The Ministry of Transport has stopped a suspicious insurance tender from proceeding that was initiated during the tenure of former Sri Lanka Transport Board Chairman (SLTB) Chairman Ramal Siriwardena.
The SLTB had called for bids from insurance companies to provide a third party insurance cover for buses, bus drivers and bus conductors during the service period of Mr. Siriwardena.
Accordingly, the tender was slated to have been awarded to an insurance company which had put forward the lowest bid at Rs 20 million.
However, the Transport Ministry claimed that the SLTB's procurement committee chaired by former President Siriwardena had taken measures to award the bid to another insurance company which had put forward a bid that was higher than the lowest bidder.
The intervention of Transport Minister Arjuna Ranatunga to prevent the deal from taking place had saved the SLTB a sum of Rs 2 million, the Ministry of Transport and Civil Aviation said in a press release.
Mr. Siriwardena had tendered his resignation as SLTB President on February 26.
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