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SRI LANKA: 22nd Amendment Bill – Fundamentals are wrong

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By Basil Fernando

The amendment of a constitution is a serious task. However, some may argue that it is not such an important task as far as Sri Lanka is concerned. That is because of the most trivialized manner in which Constitutional Amendments have been brought about in Sri Lanka in the recent years. However, if the amendments to a constitution are treated in such a fashion, then that will further affect the nation and the State negatively. In a country which has already taken a downturn, introducing any Constitutional Amendment in such a trivial manner itself needs to be condemned.

For a constitutional amendment to be meaningful, it must be concerned with the extension of the fundamental notions around which the existing constitution is based. Trying to match a set of fundamentals in a constitution with a contradictory set of principles set out in an amendment is virtually an absurdity. The fundamentals that belong to the main instrument which is the 1978 Constitution will in any case prevail against such Amendments and the Amendments would be of very little use except to create greater obstacles to national objectives.

As the Constitution of the Republic, the 1978 Constitution is fundamentally flawed. The most foundational notion of a republican constitution is the foundational notion of the rule of law. It is the rule of law that determines the content and the structure and the depth of the constitution. The 1978 Constitution was an attempt to displace the rule of law and to replace it with the rule of the Executive. The making of republics in history has happened in the opposite direction. The republic was developed to subdue the over powerful executive. The fundamental principle of a republic was the rule of law. Thereby, everyone was brought under the laws that were made publicly.

Thus, the very notion of the sovereignty of the people is inseparably bound with the notion of the supremacy of the law. If the supremacy of the law is replaced, then the sovereignty of the people becomes meaningless. The way that people by electing a government hand over their sovereignty to the government is again a false position because the peoples’ consent to obey a government is based on the notion that the government will conduct itself only within the framework of the rule of law. Thus, what protects the peoples’ sovereignty is the rule of law. It also protects the state itself because all attempts by the executive to displace the rule of law also results in the undermining of the framework of the state itself.

In Sri Lanka, by a gradual process, the state became a negative institution which exists even against its own interests and naturally against the interests of the people. What Sri Lanka is faced with at this moment in terms of the economic collapse, the collapse of the political system and also the enormous hardships that virtually threaten the way of life and even the survival of many people, is a direct result of that process of the displacement of the rule of law by the 1978 Constitution.

Therefore, it is not possible to bring about an amendment to the 1978 Constitution. Where the fundamentals are wrong, then the fundamentals have to be reinstated. If the fundamental notion of the rule of law is to be reinstated within the framework of the Constitution of Sri Lanka, then the existing 1978 Constitution will cease to exist. The 1978 Constitution and the rule of law are opposites. One cannot exist without destroying the other. So far, the arrangements of the 1978 Constitution have been destroying the rule of law. If there is going to be a change, it is necessary to develop the fundamental law of the country on the basis of the foundational principle of the rule of law, whereby the ideas as well as the structure of the 1978 Constitution will be completely negated.

Executive President of a Country with An Empty Treasury

In order to popularize the approach of amending the Constitution as an alternative, the propaganda line that has been followed is to state that the 22nd Amendment to the Constitution will weaken the Executive President. The Executive President is only a creature of the 1978 Constitution. The only way to displace the Executive Presidential system is the replacement of the rule of law within the framework of the Constitution. When the rule of law principle is reinstated, the Executive Presidential problem will become irrelevant.

The Parliament is also a Creature of the 1978 Constitution

The argument that the powers of the Executive President should be handed over to the Parliament is itself flawed. The Parliament as it exists today is also a creature of the 1978 Constitution. Thus, the Executive President and the Parliament are both creatures created under the 1978 Constitution. They are part of a common structure. The purpose of the Parliament was no longer to be an independent institution which has the power to make the laws through a public process solely for the benefit of the State and the people. That kind of Parliament ceased to exist by the enactment of the 1978 Constitution. If Parliamentary supremacy should exist within the Republic, that Constitution must be replaced. For that, it is essential to go back to the creation of a constitution on the foundational principle of the rule of law.

