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Lycamobile faces winding-up petition over £51m VAT dispute amid financial struggles and scrutiny

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The Guardian: Lycamobile, a telecoms company that has given more than £2m to the Conservative party, has been issued with a winding-up petition by HM Revenue and Customs, amid a long-running VAT dispute.

The company, founded by businessman Allirajah Subaskaran in 2006, sells pay-as-you-go sim cards that are popular with low-paid workers wanting to make cheap phone calls to family overseas, as well as in the UK.

While the company generated revenues of more than £145m in 2022, it is now loss-making. Its accounts have repeatedly been filed late and have at times confounded its own auditors.

Successive accounting firms have raised concerns about the opacity of Lycamobile’s books, while the company has also been locked in an eight-year tussle with HMRC over its treatment of VAT on phone “bundles” sold to customers over seven years.

The amount in dispute is £51m, according to a tax tribunal that ruled in favour of HMRC last month. In accounts filed earlier this year, Lycamobile estimated the potential cost to the company at £99m.

A winding-up petition is a formal legal process that creditors can use against a company that owes them money and is unable to pay its debts. HMRC regularly issues such petitions, which can result in assets being forcibly sold, against companies that have not paid their tax bill.

HMRC issued the winding-up petition against Lycamobile UK Ltd on Monday, according to a court filing seen by the Guardian and first reported by City AM. Identical petitions were served against sister companies Lycatel Services Ltd and, a week earlier, against Lycamoney Financial Services Ltd. All are ultimately owned by Subaskaran, a British-Sri Lankan entrepreneur who is Lycamobile’s founder and chair.

Lycamobile was one of the Tory party’s most generous donors between 2011 and 2016, giving more than £2.1m. It also supported Boris Johnson’s successful attempt to become London mayor.

It came under scrutiny in 2015 when an investigation by BuzzFeed revealed that Lycamobile employees were depositing rucksacks full of cash, some containing up to £250,000, at the Post Office.

There is no suggestion of any connection to the VAT dispute and Lycamobile said at the time that its cash deposits were part of “day-to-day” banking sanctioned by the Post Office.

Lycamobile has repeatedly filed its accounts late, putting it at risk of being struck off the corporate register. In 2016, the auditor KPMG said it was unable to account for £134m of assets, citing an arcane corporate structure including offshore entities.

The company’s latest auditor, PKF Littlejohn, said in June that it could not sign off Lycamobile’s accounts because it had “not been able to obtain sufficient appropriate audit evidence to provide a basis for an audit opinion”.

Those results, for the year to the end of December 2022, showed a £24m loss, compared with an £8m profit the previous year.

In the subsequent financial year, for which accounts are not yet available, the company suffered a malware attack that reportedly prevented customers making calls or topping up their accounts.

The Guardian has approached Lycamobile for comment.

HM Revenue and Customs said it could not comment due to rules regarding taxpayer confidentiality.

Cardinal’s Remarks on LGBTQ+ Rights Raise Legal Red Flags

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By: Ovindi Vishmika


July 31, Colombo (LNW):
Experts say rhetoric violates constitutional protections, fuels extremist activity, and risks incitement under Sri Lankan law

Legal experts and constitutional advocates are raising serious concerns following recent remarks by Archbishop of Colombo, Cardinal Malcolm Ranjith, in which he publicly denounced same-sex marriage as a “corrupt ideology” and questioned the validity of families formed by same-sex couples. Critics say the comments, made during a sermon at St. Anne’s Church in Beruwala, are not only socially inflammatory but legally flawed, constitutionally inconsistent, and potentially dangerous.

While the Cardinal framed his position in religious terms, legal scholars argue that his remarks amount to public discrimination,which could contribute to a hostile environment for LGBTQ+ individuals, particularly in a context where extremist groups are already mobilising against queer communities.



Contradiction of Supreme Court Precedent

At the center of the legal backlash is the Supreme Court’s Special Determination No. 13/2023, in which the Court determined that repealing Sections 365 and 365A of the Penal Code — colonial-era provisions criminalising same-sex sexual conduct — would not be inconsistent with the Constitution. The Court made it clear that consensual same-sex relationships between adults are protected under Sri Lanka’s constitutional framework, and any attempt to prevent their legal recognition without rational justification constitutes unjust discrimination.

