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Midweek Review

US funding for Colombo port project involving Adani group and JKH in the balance

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US International Development Finance Corporation (DFC) CEO Scott Nathan and US Ambassador to Sri Lanka Julie Chung at West Container Terminal site in early Nov. 2023. The visit took place in the wake of the US announcement of a $553 mn loan to Colombo West International Terminal Private Limited (CWIT). Adani group partly owns CWIT (pic courtesy US embassy)

Gautam Adani

In response to US indictment, Adani has declared that his conglomerate is committed to “world-class regulatory compliance.” The international media quoted one of the world’s richest as having said: “This is not the first time we have faced such challenges. What I can tell you is that every attack makes us stronger. And every obstacle becomes a stepping stone for a more resilient Adani Group.”

Adani said so at an awards ceremony in Jaipur.

By Shamindra Ferdinando

Dr. Ganeshan Wignarajah, in his capacity as an advisor to the Sri Lankan President, and member of the Geopolitical Cartographer board, as mentioned in the latest Indo-Pacific Defence Forum, dealt with the ongoing economic-political-social crisis here.

Dr. Wignarajah, who had served as the Executive Director of the Lakshman Kadirgamar Institute (LKI) during the Yahapalana administration, quite confidently asserted (i) economic mismanagement (ii) Chinese loans and (iii) Covid-19 and other external shocks caused the unprecedented crisis.

The quarterly, published by the Commander of the U.S. Indo-Pacific Command, is meant to promote their overall political-military and social strategy in the Indo-Pacific region.

The Sri Lankan-born academic, in his article titled ‘Partners for Progress: Sri Lanka works with India, U.S. to bolster economy, stability,’ examined the developing situation here against the backdrop of, what he called, Chinese debt trap diplomacy. China has strongly refuted such accusations over the years. We haven’t forgotten the verbal battle between Yahapalana Finance Minister Ravi Karunanayake and the then Chinese Ambassador Yi Xianliang over the former’s disparaging remarks on interest rates on loans provided by China. This was in late 2016, several months after the second mega Treasury bonds scam, perpetrated by the Premier Ranil Wickremesinghe-led government.

Dr. Wignarajah conveniently refrained from making reference to over USD 10,000 million in new International Sovereign Bonds that had been taken between 2015 and 2019, following the change of government. Former President Mahinda Rajapaksa is on record as having declared procurement of USD 10,000 million, by the Yahapalana leaders, broke the back of the Sri Lankan economy. Instead, the academic cleverly hid the Yahapalana borrowings. Dr. Wignarajah declared (in verbatim): “Sri Lanka’s default demonstrates the risk of imprudent foreign borrowing, with relying on sovereign bonds with high interest rates to finance development projects or high-interest, low return Chinese loans.’’

As the article had been formulated before the presidential election that was held on Sept. 21, 2024, the professorial fellow in economics and trade at Gateway House, Mumbai, missed an opportunity to examine post-national poll developments.

The unexpected emergence of the National People’s Power (NPP), as the dominant political power, at the expense of the Sri Lanka Podujana Peramuna (SLPP) and the United National Party (UNP), according to some, may change the dynamics of Sri Lanka’s relations with the US-led grouping that includes India. However, others assert that bankrupt Sri Lanka has no other option but to continue with the IMF agenda and an agreement on economic partnership, signed in July 2023, by Premier Narendra Modi and the then President Ranil Wickremesinghe.

Wickremesinghe, who suffered a humiliating defeat in the presidential poll on September 21, and then at the parliamentary elections on Nov. 14, 2024, emphasized the responsibility on the part of his successor Anura Kumara Dissanayake to fully implement, what he called, the ‘Vision document’ with India.

The Press Trust of India (PTI) quoted Wickremesinghe as having said so on the sidelines of an event he attended at the Sri Sathya Sai Vidya Vihar school recently.

The SLPP-led Parliament that elected Wickremesinghe as the President in July 2022 to complete the remainder of President Gotabaya Rajapaksa’s five-year term, owed the country an explanation whether the former received the approval of the Cabinet to finalize the so-called ‘vision document.’ The latest Indo-Lanka agreement dealt with strengthening maritime, air and energy ties, as well as land connectivity between the two countries. There hadn’t been a proper discourse, at any level, regarding the ‘Vision document,’ though various interested parties promoted the controversial ‘Vision document’ in the run-up to the presidential election.

On behalf of India, Pathfinder Foundation requested the leading candidates at the presidential election, namely Ranil Wickremesinghe, Sajith Premadasa and Anura Kumara Dissanayake, to go ahead with the ‘vision document.’

It would be pertinent to mention that Dr. Wignarajah has ceased to be an advisor to the Sri Lankan President in the wake of Wickremesinghe’s defeat. The advisor had been also involved with Pathfinder Foundation as a senior visiting fellow at the Foundation.

He has had the audacity to even deal in cavalier fashion with India’s intervention in 2022 to save Sri Lanka with reference to the Adani Group’s investments here as well as longstanding US projects, such as the Millennium Challenge Corporation that was rejected by President Gotabaya Rajapaksa’s government.

Essentially, the expert addressed the issues at hand from the point of view of the US-India response to the Sri Lanka crisis.

New developments

The killing of Canada-based Sikh separatist leader Hardeep Singh Nijjar outside his Vancouver temple in June 2023 has caused an unprecedented diplomatic row between New Delhi and Ottawa. The killing that Canada had blamed on India without whatsoever hesitation led to tit-for-tat expulsion of diplomatic staff. Among those who had been expelled were the top most Indian and Canadian intelligence officials based in the respective capitals.

But what really upset New Delhi was the US and the UK throwing their collective weight behind Canadian accusations, thereby undermining the Modi government’s international standing. Perhaps, the harm that had been caused to the relations between Canada and India can never be restored.

