|
|
Budget debate: Least focus on economy
|
Ravi
Karunanayake, Ranjith Siyambalapitiya,
Sunil Handunnetti and Nimal Siripala
de Silva |
By Dilrukshi Handunnetti
Our Lobby Correspondent
The Appropriation Bill is no longer serious
business. Nor is the associated
parliamentary debate for there is an
absolute lack of comprehensive debating on
policies or programmes. At the end of a
22-day debate, besides the hot air, not even
a legislator is left with a clear picture of
the state of Sri Lanka's economy.
Such is the drab and dullness of it all, it
is a welcome change when at least single
issues emerge during the traditional debate,
and this happened in a big way on Monday,
when the Finance Ministry vote was taken -
the hedging deal holding center stage.
Easy way out
Opening the final day's debate was UNP's
Kabir Hashim who thought that the government
was taking the easy way out by vilifying the
removed CPC Chairman, Asantha de Mel and
making a sacrificial lamb out of Petroleum
Minister A.H.M. Fowzie, while allowing the
brains behind the dubious deal, Central Bank
Governor Nivard Cabraal to go scot free.
"The others too are certainly liable. But
what about the person who caused the state
to lose US $ 400 million through imprudent
decisions which were sold to the cabinet by
even holding a slide show to brainwash them?
If nobody understood the issue, Cabraal sure
did, and that makes him certainly culpable,"
charged Hashim.
The MP warned that it was Cabraal who wanted
to expedite the deal, which naturally led
the CPC Chairman to stand convinced that
Cabraal would know what he passionately
proposed.
Then he asked for the impossible -
accountability and acceptance of
responsibility. "Following the terror
attacks in Mumbai, Minister Shivraj Patil
and National Defence Advisor, M. Narayanan
accepted responsibility and resigned. "Guess
we will never witness such honorable
conduct," Hashim lamented.
Instead of dealing with the policy issue
raised by Hashim, Deputy Finance Minister
Ranjith Siyambalapitiya first parroted out
statistics to show that Sri Lanka indeed was
recording considerable growth despite the
global economic downturn, and next mounted
an attack on the UNP's economic blueprint,
Regaining Sri Lanka.
Heavy taxes
He had an interesting explanation to give
with regard to the heavy taxation that is
now imposed on the people. "Yes there is
taxation. But these taxes once gain go back
to the people through projects and
programmes. You have no concept of how an
economy works," he said.
What was more, Siyambalapitiya lambasted the
opposition parties that were poised to vote
against the budget that evening that 'only
LTTE sympathisers could vote against the
budget, specially one that was aimed at
building a national economy complete with
import substitution.'
Taking the government to the cleaners was
JVP's Sunil Handunnetti. In a blistering
attack, Handunnetti noted it was a tragedy
that there was a finance minister for the
District of Kegalle, ridiculing
Siyambalapitiya for failing to meet
arguments that are of national importance.
Taking his cue from Hashim, the Marxist
critiqued the hedging deal for absolute lack
of financial prudence and said it was a
gamble that would cost the economy that is
already in recession, heavily.
"I am stupefied that the Central Bank
Governor had advocated a venture that is now
going to make only losses. Who told him to
gamble, though his name and his companies
were onetime linked to other gambles?" he
demanded, reminding the House of Cabraal's
connection to the illegal GoldQuest Pyramid
Scheme.
Moving on to other issues, he thundered that
A.A. Wijepala, the former Inland Revenue
chief had been appointed to head another
vital financial institute.
Fascination
"What is this fascination? He is suspected
of having been party to South Asia's largest
tax fraud, and he gets rewarded. Not
forgetting your reluctance to remove him
immediately when the VAT scam was being
probed. Also not forgetting that vital files
connected with the VAT scam went missing
while he remained at the top slot at the
Inland Revenue Department," sniped
Handunnetti.
Following him was another firebrand
parliamentarian, UNP's Dayasiri Jayasekera.
Speaking more on the collapse of the local
industries ranging from kurakkan making to
livestock development, he said it was a joke
to hear the UPFA speak of economic
management and a prosperous Sri Lanka.
"There is prosperity in some quarters, and
that's when you count the number of cabinet
ministers and their fat bellies," parried
Jayasekera, instantly getting a few
government types worked up, nevertheless
instantly proving Jayasekera's theory of
potbellied government politicians.
