The Kotte Municipal Council will face a difficulty to function in November as it is unable to pay the wages of employees. This is due to an income reduction. This matter was revealed during the council meeting held on August 10, when Sri Lanka Podujana Peramuna (SLPP) council member Cornel Samitha Imaduwa said the expenditure [...]

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Kotte MC faces financial crisis; unable to pay employees’ November salary

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The Kotte Municipal Council will face a difficulty to function in November as it is unable to pay the wages of employees. This is due to an income reduction.

This matter was revealed during the council meeting held on August 10, when Sri Lanka Podujana Peramuna (SLPP) council member Cornel Samitha Imaduwa said the expenditure of the Kotte MC from January 1 to May 31 has exceeded earnings.

He said the MC’s expenditure had increased by Rs 9 million in comparison to the earnings made. He said total earnings as of now was Rs 718 million but total expenses had risen to Rs 727 million.

Mr Imaduwa also said the mayor was responsible for the matter as he had not taken action to reduce the council’s expenditure. He added that around Rs 40 million was needed to pay overtime payments and wages of the employees. He also said tax collectors too had not properly collected taxes from the 17 square kilometre area under the municipality.

Mr Imaduwa also said the MC’s accounts department had failed to inform the other members of losses and had not produced the relevant statistics.

Kotte Mayor I M V Premalal told the council he would immediately take action to reclaim the lost Rs 9 million. He also said he would need the support of all 38 council members to close down institutes which did not produce tax revenue.

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