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Official exchange rates in SL today (Oct 21)

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By: Isuru Parakrama

October 21, Colombo (LNW): The Sri Lankan Rupee (LKR) indicates slight depreciation against the US Dollar today (21) in comparison to last week’s Friday, as per the official exchange rates released by the Central Bank of Sri Lanka (CBSL).

Accordingly, the buying price of the US Dollar has increased to Rs. 288.61 from Rs. 288.52, and the selling price to Rs. 297.60 from Rs. 297.53.

Police claim “suicide” of ex-Minister’s Private Secretary in Kandy

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By: Isuru Parakrama

October 21, Colombo (LNW): Police have confirmed that the Private Secretary of former Minister Lohan Ratwatte tragically took his own life, according to official reports.

The 50-year-old man, found with gunshot wounds, was discovered at a building near Ratwatte’s office in the Mahaiyawa area.

Police Spokesman DIG Nihal Thalduwa addressed the media, stating that the man, who had served as Ratwatte’s Private Secretary, used an officially issued firearm to end his life.

The weapon in question had been legally issued with a licence, which had been renewed earlier this year in January.

According to the police, the fatal incident occurred within the office premises, and the secretary was rushed to the hospital, where he succumbed to his injuries.

The deceased has been identified as a 50-year-old resident of Werellagama. The Katugastota Police are currently leading the investigation, though preliminary findings point to suicide.

Authorities continue to examine all aspects of the case, ensuring thoroughness in the investigation to rule out any potential foul play or underlying causes.

This incident has shocked the local community, as the deceased had been known for his long-standing service under the former minister.

The circumstances surrounding the case have prompted deeper reflection on the mental health and well-being of individuals serving in high-pressure roles within political offices.

The tragic nature of this event has also highlighted the need for more attention to mental health support, particularly for those in demanding public positions, as the nation continues to grapple with the broader implications of such incidents.

Police seize luxury vehicles linked to ex-Minister’s relative in Kandy raid

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By: Isuru Parakrama

October 21, Colombo (LNW): In a major development, the Kandy Crimes Investigation Division has seized two high-value luxury vehicles, including a BMW worth over Rs. 60 million, from the residence of a relative of former minister Rohitha Abeygunawardena in the Aniwatte area.

The vehicles were found concealed in the garage of the property during a police inspection.

The police report that the two vehicles—a BMW and a luxury SUV—were taken into custody after no one at the residence could provide legal documentation or ownership claims for them.

The raid forms part of a broader investigation into potential illegal activities surrounding the vehicles’ origins.

The homeowner, who runs a car dealership in the Mahayawa area of Kandy, is also reported to have held a senior position at the Sri Lanka Ports Authority during Abeygunawardena’s term as Minister of Ports.

Investigators suspect that the seized vehicles may have been unlawfully removed from the port, raising concerns about the potential misuse of authority during the former minister’s tenure.

The vehicles are now set to be transferred to the Government Analysts Department for further investigation, as police work to uncover the full extent of the suspected irregularities.

This latest operation signals a renewed focus on scrutinising high-level connections to potential illegal activities, particularly those involving high-ranking officials.

The seizure has sparked questions over the involvement of political figures in questionable dealings and underscores the growing effort by law enforcement agencies to clamp down on such activities.

The investigation is ongoing, with authorities keen to determine whether more vehicles or illegal assets are linked to this network.

This raid is part of an intensified crackdown on high-profile cases of corruption, reflecting the government’s stated commitment to transparency and accountability in addressing illicit practices that have plagued certain sectors in recent years.

Election Commission confirms Local Government Polls will proceed as planned amidst political Shifts

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By: Isuru Parakrama

October 21, Colombo (LNW): The Election Commission of Sri Lanka has confirmed that the upcoming Local Government elections will be conducted based on the previously submitted nominations, despite concerns over the operational status of some political parties and candidates switching allegiances.