International news agencies in Oct, 2024 quoted the spokesperson of the UK’s Foreign Commonwealth and Development Office (FCDO) as having said: “We are in contact with our Canadian partners about the serious developments outlined in the independent investigations in Canada. The UK has full confidence in Canada’s judicial system. Respect for sovereignty and the rule of law is essential.”

“The Government of India’s cooperation with Canada’s legal process is the right next step,” the official added.

On top of the simmering diplomatic row with Ottawa, the US has filed charges against an Indian government employee over his alleged involvement in a failed plot to kill an American citizen of Indian origin. The Federal Bureau of Investigation has identified a New York-based targeted person as a prominent advocate for Sikh separatism.

The US Attorney’s Office for New York declared in Oct, 2024 that it filed “murder-for-hire and money laundering charges” against Vikash Yadav.

Another suspect in the case, Nikhil Gupta, was extradited to the US earlier, in 2024, to face charges, while Yadav remains at large. There hadn’t been such high profile previous cases involving Indian government agents conducting clandestine operations in the West.

Canadian and US investigations have placed India in an utterly embarrassing position. In spite of strong Indian denials, both Canada and the US have maintained that India is under investigation.

The possibility of Canada and the US trying to establish a connection between those who had been involved in operations in their respective territories cannot be ruled out.

The state of crisis of Indian foreign relations with the West has to be discussed, taking into consideration the shocking Canadian declaration that no less than Home Minister Amit Shah, widely believed to be the second most powerful person in the country, sanctioned the Vancouver hit.

Regardless of Indian denial, Canada has refused to change its stand with regards to Shah’s direct involvement in targeting those India considered as a threat. There seems to be no way forward for India on the matter, especially in the West as both Canada and the US pursued investigations.

How could the Canadian and US common stand in respect of clandestine operations undertaken by India undermine India’s once robust relations with the West? Can the West jeopardize their relations with India, at a time they are in conflict with China and Russia?

The Modi’s government obviously has ended up with egg on its face and is struggling to cope up with extremely harmful media coverage. Shah is the chief aide to Premier Modi.

Against the backdrop of Canadian accusations directed at Shah, the US is also likely to probe the possibility of the powerful Home Minister having a hand in the New York operation. Whatever the outcome of Canadian and US investigations, New Delhi will have to address the collective responsibility on the part of the Indian Cabinet in authorizing clandestine operations overseas.

The Adani factor

Dr. Ganeshan Wignarajah

When Wickremesinghe recently demanded that his successor President Dissanayake goes ahead with the ‘Vision document’ with India, he was probably turning a blind eye to the US indictment of Gautam Adani over high profile accusations regarding the USD 265 mn alleged bribery scam to benefit Indian government officials.

Perhaps, the US move against Adani, one of the closest associates of Modi, may destabilize Indo-US relations. Adani and seven others had been charged over, what the US called, the corrupt solar project. They have been accused of securities fraud, conspiracy to commit securities fraud, and wire fraud.

Dr. Wignarajah, in his piece to the US military magazine, praised the Adani projects here to the high heavens. Obviously, as the US indictment hadn’t been announced at the time the academic submitted his piece to the Indo-Pacific command, he couldn’t be faulted for the omission. However, the new Sri Lanka government shouldn’t try to side-step the issue by engaging in delaying tactics.

Unexpected bribery accusations that had been directed at the Indian conglomerate placed a major US funded project here under an extremely difficult situation, particularly because the US was to provide funding to the tune of over half a billion USD. The West Container Terminal at the Colombo port involved Sri Lankan blue chip John Keells and the Adani Group. Other participants are Special Economic Zone Limited and Sri Lanka Ports Authority in the USD 700 mn project.

The NPP government never expected the US to move legal action against the Adani group and may find it difficult to explain Sri Lanka’s continuing partnership with the Indian conglomerate. Unless of course, proper reassessment was made in respect of the Port project as well as other investments, particularly investment of U.S. 1.4 bn for wind power plants.

The US recently disclosed that though they promised over half a billion USD for the Colombo port project, the funding hadn’t been made available so far. Would denial of US funding undermine the implementation of the Port project. Construction began in Nov. 2022, five months after Parliament elected Wickremesinghe as the President.

The US stepped in during Ranil Wickremesinghe tenure as the President after previous plans for the East Container Terminal, involving Japan and India, had to be shelved due to protests. Sri Lanka had no other option but to offer the Colombo West Terminal project to appease New Delhi, furious about unilateral cancellation. The country paid a huge price for such cancellations, having announced mega projects without proper evaluation and consensus with stakeholders. There can be no better example than the idiotic cancellation of the Japanese-funded Colombo light rail project soon after the 2020 general election.

Japan reacted angrily to the unilateral announcement of the cancellation of USD 1.4 bn project funded by Japan through a soft loan.

What would be the fate of the West Container Terminal project in case Adani and JKH had to fund it in the absence of US financial backing? How could the US and India intend to maintain close links as desired by both powers against China in the backdrop of continuing bad press over attacks on Sikhs living overseas and the Adani fiasco.

The Congress-led Indian Opposition disrupted both Lower and Upper Houses of Parliament demanding a joint committee to investigate Adani’s companies in the agriculture, renewable energy, coal and infrastructure sectors. Unless India addresses accusations against Adani in a transparent manner, they can have long term repercussions, both domestically and internationally.

In the wake of the US indictment, Kenya cancelled multimillion-dollar deals with the Adani Group for airport modernization and energy projects. The mega company will also face scrutiny in Sri Lanka and Bangladesh.

The damage to US-India ties would be much more with legal action against Adani compelling India to play it safe. While the government remained silent on the issue at hand, Amit Malviya, the governing Bharatiya Janata Party’s IT head, declared in a post on the social media platform X that the US charges were “allegations and the defendants are presumed innocent unless and until proven guilty.” Critics asserted that this was nothing but a show of support by the Modi government for the Adani Group.