Where the rule of law is absent, the parliament itself is an enemy of the state and the people. All the destruction that was caused in Sri Lanka is not only a product of the Executive President but also a product of the subversive Parliaments which were elected under the 1978 Constitution. Had it not been for the Parliament, the Executive President could not have achieved the negation of good governance within the country and paralyzed the functioning of public institutions which are essential to the well-being of the State and also the people. Therefore, a Parliament that is equally responsible for the destruction caused in the country cannot be the replacement of the Executive Presidential system. For a parliament to function as a parliament of a republic, first of all, the constitution must reinstate the principle of the rule of law as the basic principle governing the entire constitution and its structure and functions. That will strengthen not only the executive and the parliament, but also the public institutions which are essential for the functioning of a government. At the moment, Sri Lanka is witnessing the failure of such public institution as a result of the situation brought about by the 1978 Constitution which created the Executive Presidency and the Parliamentary system with a very negative character. This negative character could be removed only by removing its cause, which is the displacement of the fundamental notions of the anti-democratic Constitution.

Executive Presidency has already been Dwarfed

In any case, the Executive President of Sri Lanka is now weaker than any other Head of State anywhere in the world except perhaps similar places like Lebanon. When the executive cannot command the nation’s treasury, then it has lost all its capacity and power. The Sri Lankan Executive President does not have a Treasury at his command. He cannot even bring the most essential goods to the nation and also maintain the most essential services without causing hyper inflation and enormous hardship to the people. Purely on paper, the president may have a lot of powers. In reality, today, his power is of no consequence. Everyone ignores him, particularly those sectors of the business communities which are exploiting the present situation for their own betterment. The executive president cannot in any way command his forces in order to even to ensure that whatever little wealth that is there within the nation be utilized for the benefit of the state and for the benefit of the people.

Frank Kafka’s Hunger Artist

The situation of the Executive in Presidency in Sri Lanka reminds one of a short story written by Frank Kafka on a hunger artist. The hunger artist came to attend public exhibitions where many other artists also came and did their performances. His art was to starve himself for many days. The longer he remained in starving, the more the crowds came and watched his situation. However, as time passed, many other new attractions came into these playgrounds and the attention of the people shifted to these new fashions. The hunger artist was ignored. However, he kept on his fast to an extent that finally he even forgot the need to eat at all. The cage in which he performed was there but nobody remembered him. That is the fate that is awaiting the Executive Presidential system in Sri Lanka. That process has already been completed. It is an institution that nobody wants and against that institution, the entire nation has arisen.

22nd Amendment as a diversion

The issue is, what is to replace the 1978 Constitution? This is an issue that needs to be addressed. The 22nd Amendment Bill is an attempt to create a diversion from the central task that needs to be addressed if the country has to find its way out of this tremendous calamity of economic crisis, the political system crisis and also crisis in all aspects of life in Sri Lanka. Wasting time on such diversions may be a past time for some politicians who may seek their own advantages, still imagining that the old world still exists. The old world is dead in Sri Lanka.

The paramount demand in Sri Lanka should be the restoration of a republican constitution with the foundational notion of the rule of law at the centre. That will bring about the order that is required for the country and also that will strengthen the public institutions that will serve the country under these circumstances. Above all, the rule of law is the greatest barrier against the rampant corruption that has spread like cancer into all aspects of governance within Sri Lanka. All public institutions are affected by this and the people are suffering as a result of this overwhelming corruption. Corruption can in no way be dealt with unless the rule of law is restored and law enforcement is given the primacy of place that it deserves in any functional state.

Asian Human Rights Commission

Colombo Swimming Club at War

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Comment by a concerned citizen who is a member of the Colombo Swimming Club, divulging staggering events surrounding the club.

Dear fellow members,

I am addressing this to you as a long standing member of our club which is now unnecessarily being dragged into political confrontation to the detriment of our clubs standing. A highly respected professional asked me why the Swimming Club is involved in sabotaging the attempts to stabilise the economy carrying on a hate campaign against the PM including surrounding his private residence when the IMF Delegation was here as well as funding the protestors outside Temple Trees. This had been talked of at a diplomatic function. I immediately denied this but made inquiries and found that our President Kishan Karunaratne has been engaging in all these acts and that the youth in the protests opposite Temple Trees are under the impression that our club is backing them to the extent of discussing whether they could request using our toilet facilities. He has been providing them with meals while coming out of our premises and checking on them.