This was reaffirmed by Elections Commissioner General Saman Sri Ratnayake, who emphasised that the elections would proceed according to the legal framework in place.

Addressing a media briefing following a training session on election reporting, held in Kandy and organised by the Internews Institute, Ratnayake stated that logistical preparations, including the issuing of postal votes, were already well underway.

He mentioned that, if necessary, the elections could be held within the next 35 to 40 days, highlighting the Commission’s readiness despite challenges.

Ratnayake also pointed out that this election offers a valuable opportunity to scrutinise the country’s evolving political landscape. He acknowledged that some political parties had become inactive after submitting their nominations, whilst certain candidates had shifted their political allegiances.

Nevertheless, the elections would continue as planned, offering a reflection of the current political culture.

The Elections Commissioner General stressed that the Commission operates strictly within the confines of the law and is obligated to follow court orders pertaining to the elections.

Ratnayake made it clear that public discussions and political debates are secondary to the legal requirements governing the electoral process.

He also clarified provisions regarding the replacement of candidates in case of death, stating that the law allows for a smooth transition, ensuring that such events do not disrupt the election process.

This, he noted, is a testament to the robustness of the existing legal framework guiding Local Government elections in the country.

President pledges transparent investigation into Easter Sunday attacks amidst rising opposition

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By: Isuru Parakrama

October 21, Colombo (LNW): President Anura Kumara Dissanayake has assured the public that a comprehensive and fair investigation into the Easter Sunday attacks will uncover the truth.

Addressing a National People’s Power (NPP) rally in Katunayake, he emphasised that attempts by conspirators to obscure the identities of those truly responsible would not be tolerated.

The President expressed concern over recent efforts to derail the investigation, noting that certain individuals have resurfaced in an attempt to suppress the probe just as the investigation is set to formally proceed.

“I assure you, this will not be allowed,” he affirmed, vowing that the investigation would be carried out without interference.

Dissanayake highlighted the government’s commitment to the investigation by reforming key institutions such as the police.

“We inherited a police department without an Inspector General, but we have appointed a highly capable individual to the post,” the President said.

He also praised the appointment of a respected figure as Secretary to the Ministry of Public Security, noting that these appointments had enabled the government to systematically address the unresolved investigations.

The President criticised those who had used the Easter attacks for political gain, particularly individuals and groups that have reignited calls for the release of certain reports to stir public opinion.

He recalled that the reports in question were commissioned during Ranil Wickremesinghe’s tenure, explaining that they were not investigative in nature but rather fact-finding exercises intended to obscure the issue.

One of these reports, Dissanayake explained, concerned Channel 4 videos, while the second was focused on potential negligence by security forces during the attacks. Both, he said, were forwarded to various departments including the Attorney General’s Office and the Ministry of Public Security.

The President assured that these reports were not confidential and had been shared with the relevant authorities.

Dissanayake alleged that the Wickremesinghe government had deliberately formed these committees to suppress the investigation rather than direct it properly. “Their aim was not to reveal the truth, but to hide it,” he added.

In contrast, the President emphasised that the NPP government, shortly after taking office, had instructed the Inspector General of Police and the Criminal Investigation Department (CID) to conduct a formal investigation into the Easter attacks.

He criticised those who had “woken from their coma” to disrupt the probe and create alternative narratives, asserting that such efforts would fail.

The President reaffirmed his commitment to a thorough and transparent investigation, urging the public to remain vigilant against any attempts to manipulate or undermine the process.

Over 50 firearms returned amid temporary surrender order by Defence Ministry

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By: Isuru Parakrama

October 21, Colombo (LNW): More than 50 firearms have been handed over in response to the Ministry of Defence’s directive requiring civilians to temporarily surrender firearms and ammunition issued to them.

This measure was enacted under the authority granted to the Defence Secretary by Sections 6(1) and 6(2) of the Firearms Ordinance Act No. 33 of 1916, allowing the government to assume temporary control of firearms.

