Home Blog Page 453

Controversy surrounds high-end vehicle sale involving children of two MPs

0

July 21, Colombo (LNW): A high-value SUV has become the focus of an expanding investigation into suspected vehicle smuggling and document tampering, with links emerging between the families of two sitting Members of Parliament.

The vehicle in question, a luxury jeep believed to have entered Sri Lanka through illicit means, was reportedly registered under the name of Melanie Abeygunawardena, daughter of MP Rohitha Abeygunawardena.

According to official records, the jeep changed hands in October 2024, when it was sold to Rasika Buddhika Pinnagoda Withana, the son of opposition MP Jagath Withana.

The case has now drawn the attention of the Central Anti-Corruption Task Force, which suspects the jeep was smuggled into the country and then fraudulently entered into the Department of Motor Traffic (DMT) database. Investigators allege that the vehicle’s registration data may have been deliberately manipulated to obscure its true origins.

One point of contention is the discrepancy in the vehicle’s reported value. While MP Withana has publicly stated that his son purchased the SUV for Rs. 45 million, documents obtained during the investigation list the declared value as only Rs. 20 million—prompting further scrutiny over possible under-invoicing, tax evasion, or forgery.

The vehicle was recently seized by authorities in Matugama, where it was found in the possession of Withana’s son, who is currently in remand custody until August 01 by order of the Matugama Magistrate. A team of lawyers, including a President’s Counsel, appeared in court to represent him.

Meanwhile, law enforcement officials have been unable to locate Melanie Abeygunawardena for questioning. Despite repeated efforts, she remains uncontactable, and police say she could face arrest depending on the outcome of the ongoing inquiry.

MP Jagath Withana has maintained that his family was unaware of any irregularities associated with the vehicle at the time of purchase, stating that they believed it had been acquired through standard legal procedures.

Ex-Ministers Aluthgamage and Fernando served another indictment

0

July 21, Colombo (LNW): Three former senior officials, including ex-Cabinet Minister Mahindananda Aluthgamage, were formally indicted at the Colombo High Court today in connection with alleged misuse of public assets during the 2015 presidential election period.

The charges, filed under the Public Property Act, relate to the procurement and distribution of large quantities of carrom and draughts boards through the state-run retail chain Lanka Sathosa.

Also named in the indictment are Nalin Fernando, the former Chairman of Lanka Sathosa, and retired Major General Nanda Mallawarachchi, who served as Secretary to the Ministry of Sports at the time of the events in question.

The allegations centre on the use of government resources to secure political advantage by distributing sports equipment to local clubs in the run-up to the national poll.

Presiding over the hearing, High Court Judge Manjula Thilakaratne ordered that all three accused be granted bail. However, due to existing custodial sentences from a related corruption case, Aluthgamage and Fernando remain in prison and will be formally produced in court at the next hearing.

The backdrop to today’s proceedings includes a high-profile ruling delivered by the Colombo Permanent High Court Trial-at-Bar on May 29, in which both Aluthgamage and Fernando were convicted and sentenced to lengthy prison terms—20 and 25 years of rigorous imprisonment respectively.

That case, prosecuted by the Commission to Investigate Allegations of Bribery or Corruption, found the pair guilty of misappropriating over Rs. 53 million between September and December 2014.

The funds were allegedly used to import approximately 14,000 carrom boards and 11,000 draughts boards, which were then handed out to various sports organisations and clubs across the country.

Prosecutors contend the distribution was politically motivated, timed to coincide with the final months of the presidential campaign, and aimed at bolstering support for the ruling party at the time.

IUSF condemns alleged government meddling in student movement amid rising tensions

0

July 21, Colombo (LNW): The Inter-University Students’ Federation (IUSF) has strongly criticised what it describes as a covert attempt by the Government to fracture and discredit the student movement by installing politically affiliated individuals as campus leaders.

The student body alleges this is part of a broader agenda to soften resistance to the creeping privatisation of Sri Lanka’s public education system.

In a public statement issued on its verified social media platforms, the IUSF denounced the emergence of a separate student group that recently held a press conference claiming to be the official IUSF and announcing the appointment of a new convenor.

According to the IUSF, this new faction has adopted their insignia, logos, and even official letterheads, in what the Federation describes as a deliberate effort to confuse the student body and dilute opposition.

The situation escalated after the breakaway group also launched social media accounts purporting to represent the IUSF, further fuelling speculation about a politically motivated attempt to hijack the Federation’s identity and mission.

The IUSF’s leadership maintains that this development is not spontaneous, but rather orchestrated from above, accusing the Government of exploiting the student movement’s internal structures to push through controversial education reforms. The group claims the ultimate goal is to weaken public resistance to privatisation policies that many student activists have consistently opposed.

