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Tuesday, 29 January 2019 03:09 - - {{hitsCtrl.values.hits}}
By Manopriya Gunasekera
The Fort Magistrate yesterday ordered Police to issue a warrant to arrest former Irrigation and Water Management Ministry Secretary Ivan Silva over the alleged misappropriation of Rs. 4 billion from the Chinese funded Gin-Nilwala project.
The order was given by Fort Magistrate Priyantha Liyanage. Police was also ordered to issue the warrant in English and a copy be sent to Interpol and for the Immigration and Emigration Controller to be informed as well. The request was made by the Financial Crimes Investigation Division (FCID) when the compliant was taken up in Court on Monday.
The suspect identified as K.D. Ivan Silva is believed by the FCID to be residing in Oakland, New Zealand. The FCID had been seeking the suspect to record a statement but had been unable to do so as he had already left Sri Lanka.
During his post as former Irrigation Ministry Secretary Silva had signed the contract for the Gin-Nilawla project on behalf of the Sri Lankan Government. He is accused of having misappropriated part of the 5% commission that is alleged to have been part of the deal.
Eleven cheques had been used by the suspect to transfer Rs. 78 million from his account while Rs. 22 million had been transferred to his brother-in-law’s account, Court heard. Police has already issued a Red Notice on the suspect and investigators requested the Court to provide them with a date to give updates of the ongoing investigations. The case was accordingly postponed to 12 February.
The Cabinet-approved project hit headlines last year after it was reported that the Government had paid Rs. 4 billion for the project but no work had commenced. Subsequently the Chinese company that was awarded the project had complained to President Maithripala Sirisena that a top politician was seeking bribes.
The Gin-Nilwala project was awarded during Opposition Leader Mahinda Rajapaksa’s time and payments of Rs. 4 billion had been hurriedly made before the Government changed in early January 2015. It was earlier reported that the project was given without calling for tenders by the Rajapaksa administration.
The total project cost is $ 690 million and relevant agreement has been signed with China CAMCE Engineering Co. Ltd. to enter into an Engineering, Procurement and Construction (EPC) contract.
The main goal of the multi-sector development project was to minimise the damage to the environment and properties when the river floods during the rainy season and to provide drinking and irrigational water to the Hambantota District.
In addition to provision of drinking and irrigational water, the project aims to improve existing irrigation systems, introduce commercial agriculture development and provide industrial water requirement of Greater Hambantota proposed industrial development area.
Three tunnels will be constructed to take the water to Hambantota and the water from three reservoirs at Muruthawela, Urubokka Oya (Udukiriwela), and Kirama Oya will be used to improve agriculture. In addition, water supply will also be provided to the Hambantota harbour.
