The newly elected government is to undertake fresh investigations into the 2021 MV X-Press Pearl cargo ship disaster, according to Foreign Minister Vijitha Herath. The disaster spread heavy environmental damage to the coasts of Sri Lanka and hit local fishermen very badly, but many questions linger about the handling of the aftermath: alleged corruption, various [...]

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Govt. to reopen investigation into MV X-Press Pearl Disaster

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The newly elected government is to undertake fresh investigations into the 2021 MV X-Press Pearl cargo ship disaster, according to Foreign Minister Vijitha Herath.

The disaster spread heavy environmental damage to the coasts of Sri Lanka and hit local fishermen very badly, but many questions linger about the handling of the aftermath: alleged corruption, various delays, and insufficient compensation.

The cargo ship, registered in Singapore, caught fire off the coast of Negombo, a popular tourist area, in May 2021. The ship was headed to Colombo from Gujarat in India when a believed nitric acid leak caused the ignition of the fire.

The fire resulted in the spilling of nitric acid and micro plastic granules among other toxic substances into the Indian Ocean.

The environmental consequences had been disastrous, with large-scale deaths of fish, turtles, and marine mammals, coupled with losses to the livelihoods of more than 20,000 fishing families.

The legal and compensatory process has been marred with delays and allegations of corruption. The then government guided by the report of a 40-member expert committee under the Marine Environmental Protection Authority (MEPA) of Sri Lanka, initially sought compensation of US$6.4 billion from the ship’s insurer, London P&I Club, based in the UK.

A lawsuit was filed in Singapore in April 2023 during former President Ranil Wickremesinghe’s tenure. Three years after the disaster, full compensation is still due to the fishermen.

The report, which came in September 2024 from a Parliamentary Select Committee (PSC) formed to review the disaster, disclosed that Sri Lanka had received about $12.5 million from the London P&I Club.

However, there have been suspicions of financial mismanagement, as much of this compensation was accepted in local currency. MEPA received Rs.3.5 million, about $11,945, while about Rs.3 billion, about $10.5 million in local funds came into the Department of Fisheries and Aquatic Resources.

Many legal experts have called this a corrupt practice and this is something the present government says it will look into.

Another bone of contention is the selection of Singapore as the venue for the compensation suit, instead of Sri Lanka, where the environmental damage actually happened.

The case was filed almost two years after the incident-just before the international deadline for such claims expired, a decision that has drawn flak, with many arguing that local courts would have been more opportune.

It also cited concerns from the London P&I Club about participating in negotiations in Sri Lanka due to negative publicity and security risks.

Because of that, negotiations had preferred to be held in Singapore. Former Minister of Justice Wijeyadasa Rajapakshe criticised the MEPA for delaying the filing of the environmental impact report, which contributed to the late submission of the lawsuit.

The new government’s probe aims to address these lingering issues, with a focus on ensuring transparency, accountability, and fair compensation for those affected by the environmental catastrophe.

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