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ZRA Company Ltd takes over collapsed Finance & Guarantee companies

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By: Staff Writer

Colombo (LNW): ZRA Company Ltd., a privately owned firm has taken over two collapsed companies belonging to the defunct conglomerate Ceylinco Group, Finance & Guarantee Real Estate Company Ltd., and Finance & Guarantee Property Developers (PDL), under the directives of the Supreme Court.

Being one of the three bidders ZRA Holdings succeeded in clinching the deal under the supervision of the Central Bank and filtration by KPMG Public Accountants & Management Consultants.

Both Companies collapsed in 2008 when there was a run on the deposits held by them as well as a run on deposits held by other subsidiaries and related companies in the Ceylinco Group.

After a lapse of nearly 15 years the nearly 4000 depositors with deposits amounting to around Rs. 4,200 Million will be able to get a part of their life long savings from the two Companies.

The Settlement Plan prepared by the Central Bank in 2017 and submitted to the Supreme Court based on the value of Company assets at the time specified that the depositors in RECL be paid 61% on the deposits without any interest thereon and depositors in PDL be paid 51% of the deposits without interest thereon.

The unsecured creditors were allowed payment at 70% of the value of amounts due to them. The secured creditors are not mentioned in the Plan thus prima facie allowing 100% settlement to them.

Records in both Companies together reflect nearly 4000 depositors – some dead, some gone abroad, some broken down in health and some made paupers in the long drawn struggle to claim their life long savings.

ZRA Holdings also secured the Fingara International Cricket Academy and the Fingara Town & Country Club which are wholly owned subsidiaries of The F&G Real Estate Company.

The entire package of company assets now amounts to nearly Rs. 8,500 Mn and liabilities of Rs 4,200 Mn were given to ZRA Holdings for a paltry sum of Rs 500 Mn investment in the Companies.

A smart move by ZRA which went unnoticed by the authorities is that ZRA secured shares in the Company at a price of 10 cents per share thus getting 2,500 million shares for a price of Rs 250 Mn in each of the two Companies while agreeing to issue shares to the Depositors at Rs. 10 per share.

Steps are being hurriedly taken to issue the non-voting shares which will be about 2 million shares in each company making it a negligible minority shareholding. The once vociferous and active Depositor Associations have gone silent on this issue.

The instalment payments of the 51% and 61% of deposits will be paid in 4 instalments every 6 months commencing from 11th March 2024 and ending in 11th September 2025.

The New Board of Directors in F&G RECL and F&G PDL and the Cricket Academy and the Town & Country Club Include P.S Subasinghe, M. Edirimanne, L. J. Isaac, Dixon Nilaweera and Ranjan Silva.

US and CCC welcome the IMF approval of EFF 1st review for SL reforms

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By: Staff Writer

Colombo (LNW): The United States of America and the Ceylon Chamber of Commerce welcomed the IMF Executive Board approval for Sri Lanka’s first Extended Fund Facility review for growth enhancing reforms.

“We welcome the positive news from the IMF Board about the completion of the first Extended Fund Facility review with Sri Lanka, providing access to about $337 million for Sri Lanka to use to support its economic reforms and policies,” said US Ambassador to Sri Lanka Julie Chung.

She said that this crucial step for Sri Lanka emphasizes the continued importance of sustained reforms, and improved governance for the country’s progress, while safeguarding the most vulnerable.

The Ambassador said that the United States will continue to support Sri Lanka’s path to economic stability and prosperity.

On Wednesday (12), the IMF Board completed the first review under the 48-month Extended Fund Facility with Sri Lanka, providing the country with access to about US$ 337 million to support its economic policies and reforms.

The IMF said that Sri Lanka’s performance under the program was satisfactory.

“All but one performance criteria and all but one indicative targets were met at end-June. Most structural benchmarks due by end-October 2023 were either met or implemented with delay,” it added.

The Ceylon Chamber of Commerce welcomes the Board approval of the International Monetary Fund’s (IMF) completion of its first review under the 48-month Extended Fund Facility (EFF) with Sri Lanka.

“This milestone, granting Sri Lanka access to approximately $ 337 million, underscores the nation’s commitment to fulfilling key performance criteria and benchmarks,” Ceylon Chamber said in a statement.

“Notably, this includes the release of the Governance Diagnostic Report and initiating debt restructuring agreements with key international creditors.

These steps signify Sri Lanka’s robust commitment to reform, particularly in revenue-based fiscal consolidation, bank recapitalisation, and enhanced financial supervision, aligning with efforts to restore debt sustainability, rebuild reserves, reduce inflation, and ensure financial stability.

The Government’s dedication to improving governance and safeguarding the vulnerable sectors of society is also commendable,” the Ceylon Chamber said.

Acknowledging these achievements as highlighted by the IMF, the Ceylon Chamber emphasised the need to continue this reform momentum.

