News
Probe into corruption allegations continues
The Financial Crime Investigation Division (FCID) and the Commission to Investigate Allegations of Bribery or Corruption this week continued investigations in cases in which politicians and officials of the former regime were implicated.
Many politicians, former top level Government officials and their relatives have been summoned before the FCID, the Bribery Commission or have turned up in courts.
Basil Rajapaksa being taken to Prisons Hospital from the Kaduwela Magistrate Court. Pic by Nilan Maligaspe
Former Economic Development Minister Basil Rajapaksa, former Economic Development Ministry Secretary Nihal Jayatilake and former Divineguma Fund Director General R.R.K. Ranawaka who were arrested by FCID officers were remanded till May 5 by the Kaduwela Magistrate on April 22.
Mr. Rajapaksa flew to the United States soon after the Presidential election and arrived in the country on April 21. He was summoned to the FCID to record a statement on April 22 and arrested on the same day.
Mr. Rajapaksa was issued notice on March 26 by the Kaduwela Magistrate to appear before the FCID to record a statement regarding massive amounts of money allegedly misused in the Divi Neguma Development Department.
Four separate cases being investigated entail compensation and gratuity payments of Rs.1.73 billion under the Divi Neguma when it was converted into a Department, a house renovation project under the Divi Neguma that involved a massive Rs.2.99 billion, printing of alleged election propaganda in the guise of New Year calendars with auspicious times and other information, at a cost of Rs.29.4 million and holding a national convention of Divi Neguma beneficiaries during the election period, spending Rs.63.7 million.
Mr. Rajapaksa, Dr. Jayatilake and Mr. Ranawaka were transferred to the National Hospital on Thursday from the Prison hospital after lawyers informed the Kaduwela Magistrate that they required medical treatment.
Former Defence Secretary Gotabaya Rajapaksa was summoned to the Commission to Investigate Allegations of Bribery or Corruption on April 23 to record a statement over several allegations against Mihin Air, Rakna Arakshaka Lanka Limited and Avant-Garde. The Bribery Commission has accepted the request of the former Defence Secretary to record his statement on another day.
The former Defence Secretary told the media that he was unaware about the areas in respect of which the Bribery Commission intends to record a statement. As a result he requested an additional date to record his statement.
Meanwhile, a few Parliamentarians, politicians, members of several organisations including the Bodu Bala Sena and the Ravana Balaya conducted a protest outside the office of the Bribery Commission against the summoning of Mr. Rajapaksa. The protest was carried out despite an order banning the protest, issued by the Colombo Chief Magistrate on April 22.
Former President Rajapaksa has also been summoned by the Bribery Commission, but later in view of protests by some of the UPFA MPs he was informed that his statement will be recorded at his residence.
A group of Opposition Parliamentarians started a protest inside Parliament and another protest commenced near Parliament against summoning the former President before the Bribery Commission.
Former President Mahinda Rajapaksa was asked to report to the Commission to Investigate Allegations of Bribery or Corruption on Friday to record a statement on the Ministerial post granted to Tissa Attanayaka. (see separate copy on this page)
The Commission also filed a case last Wednesday in the Colombo Magistrate’s Court against former Media Minister Keheliya Rambukwella, former Rupavahini Corporation Chairman Wimal Rubasinghe and former Rupavahini Corporation Director General Chandrapala Liyanage.
The complaint said that the Corporation incurred a loss of Rs.990,000 as a result of the former Minister and the two others negotiating the purchase of 600 GI pipes. The Chief Magistrate Gihan Pilapitiya issued notice on the former Minister and the two others to appear in court on May 20.
Gotabaya Rajapaksa leaving the Bribery Commission office. Pix by Indika Handuwala
The FCID filed a report on April 22 in the Colombo Magistrate’s Court against former Trade and Consumer Affairs Minister Johnston Fernando and his son North Western Province Councillor Johan Fernando.
