Minister Bandula Gunawardena for questioning.

The CIABOC intends to question incumbent Media and transport minister Gunawardena on Monday (19).

State Finance Minister Ranjith Siyambalapitiya on 09 Nov., informed Parliament that the Treasury had suffered losses amounting to Rs 16 bn due to the unprecedented reduction of duty on a kilo of white sugar from Rs 50 to 25 cents with effect from Oct 13, 2020. The SLFPer said that the Treasury could recover only 30 percent of Rs 16 bn loss.

Lawmaker Siyambalapitiya assured parliament that the government would ensure such unilateral decisions couldn’t be taken in the future.Authoritative sources told The Island that the then Presidential Secretary Dr. P.B. Jayasundera had been questioned in this regard. The one-time Secretary to the Treasury has told investigators the President cleared the reduction of duty on sugar.

Then Prime Minister Mahinda Rajapaksa served as the finance minister atthetime whereas Ajith Nivard Cabraal heldthestate finance portfolio. S. R. Attygalle served as the Secretary to the Treasury.The SLPP government increased theduty to Rs 50 in May 2020, a couple of months before the general election.

CIABOC would seek clarification from Minister Gunawardena as regards his disclosure in parliament on Dec 09 that those who spoke on behalf of sugar racketeers had the ear of the then President Gotabaya Rajapaksa.

Minister Gunawardena said that in spite of him being the trade minister, he was not consulted at all and his strong oppositionwasdisregarded by President Rajapaksa. Responding to SLFP General Secretary Dayasiri Jayasekera, MP, lawmaker Gunawardena claimed that inimical decisions were taken by ‘advisors’ at the expense of ministers who lacked authority.

CIABOC has so far recorded statements from over 30 persons in respect of the high profile investigation launched following complaints received fromSamagi Jana BalavegayaMPs, Field Marshal Sarath Fonseka and Mayantha Dissanayake and Attorney-at-Law Nagananda Kodituwakku.

The Islandlearns that the CIABOC isalsocontemplating toobtaina statement from former President Gotabaya Rajapaksa in this regard. Sources said that a clarification was required as some of those who had been questioned over the issuance of the relevant gazette by the Finance Ministry claimed they received instructions from the President.

Former Chairman of the Public Finance Commission Anura Priyadarshana Yapa is on record as having said that the reduction of duty on sugar didn’t benefit the consumers at all. Incumbent cabinet ministers Vidura Wickremanayake and Nalin Fernando before they received ministerial portfolios this year in their capacity as members of the Public Finance Commission have criticized the sugar tax scam.

Former Director (Administration) Parliament and civil society activist Lacille de Silva said that the CIABOC should go the whole hog. A proper inquiry could help identify those who had ruined the national economy and forced millions of families to experience untold hardships.

Referring to Section 2 of the Special Commodity Levy Act, No. 48 of 2007 imports could be exempted from duty/tax,De Silva explained that ministerial actions had to be justified regardless of the economic crisis the country was experiencing now,he said.



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GMOA warns of trade union action unless govt. urgently resolves critical issues in health sector

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Influx of substandard drugs is of particular concern

The Government Medical Officers’ Association (GMOA) has warned of renewed and intensified trade union action if the government fails to fulfil its promise to resolve the ongoing crisis in the health sector within the next few days.

GMOA Executive Committee member Dr. Prasad Colombage said his association was hopeful that commitments made by the government, including those formally stated by the Minister of Health in Parliament and recorded in the Hansard, would be implemented.

He called for urgent remedial action in view of the influx of substandard medicines into the country, patient deaths linked to such drugs, difficulties faced by doctors in prescribing medicines, and disruptions to patient care services caused by the continued migration of medical professionals. These factors, he warned, had placed patients’ lives at serious risk.

Dr. Colombage said discussions had already been held with all relevant authorities, including the President and the Minister of Health. He expressed hope that swift solutions would be forthcoming based on agreements reached at discussions. However, he cautioned that the GMOA would not hesitate to resort to strong trade union action if tangible progress was not seen in the coming days.

Meanwhile, the Federation of Medical and Civil Rights Professional Associations yesterday (01) handed over a special memorandum to President Anura Kumara Dissanayake, calling for immediate action to resolve the deepening crisis in the health sector.

Federation President, Consultant Dr. Chamal Sanjeewa, said Sri Lanka’s health system was currently facing a severe crisis and had sought an opportunity to hold discussions with the President on the matter.

The memorandum calls for the President’s direct and immediate intervention on several key issues, including the Indo–Sri Lanka health agreement, shortages of essential medicines including cancer drugs, continued allegations surrounding the administration of the Ministry of Health, reported irregularities at the National Hospital, Colombo, and the absence of an internationally accredited quality control laboratory for the National Medicines Regulatory Authority to test medicines. The Federation has also requested a meeting with the President to discuss these concerns in detail.

By Sujeewa Thathsara ✍️

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Elephant census urged as death toll nears 400

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Sri Lanka’s latest elephant census must result in immediate policy action, not remain a paper exercise, Centre for Environmental Justice (CEJ) Managing Director Dilena Pathragoda warned, as nearly 400 wild elephants have already died in 2025 alone amid escalating human–elephant conflict.

With the national elephant population estimated at around 5,879, Pathragoda said the figures would be meaningless unless they shape land-use planning, habitat protection and enforcement.

“As of mid-December, close to 397 elephants have died in 2025, mostly due to shootings, electrocution, train collisions and other human-related causes,” he told The Island. “When deaths continue at this scale, census numbers alone offer little reassurance.”

Official data show that 388 elephants died in 2024, while 2023 recorded a staggering 488 deaths, one of the highest annual tolls on record. Conservationists warn that the trend reflects systemic failure to secure habitats and elephant corridors, despite repeated warnings.

“An elephant census should not end with a headline figure,” Pathragoda said. “If these statistics do not influence development approvals, infrastructure planning and land-use decisions, they fail both elephants and rural communities.”

Elephant populations remain unevenly distributed, with higher densities in the Mahaweli, Eastern and North Western regions, while other areas face sharp declines driven by habitat fragmentation and unplanned development.

Pathragoda said recurring fatalities from gunshots, illegal electric fences, improvised explosive devices along with poisonings  and rail collisions expose the limits of short-term mitigation measures, including ad hoc fencing projects.

“The crisis is not a lack of data, but a lack of political will,” he said, calling for binding conservation policy, transparent environmental assessments and accountability at the highest level.

He urged authorities to treat elephant conservation as a national governance issue, warning that failure to act would only see future censuses record further decline of these majestic animals.

“Elephants are part of Sri Lanka’s natural heritage and economy,” Pathragoda said. “Ignoring these warning signs will come at an irreversible cost.”

By Ifham Nizam ✍️

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CTU raises questions about education reforms

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The Ministry of Education has yet to clarify whether school hours will be extended by 30 minutes from next Monday (05) under the proposed new education reforms, Ceylon Teachers’ Union (CTU) General Secretary Joseph Stalin has said.

Stalin told The Island that the Ministry should reconsider the planned reforms, warning that decisions taken without adequate study and consultation could have serious repercussions for nearly four million schoolchildren.

He said the Education Ministry had announced that education reforms would be implemented in Grades from 1 to Grade 6, but it had not said anything about the Grades above 6. This lack of clarity, he said, had created confusion among teachers, parents and students.

Stalin also noted that although learning modules had been issued, students are required to obtain photocopies based on the codes introduced in these modules. However, the Ministry had not revealed who would bear the additional financial burden arising from those costs, raising further concerns over the practical implementation of the reforms.

by Chaminda Silva ✍️

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