Calling for vigilance and unity, the IUSF urged students, academic staff, and the broader public to remain aware of what it described as state-sponsored misinformation campaigns.

The Federation reiterated its long-standing commitment to resisting commercialisation within the higher education sector and pledged to continue its activism against policies that, in its view, undermine the right to accessible education for all.

The IUSF also appealed for collective action to challenge what it sees as a broader attempt to suppress dissent and silence youth-led advocacy in the country.

Sri Lanka’s Rubber Exports under Threat amid U.S. Tariff Pressure

0

By: Staff Writer

July 21, Colombo (LNW): Sri Lanka’s rubber industry, a vital pillar of the nation’s export economy, is facing mounting challenges in sustaining its competitiveness in international markets, particularly the United States.

Once a robust contributor to export earnings, the industry is now grappling with the consequences of international tariff changes, rising global competition, and declining production volumes.

In 2024, Sri Lanka’s rubber industry experienced growth in export earnings, reaching US$ 1,001.54 million, a 7.66% increase compared to 2023. This growth was driven by increased exports of industrial and surgical gloves, as well as pneumatic and retreated rubber tires and tubes. The country’s total natural rubber production in 2024 was 69,185 MT. Sri Lanka is also a leading exporter of solid tyres and latex-based gloves.

Sri Lanka’s rubber exporters are voicing deep concern over the looming August 1 deadline for negotiations on tariffs imposed under the Trump administration, warning that failure to reach a more favorable agreement could result in the loss of the vital U.S. market.

Industry spokesperson Kamal Silva stressed the urgency of revising the current tariff regime, noting that Sri Lankan rubber products face a steep 30 percent U.S. import duty, rendering them uncompetitive against regional rivals like Indonesia. “Even before the new tariff rates, we were struggling to keep pace. A 15 percent tariff is ideal for Sri Lankan exporters to maintain a competitive edge,” Silva told PTI, adding that the sector generates approximately USD 300 million annually from U.S. exports alone.

The situation has been exacerbated by the preferential treatment given to Indonesia, which has secured lower tariffs and now holds a significant cost advantage. Dhammika Fernando, representing the Sri Lankan Free Trade Zone Exporters’ Association, acknowledged this disparity and expressed cautious optimism over ongoing discussions. “We’ve been informed that up to 1,600 goods and services might be granted duty-free access by the U.S. If finalized, that would be a major relief,” he said.

Currently, a Sri Lankan trade delegation is in Washington D.C. to continue negotiations, with Deputy Economic Development Minister Anil Jayantha stating that the talks involve 1,161 items, of which the U.S. has preliminarily agreed to grant zero tariffs on around 80.

The issue goes beyond rubber. The apparel sector, which accounts for nearly 40% of Sri Lanka’s total exports, has also flagged concerns. High U.S. tariffs could erode Sri Lanka’s competitiveness in its largest single market, which accounts for nearly a third of the country’s total exports valued at USD 3 billion. In comparison, U.S. exports to Sri Lanka remain relatively modest at around USD 300 million.

As the August 1 deadline nears, the outcome of these negotiations will be pivotal in determining whether Sri Lanka can reclaim lost ground or risk further erosion of its export base, especially in rubber and apparel sectors already under strain from global headwinds.

Business Confidence Slips in June despite Sales Optimism in Sri Lanka

0

By: Staff Writer

July 21, Colombo (LNW): After a brief resurgence in optimism during May, business confidence in Sri Lanka has taken a sharp turn in June, reflecting renewed concerns over the country’s economic trajectory, according to the latest edition of LMD magazine. The July issue reveals that the fragile recovery in business sentiment has already begun to unravel, with broader concerns overshadowing earlier hopes of sustained economic improvement.

The findings come from the latest LMD-PEPPERCUBE Business Confidence Index (BCI) survey conducted in early June. The survey shows a significant 20 percentage point drop in the number of business leaders who believe the economy will improve over the next 12 months — falling from 76% in May to 56% in June. At the same time, 37% of respondents expect the economy to remain unchanged, up from 17% in the previous month, while only 7% foresee a downturn — unchanged from May.

Despite this downturn in overall confidence, there is a silver lining. The report notes a rebound in sales expectations, with 83% of sales professionals predicting an improvement in volumes over the coming year — a nine-percentage-point increase compared to May. This marks the first uptick in three months, suggesting a potential shift in business performance, if not in confidence about the macroeconomic environment.

Additionally, 16% of respondents expect sales to remain steady — down from 24% in May — while only a small fraction predict a decline. Notably, 69% of those surveyed reported an increase in sales volumes in June compared to the previous month, reflecting a modest but meaningful rise from 66% in May.

This divergence — rising sales sentiment amid falling economic optimism — highlights the complex and often contradictory nature of Sri Lanka’s current business climate. While some companies, particularly in the consumer and services sectors, are seeing improved activity, concerns remain about long-term stability, investment inflows, policy direction, and inflation.

