Alleged privatisation of SLIC, SLT: SLPP rebel slams govt., demands restructuring of loss-making ventures

‘Utterly corrupt process implemented at country’s expense’

By Shamindra Ferdinando

Dissident SLPP lawmaker Dr. Nalaka Godahewa has warned of clandestine moves to sell off profitable ventures in the state sector.Addressing the media in Colombo on Wednesday (24), the Gampaha District MP alleged that instead of restricting loss making ventures, interested parties seemed hell-bent on divesting the Treasury of cash cows.

Referring to a recent declaration made by President Ranil Wickremesinghe, the one-time private sector top executive questioned the rationale in privatising Sri Lanka Telecom and Sri Lanka Insurance Corporation (SLIC) at a time the public expected the government to re-structure loss making enterprises.

Flanked by leading dissidents lawmakers, Prof. G.L. Peiris and Prof. Charitha Herath, Dr. Godahewa said that there couldn’t be any justification in further delaying launching of the restructuring process in respect of ailing Sri Lankan Airlines, Ceylon Electricity Board (CEB), Ceylon Petroleum Corporation (CPC) and Water Supply and Drainage Board.

One-time prominent Viyathmaga activist Dr. Godahewa pointed out that the losses suffered by the above-mentioned state enterprises this year would be much more than the total state revenue.

Dr. Godahewa emphasised the restructuring cash-strapped enterprises and selling off profitable ventures were entirely two different things. The lawmaker said that the current economic crisis shouldn’t be exploited by the powers that be contrary to the expectations of the public.

Commenting on what he called the despicable move on Sri Lanka Telecom, MP Godahewa said that the government owned over 49.5 percent of that particular enterprise’s shares. Referring to the shares owned bythe EPF, ETF and the SLIC in the SLT, Dr. Godahewa said that the government controlled over50-percent of shares. Therefore, there couldn’t be any justifiable reason to privatize internationally recognized operations, the MP said.

Dr. Godahewa also attacked the government over the alleged move on SLIC.

The MP recalled how the Supreme Court reversed the sale of SLIC, Waters Edge and Lanka Marine Services over corruption charges. Declaring that the country’s privatization and restructuring process had been tainted, Dr. Godahewa said adding that the sale of SLIC for Rs 6 bn during Chandrika Bandaranaike Kumaratunga’s tenure as the President in spite of the state enterprise having assets estimated to be worth Rs 30 bn exposed the utterly corrupt system in place.

According to him, during the tenure of Presidents, the late Ranasinghe Premadasa and Chandrika Bandaranaike Kumaratunga (1990-2003) altogether 94 state enterprises were privatized under controversial circumstances. The former minister alleged that those who procured those enterprises for a song sold them at massive profits.

Lawmaker Godahewa said that the agreement on Hambantota port finalized in 2017 too revealed how deals were made at Sri Lanka’s expense. The MP said that even today there was no clear idea as to how USD 1 bn received from China was utilized.

One corrupt deal allowed a buyer to sellastate plantation company he boughtatdouble the amount within 24 hours, the lawmaker said, warning those planning to profit at a time the country has been declared bankrupt.

The former minister urged all those concerned to be cautious and vigilantas the country had to pay USD 5 bn annually for several years. It would beagrave mistake on Sri Lanka’s part to ignore the growing crisis though the public received some relief due to the government suspending repayment of debt.