It would be interesting to see how the much weakened Opposition in Sri Lanka Parliament takes up the Adani issue. Parliament meets this week, though the issue is not on the agenda, an Opposition member may take the opportunity to comment on the politically sensitive matter.

Adani is the major Indian investor here. According to available data, Adani’s projects account for nearly 70% of overall Indian investments during the 2005-2019 period.

A story from the past

Undue Indian government intervention on behalf of Adani group was disclosed amidst unprecedented political turmoil here with President Gotabaya Rajapaksa under tremendous pressure in June 2022 with the country unable to finance basic needs with covert groups even having blocked worker remittances through official channels.

The revelation was made by then head of the Ceylon Electricity Board (CEB) M.C.C. Ferdinando during an open hearing of the Committee of Public Enterprises (COPE) that President Gotabaya Rajapaksa told him that Indian Prime Minister Narendra Modi had insisted that a 500-megawatt wind power project be directly given to the Adani group.

Embattled President Rajapaksa denied the disclosure. Within two days after the shocking declaration in Parliament, Ferdinando claimed that he lied after being overwhelmed by emotion. Of course no one took Ferdinando’s denial seriously for obvious reasons.

“On November 24, 2021, the President summoned me after a meeting and said, India’s Prime Minister Modi is pressuring him to hand over the project to the Adani group,” Ferdinando said, according to a video clip of his testimony made available by Parliament. According to the CEB head, he had received instructions from President Rajapaksa in this regard in Nov. 2021, just weeks after Adani visited Colombo.

Ferdinando was responding to questions posed by the then head of COPE Prof. Charitha Herath and another member about the circumstances the Adani group had chosen to construct a 500 MW wind power plant on the northern coast.

Ferdinando told the committee that he informed the President that the matter didn’t concern the CEB, but the Board of Investments. “The President insisted that I look into it. I then sent a letter mentioning that the President has instructed me and the Finance Secretary should do the needful. I pointed out that this is a government-to-government deal,” Ferdinando said.

During the heated hearings, Prof. Herath asked whether the wind power deal would be considered “unsolicited”. “Yes, this is a government-to-government deal, but the negotiations should take place according to the least cost policy mentioned in the act,” said Ferdinando.

On the following day, President Rajapaksa contradicted the CEB Chief. “Re a statement made by the #lka CEB Chairman at a COPE committee hearing regarding the award of a Wind Power Project in Mannar, I categorically deny authorization to award this project to any specific person or entity,” he tweeted.

“I have withdrawn that statement,” Ferdinando said. The media quoted the CEB Chief as having said that he only realized that he mistakenly made such a comment, when the Minister inquired from him about the matter on Saturday (June 11) morning.

Thereafter, Ferdinando issued a statement to Prof. Hearth on Saturday in which he tendered an apology, saying that due to “unexpected pressures and emotions”, he was compelled to name the Indian Prime Minister.

The public hearing took place on a Friday, a day after Parliament passed an amendment to the 1989 Electricity Act that removed competitive bidding. The main opposition, Samagi Jana Balawegaya (SJB), alleged that the primary reason for bringing forward the amendment was to accommodate the “unsolicited” Adani deal. The SJB demanded that projects beyond 10 MW capacity should go through a competitive bidding process.

The amendments to the Sri Lanka Electricity Act were passed with 120 votes in favour of the amendments with 36 voting against in the 225-member Parliament amid strong resistance from power sector trade unions in the state-run Ceylon Electricity Board (CEB). Thirteen MPs abstained in the voting.

The story should be examined taking into consideration Adani’s pow vows with President Gotabaya Rajapaksa and Premier Mahinda Rajapaksa in late Oct. 2021 in Colombo.



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Midweek Review

Opp. caught up in CIABOC offensive

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Mahinda Rajapaksa leaving CIABOC on 12 June, 2026

The Commission to Investigate Allegations of Bribery or Corruption (CIABOC) on 12 June questioned former President Mahinda Rajapaksa regarding the USD 2 Mn bribe allegation directed at the late SriLankan CEO Kapila Chandrasena, whose body was found on 8 May in a close relative’s home in Kollupitiya. Chandrasena’s alleged suicide sent shock waves through political circles and interested parties questioned the circumstances leading to him being granted bail on 6 May on cash bail of Rs. 500,000 with three sureties of Rs. 10 million each. The Colombo Magistrate court also imposed a travel ban. The issue at hand is as to how Mohamed Riswan and Mohamed Irshan stood as sureties for Chandrasekera. Of all the investigations undertaken by the CIABOC, the USD 2 Mn bribe case is the most politically charged probe.

Of the Rajapaksas, former State Minister Shasheendra Rajapaksa is so far the last to be indicted. CIABOC on 19 June filed indictments before the Colombo High Court against him and two others Sepalika Saman Kumari and Keerthi Bandara Kotagama. According to the charges, the accused are alleged to have committed the offence of corruption and aided and abetted the commission of the offence by using official influence to pressure certain government officials, attached to the Office for Reparations, to obtain compensation amounting to Rs. 8.85 million for a property built on a state land by Shasheendra and destroyed by marauding Aragalaya mobs.

By Shamindra Ferdinando

The ruling National People’s Power (NPP) government last week emphasised, in no uncertain terms, that it wouldn’t tolerate the growing Opposition challenge.

Amidst the growing controversy over the continuing detention of retired Maj. Gen. Suresh Sallay. in terms of the draconian Prevention of Terrorism Act (PTA), under humiliating conditions, in connection with the ongoing investigations into the 2019 Easter Sunday carnage, police arrested Sugeeshwara Bandara, leader of the New People’s Front (NPF). The Central Crime Investigation Bureau (CCIB) apprehended him on 18 June and the Fort Magistrate’s Court remended him till 1 July..