In its determination, the Court rejected arguments that decriminalisation would endanger public morality, national security, or social order. The ruling emphasised that the Constitution must be interpreted in light of the values of equality, dignity, and justice, which apply to all citizens, regardless of sexual orientation.

Thus, when the Cardinal claims that same-sex marriage is a moral threat or questions the capacity of same-sex couples to raise families, he directly undermines the reasoning and authority of the Supreme Court, which has already ruled against such assertions.

Violation of Constitutional Guarantees

Legal analysts point to Article 12(1) and (2) of the Sri Lankan Constitution, which guarantees that all persons are equal before the law and prohibits discrimination on arbitrary grounds. While sexual orientation is not expressly listed, the Constitution must be read in harmony with Sri Lanka’s obligations under international human rights law, including the International Covenant on Civil and Political Rights (ICCPR), to which the country is a signatory.

Statements by a senior religious leader that marginalise or stigmatise individuals based on their sexual orientation especially when such statements are made in public forums violate the spirit of constitutional equality and non-discrimination, particularly when they are positioned as a basis for withholding legal recognition of family life.

As public law expert Dr. Ruwan Fernando notes, “Freedom of religion does not provide immunity from constitutional responsibility. When a person in a position of authority uses their platform to delegitimise the rights of a minority group already protected under law, that crosses into the realm of legal concern.”

Potential Breach of the ICCPR Act

The ICCPR Act No. 56 of 2007, which brings the international treaty into Sri Lankan domestic law, prohibits the advocacy of hatred that constitutes incitement to discrimination, hostility, or violence.Section 3 of the Act explicitly criminalises public speech or conduct that incites such hatred based on identity categories, including sexual orientation when read under Sri Lanka’s interpretive obligations.

Legal professionals argue that the Cardinal’s comments may not exist in isolation but must be interpreted within a broader context particularly as his statements are being amplified by religious extremists such as the Mawwarunge Peramuna, a far-right group reportedly aligned with evangelical networks.

Mawwarunge Peramuna and Illegal Hate Campaigns

The group,Mawwarunge Peramuna, has in recent months launched a coordinated campaign targeting LGBTQ+ individuals, using homophobic and defamatory rhetoric, including calling them “paedophiles” and “mentally ill.” Most alarmingly, the group has reportedly distributed hate propaganda within government schools, a move which potentially violates the Education Ordinance,child protection laws, and the ICCPR Act.


One of their pamphlets claimed that “Donald Trump is more trustworthy than the Sri Lankan Supreme Court,” directly attacking the judiciary’s legitimacy. The group has also attempted to frame same-sex relationships as a national security threat,an argument explicitly rejected by the Supreme Court.

These activities not only constitute unlawful ideological interference in public education, but may also amount to criminal incitement under the ICCPR Act, especially given their intent to dehumanise and vilify a marginalised group.

With the Cardinal’s remarks now echoing similar themes such as framing same-sex love as a social threat,legal observers warn that his words may function as legitimising rhetoric for extremist actors, thereby expanding their reach and granting moral cover to their illegal actions.

Religious Belief Does Not Justify Legal Harm

While religious freedom is protected under Article 14(1)(e) of the Constitution, it is not absolute. The Constitution does not permit public figures—religious or otherwise—to deny legal rights on the basis of private belief,particularly when the speech undermines equality or promotes social exclusion.

Legal consensus affirms that morality, whether religious or cultural,cannot override the rule of law, particularly when fundamental rights are at stake. As reiterated by the Supreme Court, “Public morality cannot be used as a justification for criminalisation or exclusion when it violates dignity, privacy, or equality.”

-A Coordinated Threat Against Human Rights

What makes the situation particularly concerning, say civil society groups, is the interplay between religious leadership and extremist movements, forming a broader ideological network aimed at stalling or reversing human rights advancements. The alignment between Cardinal Ranjith’s messaging and Mawwarunge Peramuna’s agenda is no coincidence, they argue it is part of a growing global chain of reactionary resistance targeting queer and gender-diverse people.

“This is not merely religious opinion,” said a Colombo-based constitutional rights monitor. “This is systemic exclusion masquerading as doctrine, and it is being weaponised by those who seek to impose one moral worldview on the entire country—at the expense of constitutional democracy.”