Business leaders have repeatedly called for more consistent economic reforms, greater fiscal discipline, and transparent policy-making to support sustainable recovery. The private sector remains cautious, grappling with high interest rates, currency volatility, and fragile consumer demand despite the IMF-backed stabilization program that has helped improve macro indicators such as foreign reserves and inflation.

Meanwhile, LMD’s July edition also features its annual ranking of Sri Lanka’s Best Workplaces for 2025 — a timely focus on human capital and organizational culture at a time when employee engagement and resilience are critical to navigating uncertainty.

More details and the full cover story can be accessed via LMD’s official website at www.LMD.lk.

Deadline looms for final appeals under Aswesuma Welfare Scheme

0

July 21, Colombo (LNW): Today (21) will be the deadline for individuals to submit appeals under the second phase of the Aswesuma Welfare Benefits Programme, a key social support initiative aimed at providing assistance to vulnerable households across the country.

Officials from the Welfare Benefits Board have confirmed that close to 30,000 appeals have already been lodged as part of this latest round, reflecting a strong public response and continued demand for welfare assistance.

The programme, which targets low-income families and those facing economic hardship, offers financial support intended to ease the burden of rising living costs and ensure a basic standard of living.

Those who believe they have been unfairly excluded from the scheme — or who need to correct or update their personal details — are being urged to act immediately, as today is the final deadline for submissions. After this date, no new appeals will be accepted for this phase of the initiative.

Appeals must be filed through the respective Divisional Secretariat offices, which serve as the official intake points for documentation and queries. Once submitted, the appeals are forwarded to the Welfare Benefits Board for further assessment and verification.

Applicants are encouraged to double-check supporting documents and ensure they meet all eligibility requirements outlined in the programme’s guidelines.

Matara’s Arts Festival returns in December as city’s cultural revival gains momentum

0

July 21, Colombo (LNW): The southern coastal city of Matara is set to come alive once again with colour, rhythm and creativity as the Matara Festival for the Arts (MFA) makes its much-anticipated return this December.

The festival will take place from December 12 to 15, 2025, bringing together a dynamic blend of visual art, music, performance and community engagement.

The announcement was made via social media by Minister of Industry and Entrepreneurship Development Sunil Handunneththi, who affirmed the government’s continued support for the festival and its broader vision of regional cultural regeneration.

Originally launched in early 2024, the MFA has quickly become a key cultural event in Sri Lanka’s southern province, anchoring itself not only as a celebration of creativity but also as a catalyst for economic renewal and heritage-based tourism.

The festival forms part of a larger strategy to reimagine and reinvigorate Matara Fort and the surrounding city as a hub of cultural activity, entrepreneurship, and local pride.

Last year’s edition saw contributions from over 100 artists, musicians, and creative professionals — including established names, emerging talent, and members of the Sri Lankan diaspora. It also featured an international dimension, with several overseas collaborators and visitors.

Significantly, nearly 50 of the festival’s contributors were residents of Matara, underscoring the event’s emphasis on empowering the local creative community. The 2024 festival drew more than 4,000 attendees, including tourists, local residents, and cultural practitioners.

Building on that momentum, MFA 2025 will retain its founding theme of “Culture, Community and Collaboration.” This year’s programme will emphasise collaborative projects, including new mentorships and peer networks amongst artists.

Local participants from last year’s training programmes will step into leadership or peer roles, whilst a fresh cohort of Matara community members will also be engaged and supported in the festival’s activities.

Music will again play a central role, with evening events showcasing genres ranging from jazz and fusion to traditional dance. Workshops, artist talks and panel discussions will run throughout the festival, providing space for critical dialogue, learning and networking.

At the helm of the event will be Professor Jagath Weerasinghe — a leading figure in Sri Lankan contemporary art and archaeology — returning as the artistic curator. He will work alongside co-founders and directors Chanchala Samaraweera Gunewardena and Jayanthi Samaraweera Gunewardena, both of whom played key roles in launching the festival and are also known for leading the late Mangala Samaraweera’s Freedom Hub initiative.

This year’s announcement follows a recent Cabinet decision in June 2025 to establish a formal committee tasked with drafting the Matara Heritage and Development Act — a landmark step aimed at guiding the structured restoration and development of Matara Fort. The proposed legislation is expected to provide long-term frameworks for conservation, urban renewal, and cultural investment.

The 2024 MFA also featured the “Invest in Matara” conversation series, which sparked new waves of interest from investors and stakeholders across the tourism, arts and development sectors. Organisers hope that this year’s edition will deepen that engagement and position Matara as a thriving centre for cultural entrepreneurship and regional innovation.