It reported that the former Minister and his son have misused money amounting to Rs.5.2 million belonging to Sathosa. It further reported that the former minister has called managers of Sathosa outlets on his personal telephone and ordered them to send goods to the “Johnston Fernando Foundation.” The goods sent to the Foundation by Sathosa outlet managers were used for Johan Fernando’s election campaign, it further stated.
The Colombo Chief Magistrate Gihan Pilapitiya ordered the progress of further investigations be reported to him.
Parliamentarian R. Duminda Silva was summoned to the Commission to Investigate Allegations of Bribery or Corruption on April 22. The MP told the media he had come to hand over a statement on his assets and liabilities. Earlier the MP was questioned by Police on an alleged connection with drug dealer ‘Wele Suda’.
All Island Self Employed’s Federation Chairman and Colombo Municipal Council member Mahinda Kahandagamand two others were arrested by the Fraud Investigation Bureau on February 9 on a complaint by Ven. Uwatenne Sumana Thera The complaint was that Mr. Kahandagama and his assistants had collected money illegally from shop vendors in Bodhiraja Mawatha and 5th Cross Street in the Pettah.
Mr. Kahandagama was released on bail by the Colombo Chief Magistrate Gihan Pilapitiya on April 21.
The Chief Magistrate prohibited the Federation to collect money from shop vendors without the supervision ofofficers of the Colombo Municipal Council. The Chief Magistrate warned that the suspect’s bail would be cancelled if he was found guilty of involvement in financial fraud on the basis of the Attorney General’s report.
Lalith Weeratunga, former Secretary to President Rajapaksa was questioned for a period of seven hours by the FCID on April 22 regarding a financial transaction at the Telecommunications Regulatory Commission (TRC). The FCID is investigating the transfer of Rs. 600 million to the Presidential Secretariat from the TRC allegedly used to buy gifts before the last Presidential election.
The Colombo Chief Magistrate granted permission to the Criminal Investigation Department (CID) on April 20 to investigate 81 bank accounts belonging to the former President’s Chief of Staff Gamini Senerath and eight of Mr. Senerath’s relatives. The Chief Magistrate also permitted the CID to investigate the bank accounts of Rathna Book Publishers (Pvt) Ltd., Rathna Publishers & Printers (Pvt) Ltd., Print Excel (Pvt) Ltd. and Rathna Metal Industries (Pvt) Ltd., which are companies belonging to Gamini Senarath’s family.
The CID had filed a case in the Colombo Magistrate’s Court against Gamini Senarath under the Money Laundering Act No. 5 of 2006 and sought court permission to investigate bank accounts as a part of the investigation. Earlier on March 16 and 27, Financial Crime Investigation Division (FCID) officers questioned Mr. Senarath regarding massive amounts of money misused in the People’s Leasing and Finance PLC. Mr. Senerath was appointed as the Chairman of the Peoples’ Bank and People’s Leasing and Finance PLC under the former Government.
The FCID filed a report in the Colombo Magistrate’s Court against former Sports Director General Ranjani Jayakody on April 20. FCID stated the former Sports Director General had granted Rs.2,400,000 to CSN Channel violating State financial regulations. The report also said that the present Accountant of the Sports Development Department has made a complaint to the FCID that the former Director General had purchased airline tickets for sportsmen and officials via a private company violating the usual regulations.
The FCID further reported that investigations have commenced on illegal money transactions carried out by the Ministry of Fisheries and Aquatic Resources Development to appoint a security service at the Peliyagoda fish market. The Chief Magistrate Gihan Pilapitiya ordered the progress of investigations be reported to him immediately.
Former Chairman of Carlton Sports Network (CSN) Rohan Welivita was summoned to the FCID on April 21 and interrogated for a period of three and half hours. Mr. Welivita had been questioned regarding several irregularities that had allegedly taken place at CSN. He had given a statement detailing how the Channel was founded, how much was invested in the business, who were the owners of the channel and several aspects of the business. Earlier the FCID questioned former CSN Chief Executive Officer Nishantha Ranatunga over the same matter.