Call for Legal Accountability

In response, legal professionals and rights advocates have urged the Attorney General’s Department, the Human Rights Commission of Sri Lanka, and the Ministry of Education to launch investigations into whether the Cardinal’s statements and the actions of Mawwarunge Peramuna constitute violations of law.

They stress that parliamentary debate on LGBTQ+ rights cannot proceed in an atmosphere of fear and hostility, especially when hate is being circulated in public spaces, schools, and houses of worship.

Attorney Dharshana Weraduwage stated, “This is not just a matter of speech—it’s a matter of legal integrity. If we allow public figures to target queer people without consequence, we erode the very foundation of the Constitution.”

Law Must Prevail Over Prejudice

As Sri Lanka moves toward legislative reform in line with the Supreme Court’s directive, the government must now reckon with a growing conflict between constitutional equality and religiously framed discrimination. If left unchecked, the spread of hate rhetoric by religious and extremist actors could jeopardise not only the rights of LGBTQ+ individuals, but also the independence of the judiciary and the rule of law itself.

The law is clear: all citizens regardless of who they love are entitled to dignity, equality, and protection under the Constitution. Religious belief, however sincerely held, cannot be allowed to justify legal exclusion or public incitement.

The silence of institutions, in this moment, would not be neutrality—it would be complicity.

CBSL aims to boost daily digital transactions with nationwide awareness campaign

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July 31, Colombo (LNW): The Central Bank of Sri Lanka (CBSL) has unveiled an ambitious initiative to increase the country’s volume of daily digital transactions by nearly one-third, as part of a broader effort to modernise payment systems and encourage greater financial inclusion through digital means.

Speaking on behalf of the bank’s Payments and Settlements Department, Director K.V.K. Alwis confirmed that a series of public engagement and education campaigns will be launched across key urban centres throughout the island.

These efforts are designed to familiarise citizens and businesses with the benefits and mechanics of digital financial tools.

Digital payments, as defined by the Central Bank, encompass a wide range of electronic transactions, including internet banking, mobile banking services, and card-based purchases using debit or credit cards.

The existing daily transaction volume—already surpassing 1.65 million—reflects the increasing shift among consumers and merchants toward cashless modes of payment.

However, officials believe there is significant untapped potential in the market. With the planned awareness drive, the Central Bank hopes to push daily digital payment volumes to approximately 2.15 million transactions—a targeted growth of around 30 per cent.

Japan and Sri Lanka strengthen diplomatic ties through high-level policy talks in Colombo

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July 31, Colombo (LNW): A high-level diplomatic dialogue between Japan and Sri Lanka concluded recently in Colombo, offering both nations an opportunity to renew their commitment to deeper collaboration across a broad range of areas, including trade, investment, security, and migration.

Held at the Ministry of Foreign Affairs, the third round of the Japan–Sri Lanka Policy Dialogue served as a meaningful forum for open discussion on matters of mutual strategic interest. Representatives from both governments explored avenues to further fortify economic relations, with a particular focus on expanding trade partnerships and encouraging Japanese investment in Sri Lanka’s development agenda.

The Sri Lankan delegation provided a comprehensive update on the country’s ongoing economic recovery and its efforts to achieve long-term debt sustainability. Sri Lanka expressed its gratitude for Japan’s pivotal role as a Co-Chair of the Official Creditor Committee (OCC), acknowledging Tokyo’s constructive support during challenging financial times.

Discussions also highlighted the crucial impact of Japanese Official Development Assistance (ODA), which has long contributed to national development efforts across sectors such as infrastructure, health, and education. Sri Lankan officials noted the importance of this continued support, especially during the country’s post-crisis rebuilding phase.

Labour mobility was another key theme, as the two sides exchanged views on ways to enhance opportunities for Sri Lankans working in Japan. With over 63,000 Sri Lankans currently residing in Japan, officials emphasised the need to develop a sustainable and balanced framework for labour migration, one that safeguards rights while addressing workforce demands.

In addition, defence and maritime security cooperation was discussed, with both parties recognising the value of maintaining stability in the Indo-Pacific region. The dialogue reflected growing interest in building stronger links in the security and defence domains through joint training, capacity-building, and institutional exchanges.

