New regime urged to clean the Finance Ministry institutions
View(s):Amidst an urgent call from newly appointed Finance Minister Ravi Karunanayake to prepare a report on the financial position at the Treasury, Finance Ministry officials are urging the new regime to clean up the top administration in major revenue collection institutions and economic nerve centres immediately as the heads of these institutions will definitely present a rosy picture on the economy misleading the authorities by hiding massive financial misappropriation and corrupt deals.
A group of Treasury officials told the Business Times that without changing the heads of the Inland Revenue Department, Sri Lanka Customs, Securities and Exchange Commission of Sri Lanka (SEC), National Lotteries Board, Development Lotteries Board, Sri Lanka Insurance Corporation and Employees Trust Fund Board coming under the Finance Ministry, the country’s financial administration cannot be resurrected.
They noted that some of these political appointees are still holding office without gracefully stepping down, after the fall of the Rajapaksa regime, to obstruct the 100 day programme. Sri Lanka’s tax revenue has fallen more than 15 per cent from its target in the first quarter of last year. Due to the unsatisfactory situation in the revenue administration many capable officers at various levels retired from the service pre-maturely or transferred to the Finance Ministry under the one man show-like governance of former Treasury Secretary Dr. P.B. Jayasundera leaving a vacuum in the tax administration.
All these years’ tax administrations especially the Inland Revenue was saddled with a huge mountain of tax arrears which increased year by year. This was further aggravated under the present tax chief who has no long term experience in tax administration, a spokesperson for the group, said.
The post of Commissioner General of the Department of Inland Revenue fell vacant since 28.07.2014 and the then government initiated an unprecedented interview process changing the history of the Inland Revenue Service and the department to fill the said post.
Senior Officer Kalyani Dahanayake was awarded the first place in the selection on the recommendation of the interview panel, but she was not given the appointment.
According to ministry sources, the matter was not taken up by the Cabinet and the appointment letter had been manipulated and given by the former President at a much later stage at the request of the by former chief of president’s staff Gamini Senarath.
The appointed person Wasanthi Manchanayake was less experienced and less senior and was ranked by the interview panel in sixth place, sources said, adding that Ms. Dahanayake who was the most senior officer of the Department as at 28.07.2014 had been transferred to the ministry. Ms. Manchanayake has been performing the duties in the post of Commissioner General of the Department of Inland Revenue thenceforth to date and drawing a salary without the approval of the Cabinet of Ministers The appointment of the most senior officer as the Commissioner General was the tradition of the Department of Inland Revenue for 80 years. There were a few occasions where the next senior officer of the seniority list was selected due to the reasons such as the short remaining period of service.
The group of officials urged the Finance Minister to change the Tax Department chief and other heads of institutions coming under the ministry including SEC Chairman Nalaka Godahewa who is yet to step down despite the normal practice of relinquishing high posts by officials after the change of regime.