The CCIB also apprehended Binoy Hettiarachchi who was accompanying Bandara. Hettiarachchi served as a media coordinator at the former President Ranil Wickremesinghe’s Flower Road Office. Police intercepted their vehicle at Kollupitiya where the arrests were made like in an action-packed movie. Hettiarachchi was freed four hours later.

But, it would be better to identify Bandara as the former private secretary to President Gotabaya Rajapaksa as well as the Director General of Special Projects at the Presidential Secretariat in the wake of Ranil Wickremesinghe taking over the presidency.

Accused of receiving two salaries simultaneously, under the President’s Expenditure Head, Bandara who managed the media for Gotabaya Rajapaksa, in the run-up to the 2019 presidential election, is under investigation for abuse of government vehicles and employing government workers for political work.

Having launched his political career as the Colombo District organiser of the alliance New People’s Front, a breakaway faction of the UPFA, in February, 2024, Bandara contested the November, 2024, parliamentary polls on the New Democratic Front (NDF) ticket. But, of late, Bandara, as the leader of NPF, became one of the most active opposition activists, aligned with the political grouping, dubbed People’s United Opposition, operating from Ranil Wickremesinghe’s Flower Road Office.

Bandara drew the wrath of the government when he launched a noisy protest outside Finance Secretary Dr. Harshana Suriyapperuma’s residence at Akuregoda, Pelawatta, on 26 April, where he and his protesting supporters were given a shower of excreta. The group, led by Bandara, demanded the Finance Secretary’s resignation over the theft of USD 2.5 mn from the Treasury. No less a person than President Anura Kumara Dissanayake reacted angrily to Bandara’s actions.

Acknowledging the right for legitimate protests, the President warned against protests directed at residences of officials. On 18 April, Bandara led a protest outside Agriculture Minister K.D. Lal Kantha’s recently built luxury residence at Weliwita, Kaduwela, where he questioned how the JVPer managed to build such a home as he was on record as having repeatedly said that he lived a difficult life.

The police apprehended Bandara as he was returning from a meeting between senior representatives of the People’s United Opposition and the IMF Colombo at the Tiki Bar, Shangri-La. In spite of negligible parliamentary presence, with those elected on the NDF ticket at the last parliamentary election not really speaking in one voice, the Flower Road project has become a headache for the government.

In fact, the Flower Road operation has been causing continuous harassment to the NPP, while the Samagi Jana Balawegaya (SJB) struggled to play its anticipated role as the main Opposition. Instead of conducting a cohesive campaign against the cocky NPP government, members of the SJB seem to be pulling in different directions at the expense of the common opposition front.

Regardless of the Wickremesinghe-led grouping vowing to press ahead with its campaign, the arrest of Bandara is obviously meant to have a detrimental impact on the activities of the Opposition.

It would be pertinent to mention that Bandara had been among those who stayed with President Gotabaya Rajapaksa at the President’s House, in Colombo, as a massive protest erupted on 9 July, 2022. Bandara was among the last to flee the President’s House as the military withdrew, amidst mounting pressure on their positions.

The police arrested Bandara as former President Gotabaya Rajapaksa moved the Court of Appeal in terms of Article 140 of the Constitution to prevent him being arrested under the PTA. The wartime Defence Secretary sought the court intervention in the wake of police probing the 2019 Easter Sunday carnage and obtaining a travel ban against him.

The court heard Romesh de Silva PC’s submissions on behalf of the ex-President on 18 June. The court deferred the hearing to 24 June. The crux of the matter is that the ex-President fears that the CID is about to arrest him on the basis of a statement made by fugitive Azad Moulana, in Paris, linking Sallay directly with the Easter Sunday carnage.

NPP intensifies pressure

The NPP seems confident of its current course of action meant to pin down the Opposition. In spite of unbridled corruption being the major issue on the post-war election platform, no political party succeeded in going flat-out against the political opposition.

However, the NPP allowed the judicial process to continue. The first major sentencing was announced on 2 April, 2025, just six months after the parliamentary polls, handsomely won by the NPP. The Commission to Investigate Allegations of Bribery or Corruption (CIABOC) moved the Colombo High Court successfully against the former Chief Minister of the North Central Province S.M. Ranjith Samarakoon.

Colombo High Court No. 01 Judge Adithya Patabendige sentenced him in terms of Section 70 of the Bribery Act. The HC declared the former CM perpetrated malpractices by ordering fuel to his personal secretary’s vehicle. The personal secretary happened to be Shanthi Chandrasena, wife of his brother S.M. Chandrasena, a former Cabinet Minister and one of the most powerful Ministers to represent the North Central province.

The ex- Chief Minister and the second accused, his personal secretary, were convicted guilty of two charges. Both were sentenced to 16 years rigorous imprisonment and were also ordered to pay a fine of Rs. 200,000/- with an additional two-year prison term in case of default.

Deputy Director General Asitha Anthoney appeared on behalf of the Commission to Investigate Allegations of Bribery or Corruption.

There had never been any really coordinated CIABOC campaign against corruption. No political party, or a particular family, felt threatened by CIABOC. Both those in and outside Parliament acted with impunity. They feared no one. There was no need to be because the powerful and the influential operated above the law.

Just a couple of weeks after sentencing of S.M. Ranjith Samarakoon and Shanthini Chandrasena, the CIABOC arrested the latter’s husband, one-time Deputy Economic Development Minister and Special Projects Minister, S.M. Chandrasena. The CIABOC took him into custody on 4 July, 2025.