Anunayake of Asgiri Chapter Most Ven. Anamaduwe Dhammadassi Thero passes away

0

July 21, Colombo (LNW): Most Venerable Anamaduwe Dhammadassi Thero, the Anunayake (Deputy Chief Prelate) of the historic Asgiri Chapter, passed away at the age of 67.

The Thero had been receiving medical care at a private hospital after suffering a heart attack.

His condition had reportedly remained critical in the days leading up to his demise, which occurred last night (20).

Persistent corruption in Sri Lanka’s Public Sector triggers renewed crackdown

0

July 21, Colombo (LNW): Corruption within Sri Lanka’s public service continues to cast a long shadow over the nation’s governance, prompting intensified efforts by the country’s anti-graft watchdog, the Commission to Investigate Allegations of Bribery or Corruption (CIABOC).

The agency has stepped up its operations in 2025, reflecting a mounting urgency to restore public trust in state institutions.

Between January and July this year, CIABOC received a staggering 2,138 complaints relating to bribery, abuse of office, and procedural misconduct. In response, the Commission carried out 44 raids and apprehended 31 public servants suspected of involvement in corrupt activities.

Those detained span a wide range of government departments and services — including headteachers, police personnel, labour department representatives, and staff from the Department of Motor Traffic (DMT).

Many of the arrests stemmed from allegations of officials accepting illicit payments, exploiting their positions for personal gain, and breaching established administrative protocols.

In one of the most high-profile cases to date, CIABOC last week detained three individuals linked to an unlawful vehicle registration scheme within the DMT. Amongst those arrested was a former Assistant Commissioner who now holds the post of Senior Assistant Secretary at the Ministry of Lands.

Also implicated were a Development Assistant and an Investigation Officer, all believed to have played roles in bypassing regulatory checks to register a vehicle improperly.

This case follows a separate raid in May, during which authorities arrested another trio of DMT officials — including a Deputy Commissioner. That operation led to the discovery and seizure of over Rs. 4.1 million in cash, believed to be proceeds of unreported or illegal transactions.

CIABOC has reiterated that these arrests are part of a broader campaign to root out endemic corruption within the public sector. Officials assert that no rank or office is beyond scrutiny, and investigations will proceed without favour under the current administration.

The Commission continues to call on civil servants to uphold ethical standards and has warned that increased surveillance and enforcement will remain a cornerstone of government policy. In parallel, the public is encouraged to report any suspected instances of corruption, with CIABOC pledging that every complaint will be treated with due seriousness and confidentiality.

Showery trend continues across island: Fairly heavy falls about 75 mm expected (Jul 21)

0

July 21, Colombo (LNW): Showers will occur at times in the Western, Sabaragamuwa and Central provinces and in Galle and Matara districts, with fairly heavy falls about 75 mm likely at some places in the Sabaragamuwa province and in Nuwara-Eliya, Kandy, Galle, Matara and Kalutara districts, the Department of Meteorology said in its daily weather forecast today (21).

Several spells of showers may occur in the North-western and Uva provinces and in Hambantota district.

Strong winds of about 50 kmph can be expected at times over Western slopes of the central hills and in Western, Sabaragamuwa, Southern, North-western and North-central provinces.

Fairly strong winds about (30-40) kmph can be expected at times elsewhere of the island.

The general public is kindly requested to take adequate precautions to minimise damages caused by strong winds.

Marine Weather:

Condition of Rain:
Showers will occur at several places in the sea areas off the coast extending from Puttalam to Matara via Colombo and Galle.

Winds:
Winds will be Westerly to South-westerly and wind speed will be (35-45) kmph.

Wind speed can increase up to (60-70) kmph at times in the sea areas off the coast extending from Chilaw to Mannar via Puttalam and from Galle to Pottuvil via Hambantota.

Wind speed can increase up to (50-60) kmph at times in the sea areas off the coast extending from Chilaw to Galle via Colombo and from Manna to Vakarai via Kankasanthurai and Trincomalee.

State of Sea:
The sea areas off the coast extending from Chilaw to Mannar via Puttalam and from Galle to Pottuvil via Hambantota will be rough or very rough at times. Naval and fishing communities are advised not to venture into these sea areas for next 24 hours.

The sea areas off the coast extending Chilaw to Galle via Colombo and from Manna to Vakarai via Kankasanthurai and Trincomalee may be rough at times.

The wave height (about 2.5 – 3.0 m) may increase in the sea areas off the coast extending from Puttalam to Pottuvil via Colombo, Galle and Hambantota. Therefore, there is a possibility that nearshore sea areas extending from Puttalam to Pottuvil via Colombo, Galle and Hambantota may experience surges due to sea waves.

Naval and fishing communities are requested to be attentive to future forecasts issued by the Department of Meteorology in this regard.