Abuse of funds stalls SL’s reach to global trademark standards
A controversy over the misuse of state funds by the country’s main state IT agency has delayed Sri Lanka’s accession to the Madrid Protocol to facilitate trademark registration in the international markets with one single filing via online.
This was due to the failure of the Information and Communication Technology Agency (ICTA) to modify and install a new server of the IT system at National Intellectual Property Office (NIPO), a senior official said.
This initiative has been stalled by the delays in installing a server and modifying the IT system at the NIPO, its Director General Geethanjali R. Ranawaka told the Business Times.
This matter has been brought to the notice of the Cabinet of Ministers in a cabinet memorandum on the directions of Attorney General and it is yet to be taken up by the cabinet for discussion, she said.
The assignment was given to ICTA and no action has been taken by the agency even three years after the signing of the Memorandum of Understanding (MOU), she pointed out.
According to a recent audit report, a sum of Rs.32.5 million had been paid on December 30, 2016 to ICTA for the purchase, installation and maintenance of a server required for the implementation of the project.
But ICTA failed to make necessary procurements and carry out the task of installing a new server for the NIPO IT system in accordance with the MOU, an audit inspection revealed.
The Madrid Protocol is a centralised, global system for registering and maintaining trademarks in foreign countries. It is managed by the World Intellectual Property Organization (WIPO).
The Government allocated Rs. 100 million from the 2016 budget, to speed up accession to the Madrid Protocol responding positively to a long-standing request of Sri Lankan exporters.
It was aimed to assist and encourage Sri Lankan exporters to invest in branding and trade-marks in their market strategy and growth.
Financial provisions of Rs.93 million out of the allocated Rs.100 million had been made to the NIPO from 2016 to December 31, 2018.
The report indicated that the ICTA should be responsible for the entire process of purchasing of equipment and the said process should have been completed within six months from the date of agreement.
The accession to Madrid Protocol should be expedited as it will pave the way for Sri Lankan brands to register their trademarks in one filing which will then be activated across many countries.
At the same time, it will provide the much needed global IP protection for Sri Lankan brands for the first time, Ms. Ranawake said.