The CIABOC accused the former Minister of causing loss to the government by distributing seed corn, imported at a cost of Rs 25 mn, in 2024, among the farmer community in the Anuradhapura district, at a subsidised price. The distribution had taken place ahead of the 2015 presidential election contested by Mahinda Rajapaksa and estranged former SLFP General Secretary Maithripala Sirisena. The CIABOC alleged that Chandrasena exerted undue influence on the Director (Planning) and other officers of the District Secretariat and distributed seeds through his political allies to gain an advantage in the 2015 presidential election and incurred a loss to the government.

Chandrasena was granted bail on 1 August, 2025. He was indicted on 12 June before the Colombo High Court.

Before further discussing the ongoing anti-corruption campaign, let me introduce the top leadership of CIABOC. The Commission consists of Justice W.M.N.P. Iddawela (Chairman), K.B. Rajapakse and Chethiya Goonesekera P.C, with High Court judge R.S.A. Dissanayake as its Director General.

The sentencing of the S. M. Ranjith Samarakoon didn’t really bother his side. The arrest of his brother S.M. Chandrasena, too, didn’t really upset those facing charges. But, sentencing of former Minister Mahindananda Aluthgamage and former Sathosa Chairman and former Trade Minister Nalin Fernando on 29 May, 2025, sent shock waves through the Opposition.

The Colombo High Court Trial-at-Bar sentenced Aluthgamage and Fernando for committing the offence of corruption by purchasing 14,000 carrom boards and 11,000 checkers boards through Sathosa, allegedly 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 campaign thereby, causing a loss of over 53 million rupees to the government, stunned the Opposition.

Aluthgamage was sentenced to 20 years of rigorous imprisonment, Fernando received a sentence of 25 years of rigorous imprisonment. Additionally, a fine of Rs. 100,000 (hundred thousand) was imposed for each count.

The CIABOC’s Assistant Director General Mrs. Anuththara Jayasinghe and Assistant Director General Mrs. Thushari Dayaratne conducted the prosecution.

During the Yahapalana government Aluthgamage spearheaded a high profile anti-corruption campaign, dubbed ‘Yahapalana Top 10 kamba horu’. The then Joint Opposition (JO) group, led in Parliament by Dinesh Gunawardena, published a 750-page book, targeting the Yahapalana ministers. Mahindananda, who spearheaded that campaign, is now serving a long sentence.

The JO group consists of UPFA lawmakers who declined to throw their weight behind the then President Sirisena aligned with the UNP.

Let me mention the names of those against whom the accusations were made by the JO.

Yahapalana corruption

The JO dealt with 10 major cases. (1) The Treasury bond scams perpetrated in 2015 and 2016. Accusations were directed at Ranil Wickremesinghe, Ravi Karunanayake and Governor Central Bank Arjuna Mahendran. The losses were estimated at Rs 26 bn. (2) causing losses amounting to Rs 10 bn through the fraudulent import of vehicles. Ravi Karunanayake was named the chief culprit (3) Misappropriation of Mahapola funds to the tune of Rs. 1 bn. Allegations were directed at Malik Samarawickrema (4) Stealing from an insurance scheme implemented for the benefit of those going for employment in West Asia. The JO accused Thalatha Atukarale of misappropriating funds amounting Rs 1.5 bn (5) Receiving Rs 1.5 bn through the leasing of Hambantota port to China on a 99-year lease. Ranil Wickremesinghe, Malik Samarawickrema and R. Paskaralingam were named the offenders (6) Kabir Hashim was accused of causing a loss of Rs 54 bn by cancelling aircraft ordered from Airbus Industries for the national carrier (7) fraudulent activities pertaining to the release of paddy stocks held by the government. The JO estimated the losses caused to the government at Rs 10 bn. (8) Scam in vehicle parts. Ravil Karunanayake was accused of causing losses amounting to Rs. 6.5 bn, (9 A) Dr. Rajitha Senaratne was accused of leasing of the Modera fisheries harbor and procurement of eight vessels to catch fish, fraudulently, and thereby causing losses up to Rs 1 bn, (9B) The JO also found fault with Dr. Senaratne for perpetrating Rs 1.5 bn fraud in the procurement of medicine and lastly (10) Ranil Wickremesinghe, Malik Samarawickrema, R. Paskaralingam and Charitha Ratwatte were blamed for a massive fraud in the procurement of coal for the Norochcholai coal-fired power plant. That particular fraud was estimated at Rs 5 bn.

Although the JO transformed itself to Sri Lanka Podujana Peramuna (SLPP) later, to successfully contested the 2019 presidential election, none of the above-mentioned cases were investigated. As far as we know, none of those cases had been dealt with during the SLPP rule, from November, 2019, to July, 2022. Faced with an externally backed regime change operation, the SLPP invited Wickremesinghe, who had been named by them in three major corruption cases, to accept the premiership in May, 2022, and presidency in July same year.

So far, there is no indication whether the mentioned JO allegations had received the attention of the CIABOC or the Attorney General of the government. As far as we know of all the politicians and officials, Wickremesinghe is the only one facing imminent threat due to the ongoing case pertaining to him visiting the UK in September, 2023, to join his wife Prof. Maithree at the University of Wolverhampton at her graduation ceremony.

Wickremesinghe has been accused of squandering nearly 17 mn rupees at a time the country was in deep economic turmoil. The Fort Magistrate’s court is scheduled to take up the case on 8 July.

SLPP parliamentary group leader Namal Rajapaksa is also facing a major legal challenge. The former Minister has been indicted on charges of criminal misappropriation of Rs. 70 mn in connection with the controversial Krrish project. The indictments have been forwarded to the Colombo High Court by the Attorney General, alleging that Namal Rajapaksa misappropriated funds by receiving Rs. 70 million from the Indian real estate company for the development of rugby in Sri Lanka.

