Columns

• MS gets tough, moves to take control of SLFP, denies nomination to MR,says “No 20A, no elections”
• No accord on electoral reforms package; UNP insists early elections as momentum gathers on No-Confidence motions against PM and two ministers
• Angry MR vows to contest General elections, even if SLFP denies him nomination, bid to form UPFA-led government on the cardsShocking revelations on MiG deal; secret account in British Virgin Islands; top US officials here to assist FCID and CID investigations

The search for hidden assets of leaders of the previous Government has gone into high gear ahead of parliamentary elections. In Colombo this week to assist the local investigative agencies in this task were officials of the US Department of Homeland Security and the Department of Justice. Their visit is the direct outcome of the May visit to Sri Lanka by Secretary of State John Kerry. During his talks with Foreign Minister Mangala Samaraweera, Kerry assured Sri Lanka the US Government’s fullest support to trace foreign assets and assist local agencies in ongoing investigations.
The visiting US team met senior investigators in the Financial Crimes Investigation Division (FCID) and the Criminal Investigation Department (CID). They learned from the local investigators details of ongoing high profile investigations and offered help in finding answers to issues outside Sri Lanka, particularly in the US. In one discussion, besides issues related to assets, the Sunday Times, learns that the focus was on the role of a Sri Lankan diplomat in the US. They are to hand over details of certain financial transactions by him in contravention of diplomatic conventions. That is for authorities in Colombo to initiate legal action over large sums of monies he has earned brokering deals outside his professional duties. The FCID has also learnt of a local politician, who wielded unbridled power under the previous administration. He had purchased condominium apartments in Los Angeles, Arlington, Virginia in Washington DC. The controversial man, known for his many projects in the US to promote Sri Lanka, is also under investigation for other ‘investments’ and how he raised funds for them.

These developments came as local investigations, particularly by the FCID, laid bare more facts. One such instance is the ongoing probe into the procurement of MiG-27 fighter jets to the Sri Lanka Air Force (SLAF). Documents on the deal described it as a Government-to-Government transaction. However, the agreement was for payments to be made to a company called Bellimissa Holdings Limited with a London address. Until a few weeks ago, the firm was found to be non-existent. Investigations have now revealed an offshore (secret) bank account in the name of this company in a bank in the British Virgin Islands. Interesting enough, the account has been opened in 2006, just days ahead of the signing of the agreement for the MiG-27 deal on July 26, 2006. According to records made available, the company itself has been formed just days before the account was opened. FCID officials remained tightlipped when asked for details, saying investigations were still ongoing.

However, other sources said a four-member team headed for the Ukranian capital of Kiev will investigate the details, including when this company was formed, who its directors were and their links. The team comprises an official from the Foreign Ministry, senior FCID and CID officials. In this regard, these sources said, detectives also want to question the man who put through the MiG-27 deal — former Sri Lanka Ambassador to Russia, Udayanga Weeratunga. SLAF officers who were questioned have confirmed his direct role.

His presence in Iran came to the notice of the FCID after he had telephoned the Sri Lanka Embassy there last month to ask that the Foreign Ministry be advised on the arrival in Colombo of a container load of his personal effects. This week, FCID detectives learned that Weeratunga was in Dubai and was staying at the Marriot Hotel there. He has been making numerous calls to persons in Colombo. The detectives want to determine how the former envoy is travelling since a diplomatic passport issued to him has been withdrawn. It is possible he is using a regular Sri Lankan passport. He is unable to travel to Ukraine, where he owns a restaurant serving Sri Lankan cuisine and property because the Public Prosecutor there is seeking his arrest.

At Thursday’s UPFA news conference - (L-R) Opposition Leader Nimal Siripala, UPFA General Secretary Susil Premajayantha and Prof. Tissa Vitharana.

Offshore banking accounts are allowed in the British Virgin Islands (BVI). The country’s economy is one of the most stable in the Caribbean; islanders enjoy one of the highest GDP per capita incomes in the entire region. This is due in part to their close ties to the U.S. Virgin Islands and thus the United States, and its use of the US dollar, despite being an overseas territory of Great Britain. FCID detectives believe Weeratunga will be able to throw more light on the role of this company which they suspect is only a front.

