luxury
vehicle deal
My
only jury is the people-CBK
President
responds to a cabinet sub- committee report on the controversial
President Chandrika Kumaratunga this week presented to the cabinet
her responses to the report submiteed by the Cabinet Sub Committee
which probed allegations about the alleged luxury vehicle deal involving
the President.
President Kumaratunga
denied all allegations and said that her only jury would be the
people of the country and added that attempts to tarnish her reputation
would not succeed.
The President
said that vehicles were always available for inspection and they
were purchased under special security circumstances for financial
provision was made through within the over-all budget and how it
was provided should be known by the General Treasury.
Responding
to the question regarding the background of R.R. Navigrareim company,
the President said that it had now been established that it was
a German Company, despite previous claims that it was a Hong Kong
company.
She said that
all vehicles imported were of German origin, made by the BMW company
and supplied by the duly authorized agents, with due warranty.
The President
said she was surprised that members of the Cabinet Sub Committee
were demanding information from her regarding the shareholders and
owners of companies from which purchases of vehicles had been made.
"Of course a Minister would engage in this exercise if he is
interested in contacting the said shareholders or directors for
reasons of a special sort.
But I wish to inform this cabinet that this President who is also
the Head of State has not done, does not or will in any event engage
in this type of dubious activities," she said.
President Kumaratunga setting out a sequence of events regarding
the issue of the vehicles said initially there had been a discrepancy
about the number of vehicles "only because the two Hon. Ministers
who made these allegations gave varying numbers at various times".
"The simple
and incontrovertible fact is that all the vehicles and motorcycles
are in the custody of the Presidential Secretariat and are available
for inspection. Likewise the five Daewoo Cars gifted to the Government
are available for inspection.
"The other
new allegation made is that for some dishonest reason I have not
registered 08 numbers of the Benz cars with the Commissioner of
Motor Vehicles and then Mr. Choksy goes to command me to explain
"why this was not done".
Regarding the
first allegation of 13 missing vehicles, the only manner in which
to ascertain with any finality, whether these were robbed or not,
was to have undertaken the exercise that I proposed to the Cabinet
in my note of 10th july, i.e. to view/ inspect all the vehicles
under discusssion and check on the engine numbers/ chassis numbers
etc. that the Hon. Members of the Cabinet Sub-Committee had the
indiscretion to demand from two government authorities, who were
deemed to maintain these records in a confidential manner, due to
the security risks that would ensue if this was public knowledge.
(I have discussed this matter in detail in my cabinet memo of 10th
July).
"Having
agreed on many occasions and finally at Cabinet Meeting of 17th
July, to send me a list of names of the "team of officials"
as proposed by Mr. Choksy in his note to Cabinet of 17th July and
also his letter to me of 12th July, the Cabinet Sub-Committee has
steadfastly refused to carry out the Cabinet decision.
"The only
reason I can adduce to this is that the Cabinet of Ministers are
well aware that the malicious and calculatedly false allegations
regarding 13 missing vehicles made against me would be laid bare
as a complete untruth."
"The argument of the Cabinet Sub-Committee is that since the
chassis numbers and engine numbers are available both with the local
agents and several government departments there is no real threat
to security.
"The existence
of documentary material in the custody of different agencies with
secrecy imposed by law and business practice is a customary safeguard.
"On the
other hand, obtaining such information and collating the same and
making them matters of public knowledge greatly accentuate the risk
to security.
"This,
the Cabinet Sub-Committee seems to have done already. Hence, my
commitment that the Cabinet of Ministers 'has now very efficiently
made it possible for the LTTE and any other terrorists to access
this highly secret information.' Neither I nor my office will be
party to the disclosure of such information."
The President
cited a series of incidents in which her security was under threat
and said "as for getting approval of the Cabinet, it was not
considered necessary because I had decided by the reason of the
situation of grave emergency to deviate from normal tender procedure.