Yoshitha Rajapaksa, too, has been dealt with by the CIABOC. The Rajapaksas have been accused of lowering qualifications required to join the executive branch of the Navy and then sending him to the Royal Naval Academy in the United Kingdom at taxpayers’ expense. Produced before the Colombo Additional Magistrate, Yoshitha was released on three personal bail bonds of Rs. 5 million each.

Producing Yoshitha before court on 17 June, Deputy Director General of the Bribery Commission, Ruvini Wickramasinghe declared: “”Your Honour, the complaint regarding this incident was received on June 25, 2016. Accordingly, the Commission initiated investigations. The complaint states that the suspect had participated in naval training programmes held in England and Ukraine by misusing government funds, while depriving qualified applicants of such opportunities. At that time, this individual, who is a civilian in the dock today, was also a civilian in 2006 when he was deemed eligible for the Royal Navy Young Officer training at the Royal Naval Academy in the United Kingdom. The opportunities to receive this training are extremely limited. Your Honour, selection to this prestigious course is usually based on being the most outstanding cadet officer during a two-year training period or based on performance during training. However, this suspect, although a civilian in 2006, was proposed and included in the list and was sent for the course in haste.”

The Deputy Director General also stated that Yoshitha Rajapaksa had undergone medical examinations required for overseas training even before being officially recruited into the Navy.

The court was also told that though Sri Lanka previously received scholarships from the UK the Rajapaksa government funded Yoshitha to the tune of Rs 6.2 mn.

Opp. attacks CIABOC

The Opposition has repeatedly attacked the CIABOC with its Director General Ranga Dissanayake being the primary target. Accusing Dissanayake of being a JVPer, the Opposition has repeatedly questioned the conduct of the High Court judge demanding that the CIABOC inquired into the top official’s conduct, especially with regard to the alleged suicide of former Sri Lankan CEO Kapila Chandrasena who had been under investigation pertaining to the receiving of USD 2 mn bribe to facilitate procurement aircraft from Airbus Industrie during Mahinda Rajapaksa’s second term.

Former Foreign Minister Prof. G. L. Peiris, a regular speaker at Flower Road media briefings, alleged that the CIABOC was a political tool in the NPP’s hands.

A section of the Opposition to question the circumstances one-time JVP heavyweight Nandana Gunatilleke died in January this year at the Ragama Teaching Hospital after accusing Dissanayake of pursuing an agenda beneficial to the JVP, a charge denied by the High Court judge. When the writer raised the allegations with Dissanayake, he emphatically denied any wrongdoing on his part https://island.lk/ciaboc-dg-denies-jvp-link/.

The CIABOC has simply ignored accusations directed at its DG who proved through his actions that he really meant high profile public pronouncements against corruption.

Former Deputy Minister and ex-MP Sarana Gunawardena was sentenced to a total of 16 years rigorous imprisonment by the Colombo High Court on June 8, 2026.

During the Yahapalana administration many cases, filed by the CIABOC as well as the Attorney General, were either dismissed or dropped due to lapses on their part. The accused in such cases were ex-MP Sajin Vass Gunawardena, ex-EP Chief Minister Sivanesathurei Chandrakanthan alias Pilleyan, ex-Ministers Johnston Fernando, Rohitha Abeygunawardena, Basil Rajapaksha, Mahindananda Aluthgamage and Janaka Bandara Tennakoon and former AG and CJ Mohan Peiris.

Regardless of Opposition protests, the public appreciate tangible action against corruption. However, the NPP has not been free from serious allegations against it since the last general elections. The release of suspicious 323 containers, plus two containers filled with ice, in January, 2025, followed by the massive coal scam perpetrated in September 2025, loss of over USD 2.5 mn from the Treasury and controversial Aswesuma payments, as well as wealth, accumulated by NPP Ministers as revealed by declarations made to CIABOC, shocked the electorate.

The NPP has failed to counter allegations. The circumstances under which Energy Minister Kumara Jayakody resigned, along with Energy Secretary Udayanga Hemapala, on 17 April, just a week after the NPP defeated the no-confidence motion moved by the Opposition against the Energy Minister. dealt a devastating blow to the NPP’s much touted integrity. The NPP couldn’t explain as to why a person under investigation by the CIABOC for an alleged fraud perpetrated during the Yahapalana government was accommodated in President Dissanayake’s first Cabinet. Indicted before the Colombo High Court, Jayakody’s case commenced last week.

Asset declarations of some NPP Ministers have shocked the country. The SJB has called for CIABOC to investigate them without delay and prove that CIABOC was not only going after the Opposition. Ministers Lal Kantha and Wasantha Samarasinghe are two of the top JVPers who have attracted attention as the Opposition hits back at the government.

SJB MP Mujibur Rahuman said that the JVP/NPP owed an explanation as to how their members amassed so much wealth since 2024 as they repeatedly claimed their inability to meet even their basic needs. But, their asset declarations exposed their blatant lies.

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Midweek Review

Geopolitics of the Indian Ocean

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Listening to the Winds, Reading the Waves:

Prof. Gamini Keerawella’s latest publication, Winds and Waves: Geopolitical Currents in the Indian Ocean since 1945 will be launched on 5 August at the Auditorium of the Bandaranaike Centre for International Studies (BCIS). The keynote address will be delivered by Prof. T. V. Paul, James, McGill Professor of Political Science at McGill University, Canada and the former President of the International Studies Association (ISA).

Prof. Keerawella, Professor Emeritus of History at the University of Peradeniya, has dedicated hisbook to the memory of Dr. Newton Gunasinghe, the eminent sociologist and Marxist theoretician who encouraged him to venture beyond disciplinary frontiers. In many respects, this work represents a successful realization of that intellectual endeavour. In her testimonial to back cover of the book, Dr. Radhika Coomaraswamy observes that “Gamini Keerawella offers a nuanced and layered account of the Indian Ocean region’s strategic evolution from the era of decolonization to the contemporary phase of intensifying great-power rivalry. Its distinctive analytical perspective makes it an important contribution to the study of international relations, maritime geopolitics, and regional strategic dynamics.” This assessment accurately captures the significance of the work, and I fully endorse her judgement.