It was Kishan who first posted a message calling for people to surround the PMs private residence and was a key figure there along with a number of pastors of his Born Again Church.He was with Hirunika as well outside PMs house.His social media pages are filled with attacks on the PM in the most degrading manner calling him names. One post says that after Ranil there are gas queues and petrol queues. We have been told that gas will be available from the 6th. We also know that power cuts were reduced from 13 hours to 3 fertiliser is sorted out and if gas arrives it is the petrol that has to be done. All leaders say they need from 6 months to 5 years to sort out the problems caused by the Rajapakses and we have to wait for results. Karunaratne is an economist by profession and should know that this level of bankruptcy cannot be sorted in two months.

Every citizen is entitled to his opinion and political activism as is Kishan. But when they give leadership to any organisation they are bound to safeguard the organisation and ensure that they do not act in anyway that disgraces the institution. If Kishan wishes to dally with Hirunika or any other to topple governments he is free to do so but must not sully the good name of the club. One cannot wear two hats if one comprises the other and Kishan will have to choose.

We must remember that governments have nationalised clubs. Had this been done against him and Mahinda been in power our club would have been targeted for revenge. At a time when gangs are indulging in looting and arson we could easily be attacked by those opposed to Kishan’s actions. And there are no excuses for Kishan’s actions are those of a thug and he is inciting hatred and violence by publishing lies and half truths.

Our members are chosen after much scrutiny and entry is only for the best. As leaders in business and professions we must lead by example to stabilise the nation and not lead it to anarchy like uneducated youth.We pay high fees for membership to be exclusive and keep our status. Must then we be led by a thug and liar who has tarnished the club reputation by his actions.

I would therefore suggest that Kishan Karunaratne resigns and continue his vendtta from outside and a new President who can restore the dignity of the club and its membership be elected. If however he persists on damaging the club further we the membership would have to take appropriate action.

Public interest

US Independence Day parade in Chicago disrupted by gunfire. Multiple people shot

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Multiple people shot at July 4 Independence Day parade in Chicago suburb of Highland Park

Chicago: Multiple people were shot at barely 10 minutes after the July 4 Independence Day parade began in the Highland Park area of Chicago. Highland Park Police said that there was an ‘active shooter’ in the area. “We are assisting Highland Park Police with a shooting in the area of the Independence Day parade route,” Lake County Sheriff, Illinois, US said.

City leaders said that police were responding to an incident in downtown Highland Park and added that the Fourth Fest has been canceled. “Please avoid downtown Highland Park. More information will be shared as it becomes available,” it said in a tweet.

While the officials did not declare the number of casualties, several social media accounts and local media reports cited eyewitnesses and said that multiple casualties were feared. In a tweet, Chicago Sun-Times said that five people were killed and 16 others were wounded when a gunman went on a firing spree at Highland Park.

Times Now News

SL Minister seeking commission from Japanese company ‘Taisei’ raises controversy

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Following controversial reports on the Japanese government’s unwillingness to aid Sri Lanka due to the country’s corrupt politicians as supposedly disclosed by the Japanese Ambassador to representatives of the Opposition, President Gotabaya Rajapaksa has immediately contacted the Embassy in learning the truth to the claim.

Upon the Sri Lankan President’s query, the Japanese Embassy in Colombo has told Rajapaksa that the office had made such a disclosure based on evidence, adding that the Ambassador, however, did not wish to embarrass the GOSL by exposing the claim to the pubic, following which the Embassy had taken measures to rectify the matter.

Disclosing evidence, the Japanese Embassy has told President Rajapaksa that a Cabinet Minister of the present government has sought a commission of millions of US dollars from the Japanese company ‘Taisei’ which is currently involved in the expansion of the Katunayaka Bandaranaike International Airport and that the Company has denied his request.

Furious, the Sri Lankan Head of State has telephoned the said Minister the very next instance and blamed him for his unethical conduct, according to sources.