Whether the outcomes of the many investigations now under way will see the light of day remains a key question. Firstly, the legality of the FCID is being challenged before the Supreme Court. One sore point is the Gazette notification setting up the FCID. While the establishment of the division itself is a prerogative of the Inspector General of Police, what is at issue is a paragraph which states that complaints are forwarded to the Police Chief “for investigation by the Secretariat established by the Cabinet Sub Committee under the patronage of the Hon. Prime Minister set up in accordance with the Cabinet decision and, in addition to that, the special complaints are forwarded by the Cabinet Sub Committee directly to the Deputy Inspector General of Police in charge of the Division.” This led to accusations that investigations were ordered selectively. This requirement was to be rescinded on the orders of President Maithripala Sirisena. However, Government’s legal advisors have opined it should not be done since that would amount to an admission that the inclusion of the provision in question was wrong. Secondly, even if it does not slow down the pace, the future of such investigations will be in the balance. It would depend on the Government that will be elected.

For President Maithripala Sirisena weakening the political campaign of his predecessor Mahinda Rajapaksa and his allies is priority number one. An aim of the ongoing investigations is to expose wrongdoings and thus damage his arch-rival’s credibility. To that extent, even the introduction of 20A — the electoral reform package is once again in focus by ‘popular’ demand. Close advisors to Sirisena believe that the memorandum he presented to ministers had an underlying strategy. They are of the view that it could prevent Rajapaksa and his key allies contesting different districts and be forced to do so in electorates. This is through the proposed electoral reforms. The country is being divided into 20 to 25 electoral districts which again would be divided into 3 to 16 electorates. The idea is to prevent them from drawing the entire district’s vote base for their party from the existing system. This is why the package envisages that 196 MPs be elected on an electoral basis. The balance 59 MPs are to be from a National List based again on a proportional representation system.

Sirisena declared to the media a week ago that a new Government would be in place by September — a remark which suggested that dissolution of Parliament would come by mid-June or July. Thus, the likelihood of introducing 20A, which remained stalemated, became remote. Sirisena himself declared again that he would dissolve parliament soon after the Constitutional Council was in place. For this purpose, Parliament is to be convened on June 3, ahead of the scheduled June 9 sessions, to endorse the members already named. However, pro-Sirisena sections including those in the Sri Lanka Freedom Party (SLFP) renewed pressure this week to ensure 20A was passed in Parliament before the dissolution. Such a move no doubt is likely to push Sirisena’s own deadline of having a new Government in place by September. Not surprisingly, too many deadlines, including the most promised April 23 dissolution, have not materialised. More importantly, mustering a two-thirds majority also remains an uphill task. Yet, parliamentarians backing him are assuring him the numbers. They are also wooing colleagues to take up ministerial appointments.

The need to have the 20A approved in Parliament became Sirisena’s priority this week. The outlines of the reforms package, presented in the form of a memorandum from him, formed the subject of intense discussion at Wednesday’s weekly meeting of the Cabinet of Ministers. There were heated exchanges between Sri Lanka Muslim Congress (SLMC) leader Rauff Hakeem and Jathika Hela Urumaya (JHU) General Secretary Patali Champika Ranawaka. Hakeem complained that the Cabinet memorandum was “vague” and contained “no specific directions” on the formulation of a Bill. “What happens to the minorities?” he asked. Minister Ranawaka noted, “we have discussed this many times. Why continue with this”, triggering an argument.

Another heated argument erupted on the formulation of minutes of the ministerial subcommittee that studied the electoral reforms. Hakeem accused Ranawaka of preparing the minutes when it should have been done by the subcommittee secretary Tillekeratne Ranaviraja. Ranawaka noted that Ranaviraja had consulted the SLMC’s Nizam Kariappar who had agreed to its contents, a position which was contested by Hakeem. Joining in at this stage was Foreign Minister Mangala Samaraweera who asserted “you can’t intimidate the minorities.” In fact the United National Party (UNP), predominant partner in the Government, was also not in favour of the reforms discussed. The position was also articulated by Minister Lakshman Kiriella, the Leader of the House, at a news conference on Friday. “We are not in favour of the 20A,” he said. It was decided that President Sirisena, Prime Minister Ranil Wickremesinghe and the parties that have raised issue meet and resolve the matter.

Thereafter, Premier Wickremesinghe is to report to ministers the outcome at the next weekly meeting on Wednesday. If there is an accord, the Legal Draftsman is to be asked to prepare the draft 20A Bill. It is thereafter that ministers would have to approve this document and gazette it. They would then have to allow two weeks for the public to raise issue in the Supreme Court on the constitutionality of the Bill. It is only then would it come up for debate in Parliament. This time Sirisena declared, “I will not dissolve until 20A is introduced.” Amidst this, the JHU launched a public attack on the SLMC. Its National Organiser Nishantha Sri Warnasinghe charged that the SLMC was going “against the will of the people.”