According to Ministry sources, the move is part of a broader review process, with all firearms set to be reissued following a thorough assessment.

Civilians with licensed firearms have been instructed to submit their weapons and ammunition to the Commercial Explosive Firearms and Ammunition Procurement Unit (CEFAP), located at the Sri Lanka Navy camp in Welisara, before the deadline of 7th November 2024.

Despite the ongoing returns, approximately 1,650 firearm licences have been issued for various purposes, highlighting the scale of the review.

Ministry officials reiterated that failure to comply with the surrender order would result in legal action under the Firearms Ordinance Act.

However, the Ministry clarified that firearms issued for specific uses, such as property or crop protection and sporting activities, are exempt from the current regulation.

As the review progresses, the Ministry expects a larger number of firearms to be returned in the coming days, as compliance is essential to avoid penalties.

Advisory for heavy rain, strong winds, rough seas (Oct 21)

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October 21, Colombo (LNW): Showers or thundershowers will occur at times in Western, Sabaragamuwa, Southern, North-western and Northern provinces and in Trincomalee district, with heavy showers above 100 mm being likely to occur at some places in Southern province, the Department of Meteorology said in its daily weather forecast today (21).

Showers or thundershowers will occur at several places in the other areas of the island during the evening or night and fairly heavy showers above 50mm are likely at some places.

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:
Showers or thundershowers will occur at several places in the sea areas around the Island.
Winds:
Winds will be South-westerly in the sea areas around the island and wind speed will be (25-35) kmph. Wind speed can increase up to (40-45) kmph at times in the sea areas off the coasts extending from Kankasanthurai to Puttalam via Mannar and from Hambantota to Pottuvil.
State of Sea:
The sea areas off the coasts extending from Kankasanthurai to Puttalam via Mannar and from Hambantota to Pottuvil can be fairly rough at times. The other sea areas around the island can be slight to moderate. Temporarily strong gusty winds and very rough seas can be expected during thundershowers.

