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Misuse of State funds:
Rs. 1.84 m for plaque costing only Rs. 428,000
by Dhaneshi Yatawara
The Negombo Lagoon Development Program turned into a tamasha where a
political rally was held to promote former President Mahinda Rajapkasa's
election campaign in 2014. Moneys of the Ceylon Fisheries Harbour
Corporation(CFHC) had been expended. A staggering Rs. 1.84 million was
used for a cement plaque which in fact had cost only Rs. 428,000.
 Investigations by the special police team of the Presidential
Commission of Inquiry(CoI) into Serious Acts of Fraud, Corruption and
Abuse of Power, State Resources and Privileges has unearthed evidence of
alleged misuse of funds of the CFHC for the 2014 presidential election
of the former president.Based on three petitions filed with the
Presidential Commission of Inquiry to Investigate and Inquire into
Serious Acts of Fraud, Corruption and Abuse of Power, State Resources
and Privileges an embezzlement of state funds amounting to millions of
rupees of the CFHC in late December 2014 has been found.
The CoI then transferred the case to the special police investigation
team led by ASP Lalith Abeyesekara.The petitions were against the misuse
of state funds to build a plaque for the Negombo Lagoon Development
Program at a cost of nearly Rs. 1.84 million.
The CoI unearthed evidence that the plaque was in fact made of cement
and not of any other material as earlier envisaged. An independent
valuation conducted by a team of experts from the University of Moratuwa
on the request of the CoI revealed that the cost for the existing cement
plaque would have been around Rs. 428,000. The Police team gathered
evidence from responsible parties thereby proving the large scale misuse
of public funds.
Additional evidence on the alleged misuses of state assets where
funds for T shirts and caps had been been printed with promotional logos
of the former President and a prominent Deputy Minister who was also a
strong politico in Negombo at a cost of Rs. 1.25 million has also been
found. A public rally held under the guise of inaugurating the lagoon
development program on December 30, 2014 had cost Rs. 5 million using
state funds.
CFHC diaries had been printed at a cost of Rs. 1.09 million and the
contracts had been awarded violating the Government Procurement
Guidelines published in 2006. A 50% advance payment had been made to
print diaries, whereas the Government procurement protocol clearly
showed that a state institution could only pay a maximum of 20% as
advance payment. The CFHC on December 19 had paid this payment signed by
the then Chairman and the General Manager.
The first public hearing of the case was held on July 6 and was
postponed for August 20 as certain politicians involved in this case
were contesting the elections. The Commission comprised High Court
Judges Padman Surasena (chairman), Amendra Seneviratna, Vikum
Kaluarachchi, Gihan Kulatunga and former Auditor General B.A.
Premathilake.Senior State Counsel, Sudarshana de Silva and State
Counsel, Sagara Kariyawasam.appeared on behalf of the Attorney General's
Department. Attorney-at-law, Sampath Mendis appeared for the suspects.
Acting Supplies Manager of the CFHC, Lakmina Munidasa when questioned
by Senior Counsel Kariyawasam said that the construction of the plaque
was awarded to a contractor who was selected from the list of names sent
by the General Manager in an open letter without tenders being called.
The advance payment was over 50% of the total payment despite the
fact that the Government Procurement Guidelines authorizes only a 20%
advance payment. According to Lakmina Munidasa it was revealed that the
General Manager authorized and the Chairman at that time approved the
advance payment. The payment was done on December 19, 2014. According to
official records of the CFHC, the Procurement Committee had met to
evaluate the quotations on January 7, 2015.The Commission was
investigating whether Government funds had been used in organizing a
public rally for the former President at the Negombo Municipal Council
playground on December 30, 2014 under the pretext of an inauguration
ceremony of the Negombo Lagoon Development Program. Documentary evidence
is available with the investigators that a contract was awarded to a
small business holding to set up a stage and huts at a cost of Rs. 8.95
million. There were no signs whatsoever on the Negombo Lagoon
Development Program and the backdrop of the stage was in blue.
According to the evidence of the Negombo Mayor, Antony Jayaweera, the
rally was organized under the guidance of the Negombo Sri Lanka Freedom
Party (SLFP) organizer who was also a former Deputy Minister. A number
of high profile SLFP Ministers, Deputy Ministers and parliamentarians
were present at the rally. "They elaborated on the peace regained and
development work taking place under the guidance of the former
President," he added.
Attorney-at-law, Darshana Mendis, appeared on behalf of the former
Deputy Minister, former Chairman Upali Liyanage, General Manager G.G.P.
Abeysekara, Private Secretary and Coordinating Secretary of the former
Deputy Minister. The CoI said that the public hearing was postponed for
August 20, 21, 24 and 25.
General Manager, Amarasekara told the Sunday Observer that it was
inappropriate for him to comment on an ongoing investigation. "I have
served as a Government officer for 33 years and for four years I served
at the CFHC. I have had an unblemished carreer and this took place
within those 'fateful two weeks' in late December. All of us, who held
posts at the
CFHC hope that investigations will be conducted in a transparent
manner and will reveal the truth and nothing but the truth," he said. |