The Cabinet Minister in question represents the Uva Province and by appearance is a ‘huge’ fellow whose tendency according to his political track record is revealed to be switching parties based on government power for the last two decades, sources further told LNW.

MIAP

Sri Lanka’s economy entangles with high local and foreign debt

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Sri Lanka’s economic situation has become highly uncertain with mounting local and foreign borrowings in the 18 months adding to the accumulated external debt of US$ 51 billion, Finance Ministry sources divulged.

The Ministry is taking urgent fiscal policy measures to tackle domestic debt and debt service while focusing on preliminary arrangements of external debt restructuring, reducing the fiscal deficit and external stability.

Sri Lanka’s domestic borrowings stood at Rs. 2.62 trillion during the past 18 months according to econometric models and provisional estimates of the Finance Ministry.

The domestic debt service payment this year is around Rs.80.72 billion and it is expected to increase to a high level if the government fails to control its domestic borrowings.

The total state borrowings were Rs 1.94 trillion by the end of 2021 and the loans taken from banks and licenced non banking financial institutions were Rs 3075.08 billion for the same year.

The government has borrowed a sum of Rs. 1785.10 billion for lic consumption expenditure from the banking system while the borrowings for education Arts, Entertainment and Agriculture sectors were Rs. 54.60 billion ,Rs. 11.80 billion and Rs. 81.35billion.

In addition  the total borrowings from  non bank financial institutions stood at 1142.50 billion in 2021.

The country’s external borrowings of $6.39 billion in the past 18 months has spiralled out of control as the country ran out of foreign reserves now amounting to less than $2 billion and usable reserves even less, Ministry data shows.

The Central Bank’s debt includes swaps with India, Bangladesh, Asian Clearing Union (ACU) deferred liabilities and the International Monetary Fund debt taken from the last programme.

India has committed more than $3 billion to debt-ridden Sri Lanka in loans, credit lines and credit swaps since January this year.

The majority of the foreign borrowings were made on loan agreements signed with China, which is almost 33.5 per cent, followed by ADB (25.5 per cent) and World Bank (18 per cent), respectively last year, Finance Ministry sources revealed.

The Government has obtained $809.1 million from China Development Bank (CDB) in 2021.

Meanwhile the World Bank has ruled out bridge financing or new loan commitments to crisis-hit Sri Lanka until the island nation’s economy sets up an adequate macroeconomic policy framework this year, the global lender has said.

In the wake of ever increasing domestic borrowings, ministries, departments and state institutions have been directed to control spending for development projects by cutting down overheads throughout 2022, Ministry guidelines revealed.

Treasury Bonds, Treasury Bills, Sri Lanka Development Bonds (SLDBs) and Provisional Advance were the main sources of domestic borrowings of the Government, the sources disclosed.

Accordingly, around 55 per cent of the total domestic borrowings were raised by way of Treasury Bonds while 29 per cent were raised by way of Treasury Bills and another 16 per cent was raised by way of SLDBs and Provisional Advance of Central Bank of Sri Lanka in 2021.

Further, proceeds from the Syndicate Loan issued in the first quarter of 2021 was utilised to finance the foreign currency debt service payments.

SLTDA directs Tourism sector to discuss with banks for moratorium extension

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As the moratorium extended to the hard-hit tourism sector came to an end yesterday, the Sri Lanka Tourism Development Authority (SLTDA) requested trade associations to initiate one-to-one discussions with financial institutions for possible extension of the moratorium.

The SLTDA, in a notice to all trade associations, said it will be writing to respective banks on behalf of those who had sought intervention as a follow-up measure. The Tourism Ministry will present matters to the Cabinet seeking further intervention, it said.

The moratorium was offered to the tourism sector after the 2019 Easter Sunday attack for a period of six months, which was then extended three times due to the difficulties stemming from the COVID-19 pandemic. 

Following a proposal made by the Tourism Minister Harin Fernando, on a request made by  trade associations, 

Cabinet approval was given earlier this month to extend the moratorium. However, the decision has not been implemented as yet. The officials of Sri Lanka Tourism and trade associations met with Central Bank Governor to expedite the extension. However, the Governor had conveyed his inability to intervene and instruct financial institutions to extend the moratorium.