"Regarding
the financial provision made in the estimates of the President's
Office for purchase of vehicles in the year 2000 (actually estimated
in the previous year) was totally inadequate for the unexpected
requirements following the events described above, I directed the
General Treasury to find the extra funds, following appropriate
procedures.
"This
was in the hands of competent officials at the Treasury and I had
every reason to believe that they would have done it in the correct
way.
Some of these
officers are still in the Treasury, occupying even more senior positions
than in the year 2000. If the Cabinet Sub-Committee desires to obtain
more details, the Minister of Finance should be able to procure
the necessary information."
Regarding issue
about R. R Navigareim Im & Exp. Germany the President said:
"The Cabinet
Sub-Committee asks the question why this company had been named
as the beneficiary in some of the applications for Letters of Credit
made by the Presidential Secretariat. Particulars of the ownership
of the company are also sought.
The simple
answer is that this company was named as the beneficiary in all
(not some) applications made for Letters of Credit in respect of
the import of BMW and Land Rover vehicles because the local Agents
(M/S. Prestige Automobile Pvt. Ltd) indicated the name of this company
for this purpose. This company was not a party selected by the Government.
"We had
no direct dealings with this company, except that its name was included
in the documentation, as advised by the Agents, with whom we negotiated
and from whom we bought these (BMW and Land Rover) vehicles.
Every purchase
of a BMW vehicle through Prestige Automobile Pvt (Ltd) has to make
payment by Letter of Credit in favour of the R.R Navigare Company.
"As for the ownership of this company, we are unable to furnish
this information because it is not the practice to inquire about
the owners when making purchases from a company. In this instance
we dealt with the managements of the two local agents. I have not
the slightest acquaintance.
"Anyone who wishes to know and speak the truth is aware that
when a vehicle is ordered it is done through the official local
agent. All procedures of payments, warranty, etc. are handled by
the agent.
The Letters
of Credit were opened in favour of M/s. R R Navigareim Im &
Exp Germany on instructions of the local agent, as is always done
when anyone orders any goods through any local agent.
"All I
can request this Cabinet for the first and last time is to try to
live upto the great expectations of the people of this country who
decided that the two major political parties of the country, together
with most of the parties representing minority communities should
work together'.
"If anyone
believes that the repetition ad-nauseum of all kinds of diabolical
lies and disgustingly lowly statements designed to throw mud at
my reputation for honesty and transparency will embarrass me; suffice
it is to be said that their enterprise, fully supported by intimidated
and subservient media, will not succeed.
My only jury
shall be the people of this country, who have decided twice over,
with one of the largest majority of votes, anywhere in the world,
that they wish to have me as Head of State'.
"I have
Chaired Cabinet meetings for the last eight years.
The lack of
discipline, rudeness and calculated statements of untruths and the
violation of all democratic Cabinet traditions since 5th December
2001, saddens me and also frightens me, not for myself but for the
future of democracy and human decency, which would be seriously
jeopardised by this type of attitude, mean strategy and behaviour,
in the second most supreme executive body of the country."
On the issue
about Ports of Shipment/Air Freighting the President had said; 'The
Benz and BMW vehicles ordered are high security vehicles, normally
built specially to meet the requirements of a customer; the specifications
are agreed to in advance; the vehicles are manufactured in Germany
and most of the units are shipped/air-freighted from European ports.
However, it
would not appear that a few have been sent through Asian Ports.
Out of the 18 BMWs, 15 were air freighted directly from Germany.
Three were
air freighted from Hong Kong, Jakarta and Brisbane as the same were
available ex-stock with BMW's operations in Hong Kong, Jakarta and
Brisbane respectively.
"According
to the documents available in the Presidential Secretariat, the
original agreement, as given in the Letters of Credit, has been
to send these vehicles from 'any European port'. But at some stage
this has been amended to read 'any European or Asian port'.