On Friday, Wickremesinghe met representatives of smaller political parties to discuss the electoral reforms. There was near consensus to a package that would incorporate anything between 230 to 235 MPs in Parliament. It was agreed that an increase beyond that limit was not desirable and other modalities would have to be worked out. That included the question of when the reforms would take effect. Those who took part were in favour of the existing system for the next polls and the implementation of the reforms thereafter. Premier Wickremesinghe will, on Wednesday, brief ministers of the position. Thus, a further discussion will take place before a draft Bill is formulated. Of course, that would be after an agreement is reached. Here again the question is whether such an agreement is possible. Mahajana Eksath Peramuna (MEP) leader Dinesh Gunawardena, a close ally of former president Mahinda Rajapaksa, said they had not agreed to the 20A in the form in which it is to be presented. Ignoring the needs of smaller parties may not see the support of UNP forthcoming either.

At the ministerial meeting Premier Wickremesinghe also raised issue over plans by those in the opposition to move a vote of no-confidence against him. He said those behind it were trying to cause mischief. He walked to the ministerial meeting together with the President after a brief meeting between the two. In fact, former Minister Mahindananda Aluthgamage, who is also under investigation for alleged misappropriation of public funds, declared on Thursday that this motion would be debated on June 9. How he came to that conclusion without prior authorisation from the Speaker is not clear. Sirisena was to say that he was to meet some UPFA members that (Wednesday) night. He said he would tell them that they would have to decide between 20A and the no-confidence motion. If they wanted to move the motion, he would dissolve Parliament. However, Sirisena did not say what would happen if these MPs agreed to vote on 20A if a quid-pro-quo — the no confidence vote — is also taken. Notwithstanding the threat to dissolve, which Sirisena has repeated on many occasions, his remarks were also a veiled message to the UNP-led Government. It would have to decide whether it supports the electoral reforms or face the threat of a no-confidence motion.

Either way, it is not a thorn that would hurt the UNP. The UNP is fervently seeking dissolution of Parliament for an election and will not find itself compelled to support 20A out of any fear. On the other hand, the cause for worry, if any, for the UNP, would be the clamour by a handful in the Sri Lanka Freedom Party (SLFP) to form a Government of their own and continue until April 23 next year when the term of the current Parliament ends. That is an attractive rallying point for Sirisena to win over dissident MPs and thus distance Rajapaksa further. Of course, such a move will also distance him from one of those at the forefront to bring him to power – UNP leader Wickremesinghe. Senior UNP leaders discounted such a possibility, saying Sirisena would not concede such demands. Yet, history is replete with examples of there being no moral boundaries when it came to politics.

Just last Friday, behind the scenes manoeuvring to win over MPs of the SLFP by Sirisena brought some dividends. Joining in as a member of the Cabinet of Ministers is Lakshman Yapa Abeywardena (Parliamentary Affairs). He is a former Investment Promotion Minister. Chandrasiri Sooriyarachchi was named Deputy Minister of Lands. Appointed Ministers of State were Pandu Bandaranayake (Minister of Public Administration and Democratic Governance), Ranjith Siyambalapitiya (Minister of Environment) and Hemal Gunasekera (Minister of Samurdhi and Housing). If indeed Sirisena still plans to foist a Government by September, these new entrants could hold office only for a little over three months. Yet, by appointing them Sirisena is retaining his options and continuing his efforts to consolidate his position in the SLFP. This is not only by winning over MPs who are now with Rajapaksa but also assuring them of nominations for the parliamentary elections. Hence, going along with the demand for electoral reforms by delaying dissolution is perhaps one way he would buy more time.

The Cabinet of Ministers at their weekly meeting on Wednesday also decided to destroy 15 container loads of Glyphosate, a weedicide used mostly in tea plantations. The containers had been cleared by the Customs despite a ban. A senior minister accused an influential UNP ministerial colleague of using his authority with the Customs to clear these consignments when the import of this weedicide has already been banned. This was on the grounds that Glyphosate, when sprayed, was one of the causes for the widespread kidney disease. The minister in question tried to defend the companies that imported them. Sirisena said that arguments claiming that these shipments had come before the decision to ban Glyphosate could not be accepted. He said he could not backtrack on a decision that has already been made.

