Channel Eye leased out to Lyca sans Cabinet approval

by Rathindra Kuruwita

The frequency used by Channel Eye, which is a subsidiary of Sri Lanka Rupavahini Corporation (SLRC), had been leased to Lyca Group to telecast sports and entertainment programmes for Rs 25 million a month, Minister of Transport and Highways and Minister of Mass Media Bandula Gunawardena said during the Cabinet press conference yesterday.

The Minister said that Channel Eye only operates a few hours a day for want of funds.

“It is even difficult to pay the electricity bill of Channel Eye. We have leased air time of Channel Eye for a short period of time to Lyca, with the approval of the SLRC Director Board and my ministry. Lyca will only air sports and entertainment programmes. We are charging it Rs 25 million a month,” Minister Gunawardena said, noting that he had not obtained the approval of the Cabinet of Ministers for the agreement because the ministers were of the opinion that there was no need to present a Cabinet paper, for the laws that govern the SLRC empowered its board of directors to make commercial decisions, Gunawardena said.

“Then, I withdrew my Cabinet paper and told the Board of Directors that we could lease the frequency of Channel Eye for two years to broadcast entertainment programs. Anyone who fulfils certain criteria could apply for this. The lowest monthly bid would be Rs 25 million. Once the board approval is given, I will award it openly. There is no problem with the agreement with Lyca,” the Minister said.