Apparently,
this has been done to procure the vehicles urgently, by diverting
some vehicles ordered for others. It would normally take about 12
months to manufacture and deliver high security vehicle.
This kind of
delay would have defeated the purpose for which the vehicles were
being imported-to provide security for those under threat as a matter
of urgency.
"Irrespective
of the port of shipment or air freight the vehicles were brand new,
manufactured in Germany and bearing the manufacturer's warranty.
No mileage had been done and they were not registered in any of
those Asian countries."
President
prepared to exercise her powers
President Kumaratunga on Friday pledged that she would not
hesitate for a moment to exercise the executive powers vested in
her to prevent the dismemberment of the country and to avert any
serious dangers that the country may be called upon to face.
"I wish
to make another pledge to my people, who have twice elected me resoundingly
to the supreme office of President. I shall not hesitate to adopt
every necessary measure in terms of the powers entrusted to me under
the constitution, in the event of any threat to the unity of our
motherland or the security and safety of its citizens," the
President said.
Addressing the nation over state television, President Kumaratunga
also said she had no intention of dissolving Parliament at this
point of time and accused the media of misleading the public.
"In the
past eight months, state-owned and private electronic media have
indulged in this exercise 2342 times, at the rate of several times
a day. Cabinet Ministers, and media personnel directly connected
to the UNP, are employed to hurl these abuses at me. Their statements
are almost totally false.
"In addition
the daily newspapers have published over 700 false news reports
about me or my actions. For instance, a misleading report about
me has been telecast or broadcast over 30 times, but the correction
sent by my office has only been broadcast once or twice."
Referring to
her recent mimicry of the Finance Minister at a party meeting in
Polonnaruwa, the speech of which was repeatedly telecast by several
television stations, President Kumaratunga said, "After I was
insulted and abused thousands of times, a statement I made jokingly
at a party's confidential discussion was telecast three or four
times a day for the past 18 days."
However, the
President pledging her support to the people said that "despite
all the threats and intimidation, insult and abuse and mud-slinging
hurled at me, I will not run away from the responsibilities entrusted
to me by the people.
The people
of this country know well that I cannot be subdued by threat and
intimidation."
During the
fifteen minute speech, the President spoke solemnly of the situation
in the North warning the government of the threats posed by the
LTTE even in times of peace.
Claiming she
has reliable reports that while the ceasefire agreement was in force
the LTTE was engaged in establishing its own law courts and legal
systems, police stations, prisons, banks and various other institutions
in the North and East, President Kumaratunga said , "They are
also involved in arms smuggling and the conscription of children."
"I am
also informed that the LTTE is harassing especially the Muslims,
as well as the Sinhala people, living in the Eastern Province. I
have drawn the attention of the Prime Minister, the Defence Minister
and the Security Council and given advice with regard to these incidents."
Alleging that
the freedom of the media was being suppressed to a large extent,
the President said, "The politics of terror and intimidation
that raised its ugly head for the first time between 1977 and 1994
has begun once again to be practised since December 2001. Since
1994 my first government put an end to the regime of state terror
perpetrated against Tamil and Sinhala youth in the decade of the
1980s."
The President
also voiced her anxiety regarding the negative effects moves made
by the government would have on the cohabitation.
"Need
I ask you whether cohabitation could be made to function unilaterally
under the circumstances I have mentioned ? People ask me whether
this is another red-herring to divert attention from the burning
issues of the day."
"Despite
all these difficulties I have for my part continued to cooperate
for the sake of my country, and I am prepared to extend that support
even in the future. But for cohabitation to be a success, the other
party has to reciprocate," she said.
"Ad-hoc
amendments to one or the other of the clauses of the Constitution,
according to the whims and fancies of someone, could prove dangerous
to democracy. As I have often stated the Constitution of Sri Lanka
needs to be amended.
But it should
be done in a comprehensive manner together with the abolition of
the Executive Presidency, the reform of electoral systems and should
contain solutions to the ethnic problem."
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