He warned that the government had dabbled
in massive foreign borrowing to keep the
dollar rate steady, an artificial act that
would eventually result in a further
economic downturn. "We have hedged and we
are now in peril. We have borrowed at high
commercial rates and promised bullet
payments, we have mismanaged, wasted and
invested imprudently, as in the case of Rs.
6 billion that will be voted for the failed
Mihin Lanka project," he noted.
A lecture
A man who now regularly sounds amnesiac is
Minister of Consumer Affairs, Bandula
Gunawardena. He was on his feet next, giving
the House a complete lecture on the global
economic downturn, its impact on other
nations and how to have an umbrella when
there is rain, in economic parlance.
If Gunawardena said nothing new about the
rising cost of living, high prices of
essentials and why it is so difficult to
bring the prices down, the reasons for this
failure emerged from no other mouth but that
of Wimal Weerawansa, now safely in the
government fold, for all purposes that
matter.
Weerawansa made his customary speech of
praising the soldiers who sweat and toil to
defeat terrorism for which the people should
bear all the pains with dignity and
gratitude.
"This is a historic moment in Sri Lankan
history. What was said to be unachievable is
being gradually achieved. There are
difficulties, but bear them with dignity for
others die in the north to save our future,"
was Weerawansa's clarion call.
As discussions over a broader coalition
among opposition MPs were being mooted,
there stood Education Minister Susil
Premajayanth calling for all opposition
parties and individual members to lend a
hand to the government to defeat terror by
forming a coalition with the government
itself.
Common agenda
"We can create a common agenda. Actually we
do have a common agenda which is to defeat
separatism. I was touched by the many
speeches maid by some UNP legislators during
the Defence Ministry vote, especially the
remarks made by Lakshman Seneviratne. I see
true patriotism among many. Join us to make
it a national victory and then we could use
the same forum to tackle our economic
problems which are no doubt causing serious
concerns," Premajayanth invited.
Ridiculing the government's economic thrust
was UNP's Ravi Karunanayake who had his own
theory of the UPFA's budgeting. He noted
that there was a Thoppigala budget the year
before and this time around, a Pooneryn
budget.
"There are catchy slogans, often connected
to the military victories which are feats of
the soldiers and not of the government. But
you latch your wagon to their successes and
seek cover behind that, for you have no
other recourse," he remarked.
He noted that a 9.4% export drop was
recorded in Sri Lanka and said it was the
misfortune of a nation to have a Chief
Government Whip who could boldly state that
while America was in recession, Sri Lanka
would feel no impact. "That's the status of
this government," he sniped, claiming that
if the government could curtail its wasteful
expenditure such as the Rs. 2.4 million
spent on the tamasha named Deyata Kirula,
people could have been cushioned a little
better.
Ploys
Concluding the debate was Leader of the
House, Nimal Siripala de Silva who smugly
reminded the House that the UNP was in the
habit of coming up with little ploys during
each budget debate only to fall flat on
their collective faces.
"Last year, an effort to buy MPs was
launched. It was an operation that failed.
Not like our operations. Just look at the
war effort - we are victorious. Likewise,
wait till the vote is taken today, we will
again emerge victorious with a better
majority than the one recorded last year,"
noted de Silva who spoke nothing about the
status of the economy but lots about the
political battle that is once again
threatening to spill over.
Given the hot air generated and the deep,
divisive politics in the House, the coming
year could prove only more difficult. And
there is no hope of any emerging consensus,
an improved economy, a stronger opposition
or a government that would act responsibly.