Despite the advancements made, unchanged business sentiment since late 2023 reflects subdued confidence primarily due to persistent challenges, underscoring the imperative for continual reform, particularly in fostering growth.

In light of recent increases in taxation, which has contributed to inflation and impacted people’s purchasing power, the Chamber underscored the necessity of economic growth to improve these aspects.

The Ceylon Chamber said it advocates prioritising sectors such as tourism, ports and logistics, renewable energy, and exports and emphasises the importance of digitalisation of revenue authorities and other government agencies, as well as the introduction of advanced technology in the agricultural sector.

The digital initiatives aligned with the IMF’s guidelines are crucial for enhancing fiscal efficiency, transparency, and governance.

Reforms envisaged for university humanities faculty

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Colombo (LNW): State Minister for Higher Education Dr. Suren Raghavan has revealed ambitious plans for comprehensive reforms within the Humanities Faculty of Sri Lankan universities, aimed at revitalising the education sector.

President Ranil Wickremesinghe is spearheading the establishment of a National Higher Education Authority, tasked with conducting thorough research on ongoing education reforms regionally and globally.

Substantial financial allocations have been designated for the education and higher education sectors to implement reforms in the Humanities Faculty, with a specialised discussion session planned for the coming month.

The National Higher Education Authority aims to align education with 21st-century standards and centralise university administration. To enhance administrative efficiency, Deputy Vice-chancellors will be appointed alongside existing Vice-Chancellors.

Efforts are being made to repatriate lecturers and professors who have pursued opportunities abroad, encouraging them to contribute to teaching and research in local universities.

Initiatives to curb university violence include a plan to enrol 41,000 students in the upcoming academic year.

These students must participate in a four-month social service activity aligned with their chosen subjects as a prerequisite for university admission. The programme aims to create a conducive atmosphere for quality education.

Illegally acquired assets from drug smuggling, underworld operations to face confiscation

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Colombo (LNW): Plans are underway to confiscate illegally acquired property and wealth from drug smubbling and underworld operations within the next months, announced acting Inspector General of Police (IGP) Deshabandu Tennakkon.

Speaking at an event in Ambalangoda, Tennakkon highlighted the prevalence of underworld activities, particularly in the Western and Southern Provinces, constituting 7 per cent of the total.

He identified 1,091 individuals involved in such activities, with information on 790 gathered.

To curb escape attempts, CCTV cameras have been installed at airport exit terminals, he went on, adding concern that about 70,000 individuals with open warrants whose whereabouts remain unknown.

New COVID-19 variant JN.1 case found in India

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Colombo (LNW): A concerning discovery has emerged in Kerala leading to the existence of a JN.1, a sub-variant of COVID-19, which is currently making waves in the US and China, a report by Times of India disclosed.

This revelation stems from the vigilant surveillance conducted by INSACOG (Indian SARS-CoV-2 Genomics Consortium), according to report.

Dr. Rajiv Bahl, the Director-General of ICMR, disclosed that the case was detected in an RT-PCR positive sample from Karakulam, Thiruvananthapuram, Kerala, on December 8. Remarkably, the sample had initially tested positive on November 18.

The patient experienced mild symptoms of Influenza-Like Illness (ILI) but has since recovered. The Union Health Ministry is actively liaising with state health authorities, closely monitoring the situation at key entry points.

In an assertive move, a comprehensive mock drill is underway across health facilities in various states through district collectors, part of a routine exercise to evaluate their public health and hospital preparedness. This initiative is set to conclude by December 18.

Notably, Kerala has witnessed a surge in COVID-19 cases in recent weeks, attributed to an upswing in the number of samples from ILI cases referred for testing.

While most cases are clinically mild and recuperating at home, the global COVID-19 landscape has seen a marginal uptick in early December, as indicated by the World Health Organisation (WHO) dashboard.

SL expects a shipment of 15 million imported eggs today (Dec 17)

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Colombo (LNW): To meet festive season demand, Sri Lanka expects a shipment of 15 million imported eggs arriving on December 17, the Sri Lanka State Trading (General) Corporation confirmed.

The corporation plans to distribute 10 million quality-assured eggs to Sathosa outlets on December 18.

Chairman Asiri Walisundara asserted that the consignment will arrive tomorrow and will undergo testing before release.

Trade Minister Nalin Fernando granted permission for the State Trading Corporation to import eggs until April 2024 to curb rising prices.

Local producers recently stated eggs cannot be sold below Rs. 55 until Christmas.

Today’s (Dec 17) weather: Several provinces to experience fairly heavy showers about 75mm

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By: Isuru Parakrama

Colombo (LNW): Showers will occur at times in Northern, North-central, Eastern and Uva provincesand in Hambantota district, with showers or thundershowers being expected at several places in other areas of the island after 1.00 p.m, the Department of Meteorology said in its daily weather forecast today (17).

Fairly heavy showers about 75 mm are likely at some places in Northern, North-central and Eastern provinces, the statement continued.