Sirisena became more aggressive towards his predecessor Rajapaksa when he met district organisers of the SLFP on Tuesday. He responded angrily to a suggestion that Rajapaksa be given nomination from the party. He said he had been an MP, Leader of the Opposition, Prime Minister and served twice as President. He was not willing to give him party nomination again because he found it difficult to work with him. “I have files on him as well as members of his family. I also have files on what he tried to do to me,” Sirisena exhorted. “Magey atha burul karanna epa or don’t loosen my hand,” he cautioned. The remarks were in marked contrast to those made by him just weeks earlier. He told two SLFP parliamentarians who were then canvassing him for a meeting with Rajapaksa that he had not placed any restrictions. He said the former President could contest from any district in the country since no ban had been imposed on him. Sirisena, however, said Rajapaksa was now welcome to take part in the party’s campaign activities and make it win the elections. He urged Opposition Leader Nimal Siripala de Silva and other party stalwarts to convey his thinking to Rajapaksa and return to him with his response.

On Thursday morning, the UPFA team met Rajapaksa and his allies to convey the message delivered by Sirisena. They told the former President that during talks with Sirisena, they had decided that candidates for the forthcoming parliamentary elections should be fielded from the UPFA. Rajapaksa was livid at Sirisena’s decision and declared that he could not be stopped from contesting. He said he would go ahead even if his own party decides not to give nomination to him. The team is in a dilemma over how to report this to Sirisena. Hence, they are yet to seek a meeting with him. Matters have been made worse by the fact that Rajapaksa commands the support of more MPs than Sirisena.

After the meeting ended, it was decided that Opposition Leader de Silva issued a detailed statement. Here are highlights: “…….. The SLFP-led opposition believes that the requirement of the masses to have an electoral system without the preferential vote and an MP responsible for an electorate cannot be postponed. President Maithripala Sirisena who is also the President of the SLFP in his manifesto has mentioned as follows:

“Another serious problem that our Sri Lanka Freedom Party-led government failed to address during the last twenty years is the change of the electoral system. The existing electoral system is a mainspring encouraging corruption and violence. Candidates have to spend a colossal sum of money due to the preferential system. I will change this completely. It will guarantee the abolition of the preferential system and ensure that every electorate will have a Member of Parliament of its own. The new electoral system will be a combination of the first-past-the-post system and the proportional representation of defeated candidates. Since the total composition of Parliament would not change by these proposals I would be able to get the agreement of all political parties represented in Parliament. Further, wastage and clashes could be minimised since electoral campaigns would be limited to a single electorate only. The manifesto clearly says that the preferential system will be abolished and each electorate will have a Member of Parliament.

“Also under the 100-day programme under the date of January 28, 2015 it is mentioned ‘An all-party committee will be set up to put forward proposals to replace the current preference vote system and replace it with a mixed electoral system that ensures representation of individual members for Parliamentary Constituencies ….

“The SLFP requests the UNP, the JVP, the TNA and other parties to take immediate steps to give prompt approval for the 20th Amendment when it is placed before the Cabinet and also refer it promptly to the Supreme Court and then make amendments if such are made by the Court and place it before Parliament. We also request the President, the Prime Minister and the entire Cabinet of Ministers to ensure they approve the draft Bill…..

“We vehemently deny media reports that the SLFP is not eager to get the 20th Amendment approved. The SLFP MPs and MPs of the UPFA came forward to support the Amendment as promises were made that it would be implemented without fail……”

Despite differences, factions within the UPFA are coming together to sign the no-confidence motion against Prime Minister Wickremesinghe. Opposition Leader de Silva told the Sunday Times, “I will also be signing the petition. We will ask the Speaker for both a debate on the 20th Amendment as well as this motion.” He added: “We will ensure the electoral reforms are passed in Parliament. Thereafter, all those seeking to contest parliamentary elections would have to seek nominations.” Later, addressing a news conference on Thursday he said, “The SLFP and the UPFA members are of the strong view that 20A should be passed.”

De Silva said, “We are of the opinion that the no-confidence motion on the PM and the 20A should both be debated in Parliament.” Two other no-confidence motions, one against Finance Minister Ravi Karunanayake and the other against Public Order Minister John Ameratunga will also be debated. He also told the Sunday Times the vote of no-confidence on Minister Karunanayake was now being amended to include new issues. One was the recent resignation of Customs Director General Jagath P. Wijeweera, he said. UPFA General Secretary Susil Premajayantha declared that the 100-day programme was now over. “We find there is a lot of criticism against the Government. One is the Central Bank bond issue. There is also criticism over the setting up of the FCID. Even the former Chief Justice has criticised this,” he said.

Even if a draft 20A is formulated, opposition from smaller parties and the UNP notwithstanding, it still remains a crucial question whether it could be passed in Parliament with a two-thirds vote. Different groups within the UPFA will place their own demands. And that is sure to include the three different no-confidence motions. That again is if accord can be reached among political parties on the 20A. At least one factor seems to be coming clear every week — the dissolution of Parliament is becoming distant. The Government has already shot past the 100-day deadline by 37 days.