|
Taxes paid by some NGOs |
|
Non-Governmental Organisation |
Allocated amount |
|
World Vision Lanka (in terms of 30%) |
5,774,525.00 |
|
World Vision Lanka (in terms of 3%) |
19,248,918.00 |
|
Consortium of Humanitarian Agencies |
17,520.00 |
|
Humidica International |
735,532.95 |
|
National Peace Council |
86,985.00 |
|
Seva Lanka Foundation |
559,649.19 |
| |
|
|
| |
|
|
|
Income and expenditure of NGOs |
|
S No. Institute |
Income |
Expenditure |
|
1 Consortium of Humanitarian Agencies |
268,180,187.00 |
257,118,137.00 |
|
2 Lanka Jathika Sarvodaya Shramadana
Sangamaya |
1,228,744,941.00 |
682,621,900.00 |
|
3 World Vision Lanka Institute |
4,993,086,785.00 |
4,364,068,733.00 |
|
4 Forut Institute |
844,175,991.00 |
777,086,737.00
4,979,260.00 |
|
5 Humidica International |
653,761,985.00 |
613,388,600.00 |
|
6 Red Cross Society |
91,526,942.00 |
85,998,703.00 |
|
7 Sri Lanka Red Cross |
31,552,909.00 |
14,166,749.00 |
|
8 Tarades Homes |
362,551,148.00 |
513,188,646.00 |
|
9 Stromme Foundation |
502,540,399.00 |
292,576,223.00 |
|
10 National Peace Council |
69,614,073.00 |
63,066,054.00 |
|
11 Tamil Rehabilitation Organisation |
1,997,476,54.00 |
1,997,502,468.00 |
|
12 Seva Lanka Foundation |
2,495,519,620.00 |
2,400,062,780.00 |
|
13 Foundation for Coexistence |
142,532,089.00 |
102,856,173.00 |
|
14 Save the Children 2005 |
1,159,253,600.00 |
1,019,028,400.00 |
|
Save the Children 2006 |
3,288,687,600.00 |
2,925,212,200.00 |
|
15 Christian Children's Fund 2005 |
105,331,814.00 |
37,205,012.00 |
|
Christian Children's Fund 2006 |
70,803,908.00 |
66,138,739.00 |
|
16 Oxfam Institute 2006 |
1,804,175,357.00 |
1,765,139,360.00 |
|
17 Hammer the Forum 31.03.2006 |
31,552,910.00 |
14,166,749.00 |
| |
20,141,068,812.00 |
17,974,093,841.00 |
| |
|
NGOs taken to the cleaners
Chairman, Select Committee of Parliament
for Investigation of the Operations of
Non-Governmental Organisations and their
Impact, Vijitha Herath took some of the
NGOs to the cleaners when he presented
the interim report to parliament on
December 8.
Herath observed that a large number of
NGOs and INGOs functioned in violation
of state policy and in contravention of
the laws, besides which some of the
organisations have engaged in projects
activities in fields that are
unnecessarily threatening to defence and
demonstrated unwanted interference in
certain fields such as education.
Further, he told parliament that some
operated in the north east, directly or
indirectly assisting the LTTE while some
have independently entered into
agreements with RADA.
Huge difference
"Some have contracted to build thousands
of houses but built less than 20% in
certain cases," he charged.
The Committee Chairman further observed
that some agreements and functions were
directly threatening Sri Lanka's status
as a sovereign state while most lacked
transparent accounting with funds being
used for purposes other than those
declared.
He said the committee proposed the
introduction of a new act to administer
and monitor all NGOs and INGOs operating
in Sri Lanka, and until that is achieved
to move urgent amendments to the
existing laws.
"There is no provision to ban NGOs when
acting in contravention of their
mandates," he noted, calling for the
appointment of a special committee to
monitor the activates of NGOs for the
time being and to remain answerable to
parliament.
The interim report too sought to
highlight some of the general
observations of Herath.
The report recorded that post tsunami,
many local and foreign NGOs began
operating in
Sri Lanka
though most of their staff lacked prior
training for emergency situations of
disaster engaged in relief and
rehabilitation at that time.
Interestingly, it quoted Executive
Director of RADA, Shanthi Fernando
having stated, "even though 59
non-governmental organisations signed
memoranda of understanding with RADA to
build 65,782 houses for those affected
by the tsunami, only 3,270 houses have
been completed so far."
It noted that even the executive
director of the Foundation for
Co-existence when summoned before the
Committee of Inquiry admitted sans
argument that the NGO sector in
Sri Lanka
did not follow a proper procedure and
many shortcomings existed.
Brainwashing
The report noted that most of the NGOs
active in conflict resolution and peace
building have embarked on this process
by driving the fundamental attitude that
"public sector institutions are
inefficient" into the minds of people.
The committee observed, by way of
example, that the Berghoff Foundation, a
German organisation invited to help
build peace has ended up getting
involved in internal state policies.
"We express our serious concern over the
permission granted to the two
foreigners, namely Eric Solheim and Dr.
Nobert Ropers to issue instructions or
accept them and to act upon them in Sri
Lanka and organise or discuss modalities
relating to a European trip for a
terrorist organisation."
The committee noted the said foundation
hesitated to appear before the Select
Committee and attempted to exert
international pressure on the committee.