The dialogue was co-chaired by Ms Sashikala Premawardhane, Additional Secretary for Bilateral Political Affairs (East) of Sri Lanka’s Ministry of Foreign Affairs, and Mr Miyamoto Shingo, Director General of Southeast and Southwest Asian Affairs and Assistant Minister of the Japanese Ministry of Foreign Affairs.

Supreme Court rules in favour of woman wrongfully detained over clothing design

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July 31, Colombo (LNW): In a significant ruling underscoring the importance of safeguarding individual liberties, Sri Lanka’s Supreme Court has found that a senior police officer violated the fundamental rights of a woman who was unjustly arrested and detained over a misinterpreted clothing design.

The case centred around an incident in 2019, in which Abdul Raheem Masaheena, a 47-year-old resident of Kolongoda, was taken into custody by police officers attached to the Hasalaka Police Station.

The arrest was based on the claim that her attire featured a symbol allegedly resembling the Dhammachakra, a revered emblem in Buddhism.

However, the woman maintained—and it was later accepted—that the design on her garment in fact depicted a ship’s wheel, bearing no religious connotation.

The Supreme Court, after reviewing the evidence, concluded that Masaheena’s constitutional rights had been infringed. The bench, comprising Justices Yasantha Kodagoda, Kumudini Wickremasinghe, and Shiran Gooneratne, unanimously upheld her petition.

As a consequence, the former Officer-in-Charge (OIC) of the Hasalaka Police Station has been ordered to pay Rs. 30,000 in compensation from his personal funds as a form of redress for the wrongful arrest and detention.

Masaheena, who had been held in remand at Badulla Prison from May 18 to June 03, 2019, filed the application seeking not only personal justice but broader institutional accountability. Her petition requested that the Attorney General and the Inspector General of Police pursue investigations and disciplinary measures against those responsible for the violation of her rights.

In her application, the petitioner emphasised that there was no intent on her part to disrespect or cause offence to any religion or cultural belief. She asserted that her arrest was a result of a misjudgement and a failure by the authorities to ascertain the facts before taking punitive action.

Dozens arrested in anti-corruption and narcotics crackdown across Sri Lanka

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July 31, Colombo (LNW): Authorities in Sri Lanka have intensified their efforts to tackle corruption and drug-related crimes, with dozens of individuals taken into custody over the past several months in a series of coordinated enforcement operations.

Between January and the end of June 2025, the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) received over 3,000 public complaints related to bribery and misconduct.

Following targeted investigations, 54 separate operations were conducted, leading to the arrest of 34 suspects connected to various corrupt activities.

Those arrested include a notable number of public officials: ten from the police force, five from the Ministry of Justice, two from the Ministry of Health, and two from the Sri Lanka Transport Board. In addition to state employees, six civilians were also taken into custody in relation to bribery cases.

The legal response has been swift. During this six-month period, prosecutors filed 50 cases involving 60 individuals in courts across the country. While six cases reached a conclusion, a significant backlog remains, with 273 bribery-related cases currently pending in the judicial system.

Simultaneously, the country continues to grapple with a pervasive drug crisis. According to figures released by the Ministry of Public Security and Parliamentary Affairs, an extraordinary 122,913 arrests were made for drug offences between 1 January and 29 July this year.

Authorities have confiscated vast quantities of illicit substances during this period, including nearly 929 tonnes of heroin, approximately 1.4 million kilogrammes of crystal methamphetamine (commonly known as ICE), over 11 million kilogrammes of cannabis, 27,836 kilogrammes of cocaine, and more than 381,000 kilogrammes of hashish.

On July 29, a large-scale joint operation was launched involving the Sri Lanka Police, the Special Task Force (STF), and the country’s armed forces. A total of 6,695 personnel were deployed across the island to conduct vehicle checks, surveillance, and targeted arrests.

As part of the operation, authorities inspected over 10,000 vehicles and more than 7,700 motorcycles. These efforts led to the arrest of 948 suspects for drug-related offences, in addition to 13 individuals identified as directly connected to narcotics trafficking and distribution networks. Furthermore, three illicit firearms were recovered during the sweep.

President returns from diplomatic mission to the Maldives

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July 31, Colombo (LNW): President Anura Kumara Dissanayake returned to Sri Lanka late on the evening of July 30, following the conclusion of a three-day official visit to the Republic of Maldives.

