PRECIFAC, Bond Commission reports debated in P’ment

By Ashwin Hemmathagama 

The wastage of public funds both during the Rajapaksa regime and under the current Government was brought up yesterday in Parliament with lawmakers taking up for debate the final report of the Presidential Commission of Inquiry to investigate into Serious Acts of Fraud, Corruption and Abuse of Power, State Resources and Privileges (PRECIFAC) and the report of the Presidential Commission of Inquiry on the Bond Issuance. 

Chief Opposition Whip Janatha Vimukthi Peramuna MP Anura Dissanayake opened the Adjournment Debate, questioning the Government for not taking action against the corrupt individuals named in the two reports. According to Dissanayake, those who were corrupt changed sides to be safe under each regime supported by white-collar criminals. 

“SriLankan Airlines was taken back in 2007 based on personal decision. The accumulated loss incurred by SriLankan Airlines during the last 10 years exceeds Rs. 12.5 billion. A particular agreement to purchase aircraft incurred a loss of $ 115 million. The Greek bonds driven by former Governor Ajith Nivard Cabral led to a loss of Rs. 80 million. The Avant Guard loss is Rs. 11.4 billion. The Hedging Agreement incurred a loss of Rs. 10.2 million. All this is public money spent without any accountability. So the Governments changed on 8 January seeking action against the corrupt. The current loss of the bond issuance is Rs. 11 billion,” said MP Dissanayake.

Explaining to the House the purpose of the debate and the way forward, Prime Minister Ranil Wickremesinghe stated that the Government took action as recommended in the Commission Report and would not hesitate to proceed.

“Action has been taken on the Treasury Bond issuance. Statements were obtained, suspects produced before court and some suspects are in custody. Actions against those who are mentioned in the second report is pending. A few are members of this House. Apart from that, it is also recommended in the reports to amend some regulations pertaining to the Central Bank. We are in the process of making these laws effective from 2016,” said the Prime Minister. 

“We are also looking at reorganising the operations of the Central Bank. This will be decided in Parliament. It is also essential to consider amending Article 81. The Attorney General has provided me a report of the actions taken on the COPE report, which will also be presented to the Speaker. At the moment the Governor of the CBSL has confirmed to have retained Rs. 12 billion belonging to Perpetual Treasuries.” 

“Parliament assembled today to discuss the two Presidential Committee reports. The Bond Commission report was presented to the President on 30 December 2017. Based on the subsequent request to debate, I have written to the Speaker on 10 January 2018. However, the JVP pointed out the necessity to have the report tabled in Parliament to continue with the debate. So I made a clarification, which was interrupted leading the House to be adjourned. On 23 January the reports were presented in Parliament. The party leader discusses the matters with the Speaker and it was agreed to debate both reports on 19 February. However, based on a letter received from the Speaker highlighting a request received from the JVP to summon Parliament, we agreed to meet on 7 February. Based on the legality of the objections raised by the Elections Commission, we had to move this date to 6 February. The Prime Minister can only summon Parliament. The debate which commenced now could continue on 20 and 21 February, providing the opportunity for the members who are not present,” added Wickeremesinghe.

Joining the debate, Deputy Minister of National Policies and Economic Affairs, Dr. Harsha de Silva, said: “It was stated in this House that the loss from the bond scams took place before 2015 (tape). So, according to the Bond Issuance, the Pitipana Committee came up with a report, which was again identified in the COPE report to conduct a proper investigation. Subsequently, a COPE report was also forwarded to the Attorney General by the Office of the Leader of the House for action. Even though that it was not evident that there was a fraud identified at that time, reports were sent for necessary action. No attempts are seen to catch smaller fish and keep out the large. It is the first time a COPE report came this far. I have no connection with Arjun Aloysius or Perpetual Treasuries Ltd. and have never met him so I have the courage to call a spade a spade.”