This volume constitutes the final publication of a trilogy that explores the evolving dynamics of international relations from a distinctly Sri Lankan perspective. The first study examined the trajectory of Sri Lanka’s defence and foreign policy, while the second revisited the origins, evolution, and principal constituent elements of international relations as an academic discipline from a Global South perspective. The present work broadens the analytical canvas by tracing the shifting geopolitical contours of the Indian Ocean since 1945 and examining the evolving interplay between great-power competition and regional agency.

Indian Ocean not merely maritime transit space

At the heart of Prof. Keerawella’s analysis is the argument that the Indian Ocean is not merely a maritime space of transit but a living archive whose language is inscribed in tides, trade, and collective memory. To uncover the deeper structures that have shaped the region, he draws on Michel Foucault’s concept of the archaeology of knowledge, probing beneath the visible layers of historical experience to reveal successive strata of thought, exchange, and power. This approach enables him to trace the multiple origins of the Indian Ocean’s geopolitical significance through the sedimented traces of how the ocean has been known, governed, and imagined across time. Complementing this perspective is Fernand Braudel’s concept of the longue durée, which provides the framework for understanding the long-term evolution of Indian Ocean geopolitics. As Keerawella notes, for Braudel, history unfolds not as a single linear sequence but as a layered field of continuity and change, revealing the deeper architecture of the past—the slow yet powerful currents that shape political and economic developments beneath the surface of events (Keerawella 2026: xxiii).Prof. Keerawella further notes that later historians such as K. N. Chaudhuri and M. N. Pearson drew on Braudel’s insights and adapted them to understand the Indian Ocean as a polycentric world.

Prof. Keerawella argues that the terms employed in the title of this work—Winds, Waves, and Currents—evoke the ocean’s dual language of surface movement and underlying structure. In his reading, winds and waves signify motion: the visible and often turbulent forces that carry ships, peoples, commodities, and ideas across shifting maritime frontiers. Currents, by contrast, refer to the deeper and less visible forces that shape historical trajectories and connect coasts and continents through enduring patterns of interaction. As he observes, while winds and waves represent the restless dynamics of the ocean’s surface, currents embody the slower yet more consequential energies that operate beneath it, binding disparate regions into a larger maritime system (2026: xx).

Metaphors and Conceptual Foundation

Building on this conceptual foundation, the author employs winds, waves, and currents not merely as metaphors but also as analytical categories. Winds represent changing strategic directions and geopolitical realignments; waves denote recurring cycles of commerce, conflict, and interaction; and currents symbolize the deep structural forces that connect societies across space and time. Viewed from a distinctly Sri Lankan perspective, the volume demonstrates how a strategically located small state at the centre of the Indian Ocean perceives and navigates this maritime space through its own strategic lens. The book opens by situating Sri Lanka within the intersecting forces of history, geography, and power that have shaped the Indian Ocean world. It advances the notion of a dual strategic consciousness that has informed Sri Lanka’s external engagements: a persistent sense of vulnerability, rooted in colonial experience and geographical exposure, coexisting with a cosmopolitan outlook forged through centuries of maritime exchange. Prof. Keerawella contends that this dual consciousness constitutes the underlying framework through which Sri Lanka has historically interpreted and responded to developments in its external environment.

Winds and Waves is a comprehensive study comprising eleven chapters and an extensive introduction that establishes the analytical foundations of the work by treating the ocean simultaneously as text and method. The opening chapter situates Sri Lanka within the wider Indian Ocean system, tracing the island’s navigation through shifting configurations of power while emphasising the agency of small states. The Indian Ocean is presented not merely as a strategic arena but also as a moral and political space, linking Sri Lanka’s historical experience to the broader aspirations and consciousness of the Global South.

Revisiting British withdrawal

The book revisits Britain’s withdrawal from the Indian Ocean, arguing that it was not simply a consequence of post-war decline but the culmination of deeper structural transformations in the international system. Decolonisation, Afro-Asian nationalism, and the emergence of bipolarity fundamentally altered the regional order and created the conditions for Britain’s retreat. In turn, this withdrawal opened the way for superpower competition, particularly between the United States and the Soviet Union, transforming the Indian Ocean into major theatre of Cold War geopolitics.

A substantial portion of the volume is devoted to examining the policies and strategic trajectories of the major powers. The author traces American engagement from Cold War containment through post-Cold War maritime predominance to contemporary Indo-Pacific formulations, demonstrating that U.S. strategy has evolved through the interaction of structural imperatives and changing strategic discourses. Particular attention is paid to the 2026 U.S.–Iran War, which is interpreted as a transformative event that exposed the limits of military hegemony and accelerated patterns of strategic hedging and multi-alignment among regional actors. The book also explores the Soviet Union’s entry into the Indian Ocean in 1968 and the subsequent re-emergence of Russia under Vladimir Putin through selective naval deployments, arms transfers, and strategic partnerships, illustrating what the author characterises as the recurrent rhythms of great-power engagement in the region.

The rise of China receives extensive treatment as one of the most significant structural developments of the twenty-first century. Through the Belt and Road Initiative, port development projects, and naval modernisation, China has translated growing economic power into expanding strategic influence. The author contrasts Beijing’s assertive posture in the South China Sea with its relatively restrained approach in the Indian Ocean, where economic diplomacy and cooperative security initiatives have assumed greater prominence. Equally significant is the discussion of India’s transformation from a regional power into an emerging global strategic actor. The evolution of Indian maritime strategy—from Nehruvian custodianship to contemporary blue-water ambitions—demonstrates how a rising power navigates structural constraints while expanding its strategic reach. Initiatives such as SAGAR, naval modernization, and deepening partnerships with the United States, Japan, and Australia have positioned India as a central actor in the evolving Indo-Pacific order.