The visit, held at the invitation of Maldivian President Dr Mohamed Muizzu, marked a significant step in reinforcing the longstanding bilateral relationship between the two Indian Ocean neighbours.

Beginning on July 28, the visit comprised a series of high-level engagements, including comprehensive discussions with President Muizzu, as well as key members of the Maldivian Cabinet and senior government figures. The talks addressed a wide spectrum of topics ranging from bilateral cooperation and regional stability to pressing global matters of shared concern.

Several formal agreements were signed during the visit, reflecting a growing commitment to deepen collaboration in multiple areas. Among them was a Memorandum of Understanding between the Foreign Service Institute of Maldives and Sri Lanka’s Bandaranaike Diplomatic Training Institute.

This pact aims to facilitate the exchange of knowledge, training programmes, and diplomatic expertise between the two institutions. Additionally, a bilateral agreement on mutual legal assistance was concluded, with a focus on strengthening judicial cooperation, particularly in matters relating to criminal justice.

President Dissanayake’s visit included a number of symbolic and diplomatic highlights. A formal state banquet was held in his honour at the Kurumba Resort, hosted by President Muizzu, underscoring the cordial ties between the two nations. On July 30, the Sri Lankan head of state participated in a ceremonial tree-planting event at Sultan Park in Malé. This act, commemorating six decades of diplomatic relations between Sri Lanka and the Maldives, stood as a tribute to the enduring friendship and shared values between the countries.

In addition to official engagements, President Dissanayake addressed a business forum jointly arranged by the Sri Lankan High Commission in Malé and the Sri Lanka–Maldives Business Council of the Ceylon Chamber of Commerce. There, he emphasised the importance of enhancing economic cooperation, particularly in tourism, trade, and labour mobility.

Later, he met with members of the Sri Lankan expatriate community in the Maldives, acknowledging their contribution to strengthening people-to-people links and reaffirming his government’s commitment to their welfare.

The President was accompanied by Foreign Affairs, Foreign Employment, and Tourism Minister Vijitha Herath, along with other senior officials. The delegation’s visit is expected to pave the way for a new chapter of enhanced cooperation, rooted in mutual respect, strategic partnership, and cultural affinity.

“Software Tax” Loophole? – BYD ATTO 3 Vehicles Held at Hambantota Amid Allegations of Tax Manipulation via Motor Power Downgrades

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By: A Special Correspondent

July 31, Colombo (LNW): In a developing controversy with potentially far-reaching fiscal implications, approximately 1,100 units of the BYD ATTO 3 electric vehicle remain detained by Sri Lanka Customs at Hambantota Port, amid allegations of tax evasion through software-based motor capacity manipulation. The matter has caught the attention of the Committee on Public Finance (CoPF) and ignited significant media and public discourse.

The issue first surfaced last week when Samagi Jana Balawegaya (SJB) Member of Parliament Mujibur Rahman raised concerns in Parliament regarding stark discrepancies in the taxation of new and reconditioned BYD ATTO 3 vehicles imported from China.

According to MP Rahman, brand new ATTO 3 vehicles are subject to a tax of approximately LKR 5.5 million, while reconditioned versions of the same model attract only around LKR 1 million in duties. This discrepancy, he asserted, stems from differences in the declared motor capacity—100kW for new units and 150kW for reconditioned ones.

The MP insisted that these vehicles are technically identical, with no difference in hardware, and alleged potential fraud by the importing company. He argued that a tax reduction of approximately LKR 4.5 million per vehicle for the same model is implausible and highly suspicious.

He went further to suggest that the importer might have manipulated the declared specifications to benefit from lower customs duties, thus defrauding the state and undermining public revenue collection.

The Software Downgrade Argument

The company in question, John Keells CG Auto Pvt Ltd, the exclusive local distributor of BYD vehicles and a subsidiary of the John Keells Group, claims that although the vehicles are manufactured with 150kW motors, they have been ‘software-limited’ to 100kW specifically for the Sri Lankan market. They cite that the same software-restricted models are sold in Singapore, and argue that since the manufacturer officially declares the power output as 100kW, taxes should be assessed accordingly.

This explanation has raised critical questions: Does Sri Lanka Customs assess tax based on the physical capability of the motor or the software-controlled output? Can a more powerful, higher-end vehicle receive a lower tax simply due to a software-imposed limitation that could potentially be reversed?