Sri Lanka Original Narrative Summary: 21/10

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  1. President Anura Kumara Dissanayake announces he has instructed the IGP and the CID to formally investigate the 2019 Easter Sunday attacks: criticises efforts by certain political individuals to suppress the investigation and committed to a fair inquiry: Ex-MP Udaya Gammanpila threatened to release two related reports if the President does not: Political analysts point out that Gammanpila’s so called ‘confidential reports’ are the ‘Imam Report’ and ‘Alwis Report,’ in which information pertaining to the ‘Channel 04 Documentary’ about the attack, and its connections to certain government officials are preserved, in a bid to politically smother the NPP-led government ahead of the General Election by cornering DIG Ravi Seneviratne and Shani Abeysekara, who currently serve as the Secretary to the Ministry of Public Security, and the Director of the Central Criminal Intelligence Analysis Bureau, respectively: claim the two individuals had previously been speculated to have acted as whistleblowers to international channels about the attack, and them being part of the NPP-regime thus to be demonstrated as an act of failure to serve justice for the victims of the attack for Gammanpila’s political benefit.
  2. SJB leader Sajith Premadasa expresses confidence in his party’s ability to secure a parliamentary majority, stating there are no issues in collaborating with President Anura Kumara Dissanayake: emphasises the SJB has assembled a strong team with a clear vision for the country’s development, positioning the party as the most suitable choice for leadership in the current political climate.
  3. Ex-MP Manusha Nanayakkara criticises the current government for implementing reforms without proper understanding and relying on loans, contrasting it with Ranil Wickremesinghe’s administration, which he claimed managed finances wisely: accuses the JVP of using deceit to gain power and warned that their influence would decline: further criticises JVP candidates for lacking local connections and practical leadership skills.
  4. The Sri Lanka Podujana Peramuna (SLPP) establishes a strategic committee to support candidates and guide future decisions ahead of the general and Provincial Council elections: aims to strengthen the party’s position in the elections: SLPP national organiser, Namal Rajapaksa, announces the decision, emphasising the importance of leadership and correct guidance.
  5. The Election Commission receives over 400 complaints related to the upcoming parliamentary election, with 58 complaints filed the day before, bringing the total to 401: These complaints pertain to violations of election laws, with no reports of election-related violence: The commission has resolved 309 of the complaints thus far, ensuring smoother conduct of the election process.
  6. Foreign Minister Vijitha Herath highlights the immense potential in trade between India and Sri Lanka, noting India’s key role as one of Sri Lanka’s largest trading partners: emphasises growing bilateral cooperation, Indian investment in key sectors, and increasing tourism: praises India’s support during Sri Lanka’s economic crisis and debt restructuring efforts.
  7. Sri Lanka faces high poultry feed costs due to import duties and trade controls on maize, which are driving up egg and meat prices: This policy benefits local maize farmers but hurts small poultry producers and worsens child malnutrition: Despite issuing maize import licenses, prices remain high: Vietnam’s free-trade policies contrast with Sri Lanka’s protectionism, improving nutrition and exports.
  8. A private secretary of former State Minister Lohan Ratwatte was found dead with gunshot injuries in a house in Katugastota: The 50-year-old is suspected to have shot himself near Ratwatte’s office in Mahaiyawa and died after being admitted to Kandy’s National Hospital: Katugastota Police are investigating to determine if it was suicide or not.
  9. The Kandy Division Criminal Investigation Bureau seizes a BMW and Prado jeep worth Rs. 60 million from former Minister Rohitha Abeygunawardena’s son-in-law’s residence in Aniwatta: The vehicles were confiscated after no legal ownership could be established: Authorities suspect they were illegally released from the port, and further investigations will be conducted by the Government Analysts.
  10. Sri Lanka secure a five-wicket victory over West Indies in the rain-affected first ODI in Pallekele, chasing a revised target of 232 in 37 overs: Captain Charith Asalanka (77) and debutant Nishan Madushka (69) combined for a 137-run partnership after early trouble: West Indies posted 185 for 4 before rain intervened, with Sherfane Rutherford top-scoring with 74*.

Government to Reform National Film Corporation amid Allegations of Irregularities

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By: Staff Writer

October 20, Colombo (LNW): Amid claims of irregularities and favoritism in film distribution, Sri Lanka’s Media Minister, Vijitha Herath, announced plans to establish clear guidelines for releasing films.

He emphasized that the current government is committed to transparency and fairness, aiming to modernize the National Film Corporation (NFC) to better compete with the private sector.

Speaking at the appointment of new boards for the NFC and the Sri Lanka Foundation Institute, Herath highlighted the need to address past issues where films were allegedly released based on personal favors and rectify irregularities in bank loans to the film industry.

W. Prince Senadeera was appointed as the new Chairman of the NFC. Stakeholders in the local film industry criticized the NFC for inefficiency and malpractices since its inception in 1971, suggesting that these issues have hindered the sector’s growth.

Although the, 1971, 1987-1889 insurrections, three decade  North East war and other minor revolts including Easter Sunday bomb attacks exerted  impact on the industry, NFC’s monopoly in distribution and import of films has caused the down fall of the industry , they alleged.

As corporation was the sole distributer of films no good content was provided to cinemas resulting in patrons moving away from film going culture that was once very vibrant in the country.

When distribution partially liberalized in 2001 ., four private film distribution circuits Lanka Film Distributors Ltd. (LFD), E.A.P. Films and Theatres Ltd. (EAP), Movie Producers and Importers Ltd. (MPI), Cinema Entertainment Ltd. (CEL) entered the market in addition to the NFC have been permitted to import and distribution of films .

They urged the government to limit the NFC’s role to a regulatory body and to fully liberalize film distribution, allowing for private sector involvement without bureaucratic constraints.

The stakeholders also called for restructuring the NFC to support private exhibitors, producers, and distributors.

