PCR accuses Govt of Inaction amid sugar scandal and Online Safety Act debate

Former Minister and leader of the United Republican Front (URF), Patali Champika Ranawaka, raised serious concerns over the alleged sugar scandal and the government’s handling of the Online Safety Act during a session of the Ways and Means Committee of parliament.

Ranawaka, who also serves as the Chairman of the Ways and Means Committee, stated that there were at least 50,000 tons of sugar in storage units when the government increased the sugar tax by 49.75 rupees on November 2nd. He cited a massive fraud in sugar exports in June 2021, a fact that has been acknowledged by various stakeholders. The Auditor General’s department identified an importer who made undue profits of 16 billion rupees, yet the Inland Revenue Department (IRD) failed to collect the appropriate income tax.

Ranawaka said that the government’s increased taxes on sugar to 50 rupees from 25 cents, allowing several companies to benefit significantly. He noted that a few companies appeared to have prior knowledge of the tax increase, citing an example of a company importing 10,000 tons of sugar in October compared to 2,000 tons in the preceding months. A total of 14 companies imported 19,000 tons more sugar than usual. The government’s inaction, Ranawaka argued, allows these businesses to profit from the tax increase without addressing the issue.

Ranawaka criticized the government for enacting the Online Safety Act under the pretext of protecting citizens from online threats. He contended that the act was, in reality, aimed at granting the president more control over social media and digital spaces. He noted that the Supreme Court recently determined that a special majority vote is required to pass the Online Safety Bill in its current form, emphasizing that substantial changes are needed.

Ranawaka highlighted the importance of technology in enabling peaceful mobilization and organization among the youth. He stated that while the government may attempt to curb such activities, technology always finds a way. Foreign technology companies operating in Sri Lanka, including Google and Booking.com, are unlikely to support such efforts, Ranawaka added.