The implications extend beyond mere classification. In the production of electric vehicles (EVs), models with 150kW motors are typically larger, more luxurious, and equipped with superior features compared to 100kW versions. If such vehicles are permitted lower tax rates due to software downgrades, it would not only represent a loss of government revenue but also an unfair commercial advantage for the importer. In this case, the alleged per-vehicle benefit of LKR 4.5 million could amount to LKR 10 billion across the 1,100 detained vehicles and an estimated 1,000 already sold units.

A Dangerous Precedent

The matter has sparked broader concern over the precedent such software-based tax interpretations may set. If this method is accepted, it raises the question of whether other importers could intentionally down-specify or “lock” features via software—from engine power to safety systems—to qualify for reduced taxation, only to later unlock them post-importation.

A hypothetical example posed by critics is whether a six-wheeled vehicle could be taxed as a four-wheeled one if two wheels were “locked” or rendered inactive by design or software, with the manufacturer certifying it as such. If the company goes on saying that a luxury car with a motor power of 390kW, which is in their stock, is locked to 100kW via software and sent to Sri Lanka, will it also be exempted with a lower tax of Rs. 2.5 million?

Chinese EV Manufacturers Watching Closely

Compounding the issue is intelligence suggesting that three other Chinese electric vehicle manufacturers are monitoring how the Sri Lankan government addresses this loophole. Should the software limitation approach be accepted, these companies are reportedly ready to similarly downgrade 150kW vehicles to 100kW via software and export them to Sri Lanka.

This could potentially cost the Sri Lankan government hundreds of billions of rupees in lost tax revenue over time, a burden that would ultimately fall on the general public.

The broader concern is whether this might open the floodgates to widespread tax evasion under the guise of software-based modification, with little to no enforceability once the vehicles are in private hands. Given Sri Lanka’s ongoing fiscal recovery amid an economic crisis, any form of systemic revenue loss would be catastrophic.

Concerns Over Enforcement and Tampering

There is also significant scepticism about Sri Lanka’s ability to enforce such software restrictions, should these vehicles be allowed in under the 100kW classification. In a context where technical tampering is common and accessible, critics worry that local firms could simply restore the vehicles to their original 150kW capacity—thereby enjoying the benefits of lower tax while still selling or using higher-performance vehicles.

John Keells: A Controversial History

The issue is further complicated by the involvement of John Keells Holdings, which has faced previous allegations of tax avoidance and regulatory evasion.

One notable instance dates back to 2002, when John Keells acquired Lanka Marine Services Ltd (LMSL) from the Ceylon Petroleum Corporation (CEYPETCO) through the Public Enterprise Reform Commission (PERC). The sale was legally challenged by former MP Vasudeva Nanayakkara, and in 2008, the Supreme Court ruled the privatisation illegal, ordering the return of the business to the state and citing unfair tax concessions granted to John Keells.

More recently, the company has come under fire for its “City of Dreams – Sri Lanka” integrated resort project, set to open on August 02. Allegations have emerged that a casino, operated by Melco Resorts & Entertainment Ltd, a Hong Kong-listed firm led by Lawrence Ho Yau Lung, is being included in the development and may have benefited from tax concessions under the Strategic Development Act—despite a 2015 Cabinet decision prohibiting such activity. Under Sri Lankan law, casino operations are ineligible for tax incentives, further fuelling suspicions of preferential treatment.

An Urgent Need for Accountability

This incident has exposed gaping vulnerabilities in Sri Lanka’s customs and taxation systems, particularly concerning the treatment of software-modifiable goods such as electric vehicles. If permitted, it could pave the way for a new form of sophisticated tax evasion, facilitated not by smuggling or falsified documents, but by technical ambiguity and regulatory oversight.

Big businesses are vital to economic growth—but only when they adhere to the rule of law. If allowed to manipulate systems for personal or corporate gain—especially during a time of national economic fragility—they cease to be national assets and instead become economic liabilities.

The Sri Lankan government must act decisively to resolve this issue and close any regulatory gaps that allow for the circumvention of fair tax practices—lest it risk further undermining public trust and jeopardising long-term economic recovery.