They argued that NFC’s past monopoly on film distribution negatively impacted the industry by failing to provide quality content, which discouraged the film-going culture. With partial liberalization in 2001, private distributors entered the market, boosting investments and revenue.

However, despite some progress, the NFC’s control over film distribution persisted, as indicated by a 2019 gazette notification that reaffirmed its dominant role. Stakeholders noted that this monopoly deterred major foreign studios from engaging with the Sri Lankan market.

They proposed that cinema hall owners be allowed to diversify their business operations to sustain profitability.

Calls were made to the Committee on Public Enterprises (COPE) to reform the NFC into a more efficient regulatory body, focusing on improving its staff’s effectiveness while reducing its direct involvement in film distribution.

Fresh Investigation Launched into 2021 Sugar Scam under New Government

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By: Staff Writer

October 20, Colombo (LNW): The Criminal Investigation Department (CID) has reopened the investigation into a massive sugar tax fraud that allegedly took place during the regime of former President Gotabaya Rajapaksa.

 The scam, which reportedly involved manipulating import taxation in 2021, resulted in losses amounting to millions of rupees. The investigation was ordered to resume by the current President, Anura Kumara Dissanayake, following his government’s commitment to addressing this case.

The initial complaint regarding the sugar tax fraud was lodged on 21 July 2022, and the investigation started soon after. A second complaint was filed under President Dissanayake’s administration on 9 October 2023, leading to a renewed and more comprehensive investigation.

CID Director SSP Mangala Dehideniya has recently asked for the personal and official phone numbers of the President’s secretaries up to 13 October 2022, to be handed over to the Financial and Commercial Crime Investigation Division of the CID. This request aims to gather additional evidence to clarify the involvement of key individuals in the alleged fraud.

According to a high-profile CID official, who spoke to The Sunday Morning on condition of anonymity, investigations into the scam had been ongoing but faced delays.

 However, a fresh probe has been launched to conduct a thorough investigation following the new complaint. The focus is to determine whether officials responsible for revising the tax rates had received any benefits from the suppliers involved.

The controversy began in October 2020 when the government eliminated import duties on several essential items, including sugar, with the intention of lowering the price to Rs. 85 per kg. Despite this move, sugar prices in the market did not drop as expected, leading to public pressure on the government to regulate wholesale and retail sugar prices.

Subsequently, the Consumer Affairs Authority (CAA) set the Maximum Retail Price (MRP) for white sugar at Rs. 90 per kg on 10 November 2020, but sugar remained unavailable at that price.

A Special Audit Report by the National Audit Office (NAO) revealed that by July 2021, sugar prices had soared to Rs. 130.52, and later to Rs. 133.24, prompting the government to reimpose price controls in September 2021.

The report highlighted that the tax reduction had caused significant financial losses to the government while benefiting a few major importers.

During the period from October 2020 to February 2021, a total of 277,715 metric tons of sugar was imported, with one company alone importing 45% of that amount, enjoying a tax benefit of around Rs. 6.23 billion.

Despite the intended relief through tax reductions, the market price of sugar continued to rise, with no government action to address the alleged sugar scam. In November 2021, tax hikes led to a sugar shortage, which some speculated was artificially created.

The CAA’s efforts to regulate prices were short-lived due to the ongoing market issues after the Special Commodity Levy (SCL) on imported sugar was raised.

Sri Lanka’s annual sugar production accounts for only 9% of its total consumption, with the majority of sugar being imported. The private sector manages sugar imports from countries like India, Turkey, China, and Vietnam.

Recently, on 2 November 2023, the Finance Minister ordered an increase in the SCL on imported sugar from 25 LKR cents per kilogram to Rs. 50, marking the first price revision since the tax reductions in 2020.

The reopening of the investigation signals a renewed focus by the government to identify the individuals responsible for the manipulation of sugar import taxes and to address the economic losses suffered due to the scam.