The Governor was of the opinion that it is a matter to be decided by the respective financial institutions and opined that the Central Bank will refrain from direct intervention or influencing the individual decisions of banks and finance companies, the SLTDA highlighted in its notice.

A meeting was then held with 39 banks and finance companies, chaired by the Secretary to the Ministry of Tourism and Lands, which did not bring in the expected outcome for the struggling sector. The SLTDA shared that all financial institutions were of the firm view that they could not agree to an extension of the moratorium as requested.

US calls on the SL Govt to stick to policy consistency to attract FDIs

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The United States expressed concerns about consistency and transparency in government decision-making, and above all, a lack of predictability,which led to the recent drop in Foreign Direct Investment (FDI), US Ambassador to Sri Lanka Julie Chung attended.

The US called upon the government to protect civic space and allow civil society organizations to operate freely. Economic reform needs to be intertwined with political reform in order to create a sustainable and prosperous economy for all of Sri Lanka’s people

Addressing 183rd Annual General Meeting he Ceylon Chamber of Commerce in Colombo recently she noted that Sri Lanka’s business environment and investment framework environment need improvements for the private sector to flourish.

To build peace and stability, Sri Lanka must protect democratic values such as the rule of law, respect for human rights for all, equal representation, and transparent government.

When these democratic values falter, the private sector, civil society, and the independent press must hold the government accountable for its leadership and stewardship of this country.

The right to peaceful protest must be upheld for all Sri Lankans and the culture of impunity must end. We call on the government to foster independent institutions that operate transparently and build public trust in the reconciliation process, to ensure all Sri Lankan’s have access to a fair justice system.

It is important to reduce red tape and make sure that there are no unreasonable obstacles to investors as they look for opportunities in Sri Lanka and bring in the foreign capital that the country desperately needs.

In 2020, U.S. foreign direct investment in Sri Lanka wasUS $13 million, bringing total active U.S. investment in the country at the time to $274 million.

She pointed out that there is room for improvement as only $17 million invested five years earlier in 2015 and US companies want a level playing field. A good regulatory framework. Trust that their arbitration and their contracts will be honored.

When you have that kind of strong investment climate, then companies will want to come. Making this a reality, however, will require difficult decisions on reforming unprofitable state-owned enterprises that often pose a barrier to entry to foreign direct investment, she claimed.

Sri Lanka must invest in its people. It is vital to have a workforce with gender parity, with women literally at the table and in leadership roles

Looking around this room, it’s clear we need more women in business and our work is not yet done. Women should enjoy equal access to funding for their small and medium-sized enterprises that operate in so many villages and towns across the island.

It is imperative that all Sri Lankans have access to quality public primary, secondary, and tertiary education, and training so that Sri Lanka retains and builds on the rightly earned reputation of having a highly educated, creative, and skilled workforce.

KKS harbor development continues with US $ 40Mn Indian loan

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Sri Lanka looks forward to the development of the Kankasanthurai Port using US $ 40 million loan offered by India, Ports, Shipping and Aviation Minister Nimal Siripala de Silva said.

The Minister disclosed that Sri Lanka Ports Authority (SLPA) had done preliminary work, and would proceed with the rest of the work using the financial facility offered by the EXIM Bank of India.

Development work at the Kankesanthurai (KKS) Harbour is scheduled to be completed on 23 February 2023 with nearly 35% of the work being completed up to now since October 2020, 

 “There is some work meant for us to do. We have done. Then, the Indian side has appointed a consultant. Once we get that report, we will move ahead with the development of the port located in the northern tip of Sri Lanka. Currently, only small vessels can be berthed. We will develop it for the accommodation of bigger vessels,” he said.

Earlier, Fisheries Minister Douglas Devananda said cargo transportation between India and northern Sri Lanka would commence shortly.

The development of the port with the Indian assistance has long been in the pipeline. India offered financial assistance in this regard in the aftermath of the end of the war in May, 2009, and some works such as wreck removal was done at that time.

