COPE finds SLC spending on Hathurusingha ‘comical’
SLC CEO Ashley de Silva and others appeared at the COPE
Sri Lanka Cricket (SLC) may end up paying millions as legal fees, may be even closer to what the total amount they had to pay for Chandika Hathurusingha for terminating his contract early, the parliamentary watchdog committee – COPE opined on Wednesday. They made the observation while meeting the cricket officials for the second time in two months.
SLC said they had to pay Rs 100 million as compensation for terminating Hathurusingha’s contract early as per the contractual obligations, however SLC did not honour the obligations.
According to the agreement, Hathurusingha has entered with SLC, the employer has agreed to pay a year’s salary or salaries for the remaining period of the agreement, whichever is less, even if SLC decided to remove him from the post.
Hathurusingha, who was lured in to give up his job with Bangladesh cricket to accept Sri Lanka’s head coach position, had been offered a basic salary of $20,000 per month for the entirety of his contract. In addition SLC has agreed to pay him a monthly cost of living allowance of $10,000 and an annual payment of $120,000 at $60,000 every six months as a ‘repositioning/strategic planning and consultancy’ fee. He was also entitled to $20,000 per year for his and his family’s travel.
SLC confirmed that they had already spent Rs 21 million as legal fees and another Rs 8 million for the arbitration process after Hathurusingha decided to take his former employer to task for unlawful termination of his three-year contract without paying him a year’s salary as per the contractual obligations.
The COPE, at the previous meeting, asked SLC to go for a settlement with Hathurusingha as it could lead to a costly legal battle, but SLC revealed that they have received legal advice not to do so at this point in time as they were expecting an interim order being filed over their objections.
“These are stories you find in detective series and I don’t think people will buy what you are uttering here,” Prof. Charitha Herath responded cynically when SLC CEO Ashley de Silva said Hathurusingha’s recruitment was done secretively to avoid it being leaked to the media. The CEO said that the process was handled by then SLC President Thilanga Sumathipala and Vice President K. Mathivanan along with an external lawyer and the agreement came to him only for signing. He admits even though he knew that the agreement was not in favour of the institution that he heads as CEO, he had blindly signed it given the circumstances.
Hathurusingha joined Sri Lanka cricket in December 2017 with high hopes of improving the performances of the national team. However, he has had a moderate success during his tenure where Sri Lanka has won 20 matches (6 Tests, 10 ODIs and 4 T20Is) out of 64 engagements across all formats during his involvement with the team.
Interestingly no member of the Shammi Silva-led Executive Committee were allowed at the meeting held on April 6 as their term ended on the previous day and hence SLC was represented by it’s senior employees headed by the CEO.
The officials were like deer caught in a headlight when questioned over various financial and administrative irregularities that cost millions of rupees to the board were raised by COPE members. The COPE chairman also made some startling revelation related to financial irregularities. According to him SLC had waived off Rs. 88 million during the nine-year period from 2011-2020 without any justification.
Prof. Herath then advised the Secretary to the Ministry of Sports to issue an order to all National sports bodies to take prior approval from the ministry before writing off funds. Out of the Rs 88 million, Rs 16 million has been advances paid for infrastructure development while Rs 25 million is money due from sponsorships.
“We advice the Secretary to the Minister of Sports to do an internal audit and report back to COPE,” Prof. Herath said.
The COPE also questioned SLC’s wisdom in constructing a cricket stadium in Polonnaruwa to the tune of Rs 132 million without obtaining proper approval from relevant government offices including the Archaeological Department.
The committee questioned the non-recovery of Rs 29 million in revenue due for sponsorship of the South Africa series in 2018. SLC informed that the CID has commenced an investigation into the matter. It was revealed at the meeting that the money had been deposited in the account of an American named ‘Diamond Channel’ and that investigations were focused on how it happened.
The committee instructed Secretary to the Ministry of Sports Anuradha Wijekoon to take legal action against SLC executive committee members and officials if found guilty of any of the allegations levelled against them.
He was asked to take the Attorney General’s assistance for this purpose.