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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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Women’s T20 World Cup 2026 warm-up: Chamari Athapaththu’s 94 helps Sri Lanka beat Pakistan

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File photo: Chamari Athapaththu top-scored for Sri Lanka (Cricinfo)

Captain Chamari Athapaththu’s 94 helped Sri Lanka chase down 169 with ease against Pakistan. Athapaththu and Vishmi Gunaratne together started strongly, putting up a 159-run stand as Sri Lanka won with eight balls to spare.

With the ball, right-arm seamer Chethana Vimukthi, who was called up as the injured Shashini Gimhani’s replacement. for the T20 World Cup, made an impact for Sri Lanka, finishing with figures of 4 for 31. Vimukthi broke the 60-run stand between openers Muneeba Ali and Gull Feroza, following which Pakistan lost wickets regularly. Captain Fatima Sana top-scored for Pakistan from No. 7 with 37 to push the total past 150. In reply, Sri Lanka made easy work of the chase, with Athapaththu itting five sixes and nine fours in her 56-ball stay.

Scores:

Sri Lanka Women 169 for 1 in 18.4 overs (Chamari Athapaththu 94, Vishmi Gunaratne 63*; Fatima Sana 1-20 ) beat Pakistan Women  168 for 8 in 20 overs (Muneesha Ali 36, Gull Feroza 26. Ayesha Zafar 10, Saira Jabeen 12,  Fatima Sana 37, Aliya Riyaaz 22;  Sugandika Kumari  1-33,  Chethana Vimukthi 4-31, Malki Madara 1-19, Nimasha Meepage 1-16) by nine wickets

(Cricinfo)

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Open hearing on coal procurement inquiry set for July first week

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Open hearing of evidence into alleged irregularities in coal procurement is scheduled to begin in the first week of July, while the Presidential Commission of Inquiry continues recording statements from relevant officials, investigators said.

So far, the Commission has recorded statements from around 40 government officials, including members of procurement committees and other personnel attached to institutions involved in coal-related transactions.

Officials said that, depending on evidence gathered during the ongoing inquiry, statements may also be obtained from former ministers if required.

The Commission has also received 28 complaints in connection with alleged irregularities in coal imports and related procurement processes.

President Anura Kumara Dissanayake on April 17 appointed a three-member Presidential Commission of Inquiry under the Special Presidential Commissions of Inquiry Act No. 07 of 1978 to probe alleged malpractice in coal imports and electricity generation since the inception of coal-based power generation up to April 16, 2026.

The Commission is chaired by Supreme Court Justice Gihan Kulatunga, with Court of Appeal Judge Aditya Patabendige and High Court Judge Sanjeewa Somaratne serving as members. Former State Ministry Secretary P.V. Bandulasena acts as Secretary to the Commission.

The inquiry covers alleged procurement irregularities, possible financial losses to the State, import of substandard coal, quality inspection failures, contractual breaches and operational issues in power generation, including whether corrective measures were taken where necessary.

It will also identify responsible political authorities, officials of Sri Lanka Coal Company (Private) Limited and suppliers, while recommending legal or administrative action and measures to prevent future lapses.

Meanwhile, the Committee on Public Enterprises (COPE) is also preparing to table its report on coal procurement in Parliament, with officials from relevant institutions having been summoned during its proceedings. COPE Chairman MP Dr. Nishantha Samaraweera said audit findings had also been considered, and any matters requiring further investigation would be referred to law enforcement and anti-corruption authorities.

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TNA MP calls for complete repeal of PTA

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Trincomalee District TNA MP Shanakiyan Rasamanickam has submitted a motion to Parliament calling for the immediate repeal of the Prevention of Terrorism Act (PTA), arguing that the controversial law has enabled arbitrary detention, torture and the targeting of minority communities for more than four decades.

In his motion, now published in the Addendum to the Order Book of Parliament, the MP urged the Government to repeal the Prevention of Terrorism Act, No. 48 of 1979, in its entirety and refrain from introducing any replacement legislation containing similar provisions.

Rasamanickam contended that the PTA had been used for over 40 years to facilitate prolonged arbitrary detention and to obtain false confessions through torture. He further alleged that the law had disproportionately affected minority communities and civil society groups.

The motion states that there is no justification for maintaining a permanent counter-terrorism law that grants sweeping powers to the authorities.

The TNA legislator argued that existing legal provisions were sufficient to address security threats, noting that terrorism-related offences could already be prosecuted under the Penal Code.

He also pointed out that the Government retained the power to declare a state of emergency when circumstances warranted extraordinary measures, rendering a permanent anti-terrorism framework unnecessary.

Accordingly, the motion calls on Parliament to resolve that the Government take immediate steps to abolish the PTA without replacing it with legislation containing comparable powers.

The Prevention of Terrorism Act, enacted in 1979, has long been the subject of criticism from human rights organisations, civil society groups and international bodies, which have raised concerns over provisions relating to detention without trial and safeguards against abuse.

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