Sri Lanka Ports Development Authority (SLPA) Acting Chief Engineer – Development A.L.M. Nowfer stated that due to several unavoidable circumstances at present, the initial design period of nine months has been extended till 23 August 2021, after which the construction work will commence for 18 months as scheduled. 

“Due to the prevailing pandemic condition in Sri Lanka as well as in India, certain fieldwork in Sri Lanka/in-house work in India can’t be performed at the scheduled speed. Therefore, further time extensions for the consultancy contract may have to be granted subject to providing valued justifications by the consultant,” Nowfer said.

Nowfer highlighted that there are five main activities, namely: the construction of a new commercial berth, Pier No. 3 (size 167 m x 22 m); rehabilitation of the existing breakwater (1,400 m); rehabilitation of the existing Pier No. 1 (size 96 m x 24 m); construction of Pier No. 2 (extension of existing Pier No. 1, size 85 m x 24 m); and finally, the completion of infrastructure facilities such as navigational aids, a concrete road on the breakwater, etc.

“As per the project management consultancy contract signed between the two parties (Sri Lanka and India), the project duration is 39 months in total: the design work is nine months, construction work 18 months, and the defect liability period is 12 months,” he added. 

Furthermore, to fund the project work, the Government of Sri Lanka has entered into a dollar credit line agreement with the Export-Import (EXIM) Bank of India and obtained financial assistance of $ 45.27 million.

As per the decision of the Government to position the KKS Harbour as a main commercial port in Sri Lanka, the Cabinet of Ministers granted approval to further develop the harbour in February 2020, Co-Cabinet Spokesperson and Plantation Industries and Export Agriculture Minister Dr. Ramesh Pathirana said.

The proposal was submitted by former Ports and Shipping Minister Johnston Fernando to acquire 50 acres of land adjoining the Kankesanthurai Harbour for the Sri Lanka Port Authority (SLPA).

Dr. Pathirana further said that Cabinet approval was granted to acquire 15 acres of public land and 35 acres of privately owned land for this purpose. The privately owned land will be acquired by paying compensation as specified under the provisions of the Land Acquisition Act.

The Indian High Commission in Colombo,  stated that with the assistance of the Indian Government, Kankesanthurai would become a bigger and better port and be able to function as the hub of economic development in the Northern Province.

Subsequently, once fully functional, the KKS Harbour will be the nearest port for all eastern ports in India, as well as for Myanmar and Bangladesh.

Sri Lanka Administrative Service Association urges government to declare a state of national crisis

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Despite the declaration of essential services, the country can no longer be administrated and every sector has now been disrupted, emphasised the Sri Lanka Administrative Service Association, urging the government to immediately call for a state of national crisis.

The Union pointed out that a proper mechanism should be implemented to maintain essential services and the the programme should be implemented under a proper authority. Should the government fail to declare a state of national crisis and maintain the essential services, strong trade union actions would be inevitable, it warned.

The Union pointed out that government officials are committed to their duties regardless of the risk of their lives to maintain these essential services, adding that the law is not properly implemented regarding the oppression befallen these employees.

The Administrative Service Association disclosed that government officials across the country are subjugated to threatening and harassment by politicians and other forces and no action has been taken to arrest those responsible, risking the total collapse of essential services upon possible resignation stemmed by intimidation and fear.

MIAP

Hidden fuel stocks exceed 100,000 litres

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More than 100,000 litres (103,095 l) of fuel stocks illegally hidden amidst the prevailing fuel crisis in the country have been recovered upon raids. As of now, security forces have launched 954 raids in search of hidden fuel stocks.

Among the stockpiled fuel were 27,152 litres of petrol, 62,723 litres of diesel and 13,220 litres of kerosene. 885 persons were arrested in alleged connection with the stockpiling.

Operations are continuously being carried out to seize those involved in stockpiling fuel, said Police Spokesman SSP Nihal Thalduwa.

Despite the ongoing fuel crisis, the Ceylon Petroleum Corporation (CEYPETCO) is of the view that there are fuel stocks enough for another month’s period. It added that some people are illegally stockpiling fuel for future consumption, hence an artificial fuel shortage in the country.

MIAP