By: Staff Writer
June 05, Colombo (LNW): Sri Lanka’s foreign employment sector—vital for national income and family livelihoods—is facing a crisis of credibility amid revelations of large-scale financial mismanagement and fraud within the Sri Lanka Bureau of Foreign Employment (SLBFE).
Alarming findings unveiled by the Committee on Public Enterprises (COPE) have cast a shadow over the Bureau’s operations, with unplanned expenditures and fraudulent practices threatening the integrity of overseas job opportunities for thousands of Sri Lankans.
At the centre of the controversy is the SLBFE’s unauthorized spending of more than Rs. 1.3 billion on two initiatives in 2024—the ‘Glocal Fair’ and ‘Vigamanika Harasara’—which were not included in its annual action plan and had no Cabinet approval prior to execution.
These findings came to light during a COPE meeting chaired by Dr. Nishantha Samaraweera, where parliamentarians condemned the Bureau for diverting significant public funds away from essential services.
The ‘Vigamanika Harasara’ initiative, aimed at connecting with migrant worker communities in three provinces, cost Rs. 63 million.
However, it was dwarfed by the Rs. 1.259 billion price tag attached to the ‘Glocal Fair’, a programme that purported to bring Foreign Employment Ministry services to rural areas. Notably, the ‘Glocal Fair’ was launched without Cabinet clearance, with approval sought only after the programme was already underway.
COPE members sharply criticised the Bureau for these expenditures, pointing out that only Rs. 2 million had been typically allocated for such outreach programmes in previous years. Questions were also raised about inflated costs—such as trade stalls priced at Rs. 170,000 and Rs. 500,000—suggesting potential procurement irregularities.
“The Bureau has clearly deviated from its core responsibilities,” said COPE Chair Dr. Samaraweera, stressing that resources intended for sustainable development were being misdirected into poorly planned ventures.
Adding to the Bureau’s woes, COPE also flagged the failure of a housing loan initiative named ‘Rataviruwo,’ launched in 2013 in collaboration with the Samurdhi Authority. The Bureau has yet to recover Rs. 100 million from the programme, which never delivered on its objectives. Officials admitted they have no data on who benefitted and were ordered to produce a full report.
Parliamentarians further urged the SLBFE to use its Rs. 18 billion in fixed deposits more strategically. Likewise, the dormant Kuwait Compensation Fund—holding Rs. 5.1 billion as of end-2023—was cited as an untapped resource. Officials said the fund would be used for domestic worker training and to develop a pension scheme for migrant workers.
Most concerning, however, were COPE’s revelations of financial fraud involving employment agencies. Some agencies were reportedly misrepresenting independently migrating workers as agency-sponsored to fraudulently claim a 70% refund on registration fees. A sub-committee will be appointed to investigate these allegations.