The 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:
Showers or thundershowers will occur at times in the sea areas off the coast extending from Puttalam to Trincomalee via Mannar and Kankasanthurai.Showers or thundershowers will occur at several places in the other sea areas around the island.
Winds:
Winds will be North-easterly and wind speed will be (30-40) kmph. Wind speed may increase up to (50-60) kmph in the sea areas off the coast extending from Colombo to Batticaloa via Puttalam, Mannar, Kankasanthurai and Trincomalee.
State of Sea:
The sea areas off the coast extending from Colombo to Batticaloa via Puttalam, Mannar, Kankasanthurai and Trincomalee can be rough at times. The other sea areas around the island will be fairly rough. Temporarily strong gusty winds and very rough seas can be expected during thundershowers.

Sri Lankan Ambassador to Nepal Highlights Economic and Cultural Ties

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Air Chief Marshal Sudarshana Pathirana (Retd), Sri Lanka’s newly appointed Ambassador to Nepal, formally presented his credentials to President Ramchandra Paudel at “Sheetal Niwas” in Kathmandu on December 14, 2023.

In their meeting, Ambassador Pathirana conveyed warm regards from the Sri Lankan President, emphasizing the robust cultural bonds shared between Sri Lanka and Nepal. He stressed the imperative of bolstering economic relations between the two nations as a key agenda during his tenure. Additionally, he explored avenues for collaboration in education, healthcare, and technology to fortify the bilateral relationship.

President Paudel, while congratulating Ambassador Pathirana on his new role, underscored the enduring Buddhist and cultural connections between Sri Lanka and Nepal. He highlighted the historical friendship between the two countries and advocated for the initiation of direct air connectivity linking Colombo and Lumbini to benefit pilgrims.

Ambassador Pathirana boasts an illustrious career, commencing in the Sri Lanka Air Force (SLAF) as an officer cadet in 1985. His educational journey includes a Master’s Degree in Operational Art and Science from Air University, Alabama, a second Master’s Degree in Defence Studies and Management from General Sir John Kotelawala Defence University, and additional qualifications from institutions in Bangladesh, India, and the USA. Notably, he served as the 18th Commander of the Sri Lanka Air Force until his retirement in 2023, having held various significant positions during his tenure.

Accompanying the Ambassador to the credentials ceremony were Minister Counsellor Nilusha Dilmini and Attaché Madusha Gunasekara from the Sri Lanka Embassy in Nepal.

HIV Statistics and Preventive Measures Highlighted by Consultant Venerologist

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Dr. Thilani Rathnayake, Consultant Venerologist at Anuradhapura Hospital, shed light on Sri Lanka’s HIV landscape, revealing an estimated 3,600 to 4,000 individuals living with HIV in the country. Notably, 607 new cases of HIV infections were reported recently, underscoring the ongoing concern surrounding sexually transmitted diseases (STDs).

Dr. Rathnayake emphasized that more than 6,000 individuals seek treatment annually at 41 sexual health clinics across general hospitals for various STDs. Among these, genital herpes registers the highest number of cases, while Gonorrhoea, Syphilis, and genital warts remain common STDs.

Reflecting on the situation in the Anuradhapura district, Dr. Rathnayake disclosed that last year, 113 HIV cases were reported. In the sexual health clinics, 727 patients sought assistance, with 375 female and 352 male patients. Among them, 21 cases of Gonorrhoea, 13 cases of Syphilis, 94 cases of genital herpes, and 75 cases of genital warts were detected.

Highlighting the importance of early diagnosis and treatment, Dr. Rathnayake stressed that prompt intervention plays a pivotal role in HIV prevention, as well-controlled patients have a notably low risk of transmitting the virus. She mentioned two effective vaccines—Hepatitis-B and HPV—that serve as preventive measures against STDs.

Hepatitis-B vaccination is recommended for individuals with acute hepatitis-B infection, drug users, and HIV-positive individuals to curb new infections. Additionally, the human papillomavirus (HPV) vaccine, eligible for girls aged 9-12, is proven to prevent 90% of cervical cancer cases and the occurrence of genital warts, offering a significant shield against HIV-related complications.

Surge in Childhood Asthma Linked to Prolonged Rainfall, Warns Leading Paediatrician

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Lady Ridgeway Hospital’s Consultant Paediatrician, Dr. Deepal Perera, highlighted a concerning uptick in childhood asthma, attributing it to prolonged rainfall spanning three to four months. He emphasized a surge in children grappling with viral fevers, directly associated with the persistent rain.

Dr. Perera underscored the importance of vigilance: urging parents to refrain from sending children displaying symptoms like cough, cold, or fever to school or day care centers. Explaining that these viral ailments predominantly affect the upper respiratory system, he also flagged an alarming rise in dengue cases among children.

In addition to respiratory conditions, Dr. Perera cautioned about the spread of eye diseases, urging parents to adopt stringent health measures to safeguard children from these escalating viral infections.