Atmospheric conditions favourable for evening thundershowers (Jul 31)

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July 31, Colombo (LNW): Atmospheric conditions are getting favourable for evening thundershowers in the Northern, North-Central, Uva and Eastern provinces during the next few days, the Department of Meteorology said in its daily weather forecast today (31).

Showers or thundershowers will occur at several places in Northern, North-Central, Central, Uva and Eastern provinces after 1.00 p.m. Fairly heavy falls above 50 mm are likely at some places.

A few showers may occur in Western and Sabaragamuwa provinces and in Galle and Matara districts.

Fairly strong winds of about 40 kmph can be expected at times over Southern province.

The general public is kindly requested to take adequate precautions to minimise damages caused by temporary localised strong winds and lightning during thundershowers.

Marine Weather:

Condition of Rain:
Light showers may occur in the sea areas off the coast extending from Colombo to Matara via Galle.

Winds:
Winds will be westerly to south-westerly and wind speed will be (30-40) kmph.

Wind speed can increase up to (50-55) kmph at times in the sea areas off the coast extending from Colombo to Hambantota via Galle.

State of Sea:
The sea areas off the coast extending from Colombo to Hambantota via Galle will be rough at times.

The wave height may increase (about 2.0 – 2.5 m) in the sea areas off the coast extending from Colombo to Hambantota via Galle (this is not for land area).

John Keells CG Auto Denies Allegations on BYD Vehicle Imports, Reaffirms Compliance and Transparency

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John Keells CG Auto (Pvt) Ltd (JKCG), the authorized distributor of BYD vehicles in Sri Lanka, has issued an official statement addressing recent media reports concerning the import of certain BYD vehicle models. The company has clarified that the vehicles in question were imported directly from the manufacturer, BYD in China, and are fully compliant with all local regulations.

JKCG reassured stakeholders and the public that the vehicles have a motor power rating of 100 kW and are identical to those available in international markets such as Singapore. These specifications have been verified by test reports from BYD China and further certified by an independent testing body.

The company emphasized its ongoing cooperation with relevant authorities and reaffirmed its commitment to transparency. “We are providing all necessary documentation to support this process and will keep our customers and stakeholders informed as the matter progresses,” the statement read.

JKCG further confirmed that all vehicle imports were conducted in full compliance with applicable Sri Lankan laws, dispelling any doubts raised in recent social and mainstream media coverage.

High-Profile Arrests Shake Sri Lanka’s Security Establishment: The Cases of Admiral Nishantha Ulugetenne and Former SDIG Priyantha Jayakody

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By: Ovindi Vishmika

July 30, Colombo (LNW):
In a dramatic turn of events, Sri Lanka’s security and law enforcement agencies have been shaken by the arrest of two prominent figures,former Commander of the Sri Lanka Navy, Admiral (Retd.) Nishantha Ulugetenne, and former Senior Deputy Inspector General of Police (SDIG) Priyantha Jayakody. These high-profile arrests have sent shockwaves through the political and law enforcement circles, revealing the complex and often murky relationship between powerful officials, the military, and the police in the island nation.

Admiral Nishantha Ulugetenne: Arrested Over Wartime Disappearance

On July 27, 2025, Admiral (Retd.) Nishantha Ulugetenne, a decorated military officer who had served as the Commander of the Sri Lanka Navy from 2020 to 2022, was arrested by the Criminal Investigations Department (CID) in connection with a wartime disappearance that occurred during his tenure as the head of naval intelligence.

Ulugetenne, who played a pivotal role in the Sri Lankan Navy’s operations during the final years of the civil war, was taken into custody after an investigation into the alleged disappearance of an individual in the Pothuhera Police area. While the details of the case remain under wraps, police spokesperson ASP F.U. Wootle stated that more information would be provided once the CID Director was briefed. As of now, Ulugetenne has been remanded until July 30 by the Polgahawela Magistrate’s Court.

The arrest is particularly significant, as Ulugetenne had not previously been investigated in connection with the allegations of wartime atrocities, despite the fact that several senior military officers have been probed for their roles during the civil war. As head of naval intelligence, Ulugetenne was heavily involved in the planning of operations that targeted the LTTE’s floating warehouses, a campaign that was backed by both local and US intelligence agencies. This arrest marks a critical moment in Sri Lanka’s ongoing investigation into war-era abuses.

