News
New rift between UNF and President in the making?
State enterprises chiefs, including directors, who will be appointed by the new United National Front Cabinet will be able to remain in office only if they have a degree from a recognised university after President Maithripala Sirisena’s directive this week to follow a circular from his Secretariat in making appointments.
Those presently serving have been asked to step down, so each case could be examined by an official committee headed by former Presidential Secretary W.J.S. Karunaratne. The move has prompted an immediate reaction from the UNF. House Leader and Public Enterprise, Kandyan Heritage and Kandy Development Minister Lakshman Kiriella has questioned the move and asked if it was legal.
He told the Sunday Times yesterday that the UNF would take up this issue shortly. “The usual practice is that subject ministers make the appointments. We don’t know the legality of this.”
The Presidential circular is seen by the United National Party as a move to prevent party supporters from taking up government posts.
Among the other main criteria are an age barrier of 70 years and the requirement that the chairperson or the Chief Executive Officer (CEO) serve full time.
However, the CEO will not be eligible to be a director. Age restrictions will not apply “for distinguished professionals or managers.”
Directors of public enterprises will have a term of three years and will only be eligible if they are on the boards of not more than three companies in the private sector.
The Presidential Secretariat circular also makes provision for annual evaluation of appointees. Those considered having a conflict of interest in their areas of activity will be debarred from serving. Also debarred are persons declared by courts as insolvent or a person found guilty by court for moral turpitude, corruption or any other serious crime.
For directors, the number of term has been fixed at three, with each term lasting three years. Respective subject ministers, under whom various state owned corporations, authorities and trustees come, can only nominate individuals to the positions but the final decision will be taken by the Review Committee.
The Review Committee will have two representatives appointed by the Prime Minister and a representative of the Secretary to the Treasury. The Treasury’s Deputy Secretary, A.R. Desapriya, has been named as representative of the Treasury. The other two representatives from Prime Minister’s Office are yet to be appointed.
Treasury Secretary Dr. R.H.S. Samarathunga told the Sunday Times that the Review Committee was expected to meet early next week to finalise the procedure of vetting appointees or nominees for the top positions in state enterprises. He added that the usual practice in the past was that whenever there was a new cabinet took office, those sitting chairpersons and directors would tender their resignations immediately to allow the new administration to run the institutions effectively.