Roles of Japan and EU examined

The volume also examines the roles of Japan and the European Union in shaping the contemporary maritime order. Japan’s transition from post-war restraint to proactive strategic engagement, embodied in the Free and Open Indo-Pacific (FOIP) vision, illustrates how middle powers adapt to changing geopolitical realities through coalition-building and maritime capacity enhancement. The European Union’s engagement is portrayed through less visible but nevertheless significant mechanisms, including trade, development cooperation, maritime governance, and norm diffusion, contributing to what the author terms a form of “quiet-making multipolarity” that encourages restraint, stability, and pragmatic cooperation.

Moving beyond conventional geopolitics, the book broadens the analytical framework to address a range of non-traditional security challenges confronting South Asia in general and Sri Lanka in particular. Climate change, piracy, illegal fishing, maritime terrorism, public health vulnerabilities, and digital insecurity are examined as transnational challenges that transcend the capabilities of individual states. The author argues that these issues reveal the limits of unilateral action and underscore the growing importance of cooperation, collective action, institutional innovation, and middle-power leadership in maritime governance.

Prof. Keerawella further situates the Indian Ocean within the wider context of the emerging Asian Century. Asia’s resurgence—driven principally by China and India and reinforced by the dynamism of Southeast Asia—is presented as a major reconfiguration of global power. In this transformation, the Indian Ocean functions as a vital maritime artery connecting energy resources, manufacturing centres, and consumer markets. At the same time, the author cautions against deterministic interpretations, emphasising that the realisation of the Asian Century remains contingent upon how the region responds to persistent inequalities, environmental challenges, governance deficits, and intensifying strategic competition.

Assessing how SL has navigated shifts

The book concludes by returning to Sri Lanka and assessing how the country has navigated contemporary shifts in the regional and global balance of power under the National People’s Power (NPP) government that emerged in the aftermath of the Aragalaya of 2022. The author demonstrates how economic crisis, demands for accountability, and aspirations for a new political culture have reshaped the domestic context within which foreign policy is conducted. Under President Anura Kumara Dissanayake, Sri Lanka is portrayed as pursuing a carefully calibrated strategy that combines engagement with international financial institutions, enhanced cooperation with India in defence and energy sectors, continued economic engagement with China, and functional security relations with the United States. The government’s response to the 2026 U.S.–Iran War—rejecting military access requests from all parties while extending humanitarian assistance—serves as an illustration of the author’s broader argument that strategic flexibility, principled neutrality, and diplomatic agility remain essential for small states navigating an increasingly complex Indian Ocean order.

Taken together, the book advances several interconnected propositions. First, the Indian Ocean is entering an increasingly multipolar era in which power is exercised through complex networks of cooperation, competition, and interdependence rather than rigid alliance structures. Second, small states are neither passive spectators nor mere proxies of great powers; they possess strategic agency and navigate competing pressures through hedging, diversification, and calibrated diplomacy. Third, Sri Lanka’s strategic behaviour—characterised by navigating asymmetry through flexibility and ambiguity—reflects a historically rooted dual consciousness that combines vulnerability with cosmopolitan engagement. Fourth, non-traditional security challenges and environmental governance are no longer peripheral concerns but central components of the evolving regional order.

Need for adaptive navigation

Prof. Keerawella argues that contemporary statecraft in the Indian Ocean requires adaptive navigation rather than rigid alignment. In a fluid and contested maritime environment, survival and influence depend less on resisting structural change than on understanding and responding to it with prudence, flexibility, and strategic clarity. The book therefore offers important insights into how small states can transform structural vulnerability into strategic agency and convert exposure into opportunities for engagement within a changing regional order.

Combining historical depth with contemporary analysis, it provides a nuanced understanding of the interaction between great-power competition, regional transformation, and the strategic choices of smaller states. The book will be of considerable value to students and scholars of international relations, political science, strategic studies, and maritime affairs, while also offering useful perspectives to policymakers, diplomats, and practitioners. Equally important, it opens several promising avenues for future research on the Indian Ocean and the emerging Indo-Pacific order.

Hermeneutic approachs

Methodologically, the study draws upon hermeneutic approaches to examine the geopolitical and maritime environments that shape relationships among states, societies, and historical processes. The result is a work that is both analytically rigorous and intellectually engaging. This review has sought less to evaluate the book in a conventional sense than to introduce its central themes and encourage a wider readership to engage with its arguments. Having highlighted the many merits of the volume, it is worth noting one technical shortcoming: the absence of an index. Given the book’s wide thematic scope and rich empirical content, the inclusion of an index would have significantly enhanced its value as a reference tool for researchers and students alike.

In sum, Prof. Keerawella listens attentively to the winds, reads the waves with analytical precision, and traces the deeper currents that shape the Indian Ocean world. The outcome is Winds and Waves: Geopolitical Currents in the Indian Ocean since 1945, a timely and thought-provoking contribution published by the Bandaranaike Centre for International Studies.

Reviewed by
Dr. Ramesh Ramasamy
Department of Political Science, University
of Peradeniya

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Midweek Review

‘The Flying White House’

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‘The Flying White House’,

Lavished on ‘the most powerful man’,

Is entirely in a class of its own,

And smacks of a space fiction wonder,

But there’s more than meets the eye here,

Because on the one hand we have,

A novel projection of super power,

And on the other hand a costly deal,

Where a conscience that matters,

Is being mindlessly bartered.

By Lynn Ockersz

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