Moreover, Ulugetenne’s arrest is the first high-profile case to be made since the rise of the National People’s Power (NPP) government in 2024. Ulugetenne’s connection to former Navy Commander Vice Admiral Wasantha Karannagoda and his tenure under the presidency of Gotabaya Rajapaksa raise questions about the ongoing political dynamics surrounding these investigations, with some speculating that the arrest could be politically motivated.

Ulugetenne’s subsequent appointment as Sri Lanka’s Ambassador to Cuba in 2024 under the presidency of Ranil Wickremesinghe further highlights the complex intersection of military, political, and diplomatic affairs in Sri Lanka. The arrest has raised more questions than answers, with many waiting to see how this investigation unfolds.

Priyantha Jayakody: Allegations of False Complaints and Underworld Connections

Simultaneously, former SDIG Priyantha Jayakody found himself in the spotlight after being arrested in connection with a separate, yet equally alarming, case. Jayakody, who served in the police force for decades, was taken into custody on July 28, 2025, after the CID uncovered that he had allegedly orchestrated a false complaint claiming he had received death threats from a notorious underworld figure, ‘Kehelbaddara Padme.’

The investigation revealed that Jayakody’s actions were not just an isolated incident but part of a broader attempt to protect his personal safety by fabricating a connection to underworld figures. This revelation came to light after the arrest of a suspect, who allegedly pretended to be ‘Kehelbaddara Padme,’ and falsely threatened former Public Security Minister Tiran Alles and Senior Deputy Inspector General Lalith Pathinayake at Jayakody’s request.

The man behind the threats, arrested by the CID, had claimed to be an overseas underworld figure, and during interrogations, it was revealed that Jayakody had facilitated these threats in an effort to create a façade of danger. Both Minister Alles and SDIG Pathinayake had filed complaints claiming to have been targeted by the fabricated threats.

Jayakody, who is currently receiving medical treatment at a private hospital in Ragama, was presented before the Mahara Magistrate’s Court on July 29 and remanded until August 6, 2025. His arrest has triggered a series of questions about the abuse of power within Sri Lanka’s police force, particularly the potential for senior officers to manipulate the system for personal gain. The investigation continues, and authorities are probing whether other officials were involved in the orchestration of these false claims.

A Pattern of Corruption and Power Abuse?
The arrests of Ulugetenne and Jayakody come at a time when Sri Lanka is still grappling with the fallout of the 2019 Easter bombings, the collapse of the Rajapaksa government, and ongoing efforts to bring transparency and accountability to the country’s security institutions. Both individuals were once seen as powerful figures within their respective fields, with Ulugetenne commanding the Navy during a critical period of Sri Lanka’s military history and Jayakody holding one of the highest-ranking positions in the Sri Lanka Police Service.

Their arrests have reignited public concerns over systemic corruption and abuse of power within Sri Lanka’s military and law enforcement agencies, particularly in relation to the misuse of state resources and the alleged involvement of high-ranking officials in criminal activities. In Ulugetenne’s case, the wartime disappearances are a particularly sensitive topic, as Sri Lanka continues to face international scrutiny for alleged human rights violations during its brutal civil war against the Tamil Tigers (LTTE). Meanwhile, Jayakody’s case underscores the ongoing problems with underworld connections within the police force, as well as the ease with which some individuals have manipulated the system for personal protection or advantage.

While both arrests signal a step toward accountability, they also highlight the deep-rooted issues within Sri Lanka’s security apparatus. As investigations continue, the country’s citizens, political analysts, and human rights organizations will be closely monitoring these developments, hoping for meaningful reform in a system that has long been criticized for its lack of transparency and accountability.

Unraveling the Past, Rebuilding the Future

The high-profile arrests of Admiral Nishantha Ulugetenne and former SDIG Priyantha Jayakody reflect the broader challenges Sri Lanka faces as it attempts to address its troubled past and rebuild its institutions. Whether these cases represent a genuine move toward greater accountability or are merely a political maneuver remains to be seen. Regardless, they underscore the need for a thorough and impartial investigation into the practices that have plagued Sri Lanka’s military and law enforcement sectors for decades.

In the coming weeks, as these investigations unfold, the people of Sri Lanka will undoubtedly be watching closely, hoping that the truth will emerge and that the path toward a more transparent and accountable future will be paved.