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Presidential
commission to probe Sandagiri’s huge deals This follows revelations made in The Sunday Times last week that Admiral Sandagiri entered into with an Israeli firm to procure 20-year-old guns for the Navy's Fast Attack Craft (FAC) fleet on the grounds that they were "brand new”. He made an advance payment running into millions for weapons that were not in production. The Sunday Times quoted from a report sent by Commander of the Navy, Vice Admiral Wasantha Karannagoda to the Defence Secretary and President Rajapakse's brother, Gothabaya Rajapakse. He said if the deal went through the Sri Lanka Navy would have been fighting with weapons of outdated technology against the LTTE. He said this would have had a serious bearing on national security. This week Vice Admiral Karannagoda told Defence Ministry officials that a Colombo businessman who had made his millions in military deals had approached him through a mutual friend to have this deal approved. When he refused it, the controversial businessman had used his small time publishing empire to make vituperative personal attacks against him. This had included allegations that Vice Admiral Karannagoda was hatching a "coup" to oust Admiral Sandagiri. The anger was because he did not help him to put through the deal. He has now been advised to place all such evidence before the proposed Commission. The Sunday Times learns that the proposed Commission will comprise retired judicial officers. Besides the Israeli gun deal, a number of other transactions entered into by Admiral Sandagiri are to be brought under the proposed Commission's terms of reference. Among them: * The award of a US $ 30 million (over Rs 3 billion) to a Colombo firm, without calling for tenders for the manufacture of ten Fast Attack Craft. This was by enhancing a previous order for 15 boats thus contravening regulations which impose a ceiling on the enhancement of orders. Only 15 per cent of the previous order could be enhanced. Navy officials say there has been no evaluation or proper consultation before the deal was worked out. * An expenditure of Rs 21.8 million to renovate Navy House at Bullers Road, Bambalapitiya. This house had been occupied by Kusumsiri Balapatabendi, Secretary to President Chandrika Bandaranaike Kumaratunga until he left for Australia to assume duties as Sri Lanka High Commissioner. Documents reveal that the original estimates for the following renovations were to cost only Rs 13.5 million. They were:
However, the expenses went up to Rs 21. 8 million, sufficient money to construct two luxury houses. As Chief of Defence Staff, Admiral Sandagiri now occupies this house. * After the tsunami, it was decided to destroy a damaged building and construct another at a cost of Rs 14 million. However, a contract had been awarded to carry out repairs at a cost of Rs 10 million. Government sources told The Sunday Times that the Legal Draftsman's Department is to be called upon to draw up the terms of reference of the proposed Presidential Commission in consultation with the Attorney General's Department. |
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