It adds: "The Berghoff Foundation sought
international diplomatic intervention by
making submissions with a view to
discrediting and removing this Select
Committee and this is a grave
intervention made to the carrying out of
powers vested with the Members of
Parliament who have been elected for the
internal matters of the country."
As for International Alert, an
organisation that was banned for working
with the rebels of
Sierra Leone,
had functioned here in a way that
abetted separatism.
Map
It adds: "International Alert has
published a map showing half the country
as belonging to Tamils. In this map they
have marked a large area of land in the
central hills and in the south as Tamil
areas. This map is even larger than the
map prepared by the LTTE."
Further, the copy adds that the Ministry
of Defence had received credible
intelligence reports with regard to the
activities of M.S.F. - France (Medicins
Sans Frontiers), M.S.F. - Spain (Medicins
Sans Frontiers) not registered, M.D.M. -
France (Medico du Monde) and Doctors of
the World - (USA).
For example, it adds: "At a health
education project in Sampur, Medico Del
Munde, MDM (Spain) had issued a
certificate to one R.S. Seetha who
participated at the event on voluntary
basis, with the emblems of the
Government of Sri Lanka and the LTTE
which carried the signatures of Dr. Prop
Coll - chief of the project and Dr.
Wannan - Medical Services, Paddalipuram.
These activities reveal how simply these
non governmental organisations have
acted regarding the sovereignty, unity
and the territorial integrity of Sri
Lanka."
The committee reported an entry of a
non-governmental organisation to the
police, the main arm of security in Sri
Lanka. In terms of a Memorandum of
Understanding entered into by
Transparency International based in
Germany with Norad, a Norwegian
organisation, a project had been carried
out to look into the functioning of the
Police Department of Sri Lanka with an
aid package of US $ 79,000 from Norad
and a report titled "The Police of Sri
Lanka" had been presented.
"The TISL report contains a chapter on
the corruption and frauds in the Police
Department and this was directly
connected to national security when
there are so many institutions itself is
a testimony to the fact that they are
constantly on the watch to find an
opportunity to intervene in the
sovereignty and integrity of the
country."
Tiger connections
On ZOA Refugee Care Netherlands, the
report noted: "A letter sent in May 2005
by a project Manager of ZOA addressed to
an LTTE member named T. Roshanthan
inviting him to participate in a
communication and leadership programme,
which letter was found at Jeewananda
camp and which showed that an office
belonging to ZOA was situated in
Thangavelayuthapuram was also submitted
to the committee. The evidence of the
Senior Superintendent of Police revealed
that 400 houses had been constructed by
ZOA and World Vision and these houses
have been distributed among mahavir
families."
It faulted the Redd Barna organisation
for having carried out a resettlement
programme of Tamil people from Vavuniya
in the upcountry areas in 1985 with
SARVODAYA operating in Sri Lanka with
the objective of changing the ethnic
composition in the Wanni area.
As for the Sri Lanka Kolpin Society, it
added that information was available to
the effect that it had provided the LTTE
with funds during 1996-1999. "Although
the time of taking legal action had
expired when the information was
received, it has been reported that the
incidents reported were true."
TRO
Chunks were dedicated to the activities
of the Tamil Rehabilitation Organisation
(TRO).
The report noted that the TRO which
operates in uncleared areas controlled
by the LTTE was suspect of having
assisted the LTTE with funds for
procurement of weapons.
"TRO had received US $ 10 million for
post-tsunami activities from the USA
alone by 2006. The total amount of aid
received during the period concerned was
estimated to be Rs. 2.2 billion. It is
reported that in the month of August
this year alone, the organisation and
its affiliates in the north and east
have received Rs. 60 million.
"Most of these funds have been from the
state of Maryland of the USA and the
American authorities have also
investigated whether part of this money
has been channeled to buy weapons for
the LTTE. As a result, action was taken
to ban the organisation in the United
States of America."
The committee also took cognisance of
the fact that Save the Children Sri
Lanka "is an organisation that has aided
the LTTE immensely."
It added: "This organisation had given
financial aid amounting to Rs. 50
million to the TRO for 12 projects.
Save the Children has given evidence
before the committee and said that those
projects had run as elementary school
projects and even after spending Rs. 30
million, only one pre school had been
constructed, and the TRO had informed
them that the remaining Rs. 30 million
could not be returned, a fact that
proves that TRO was handling their
finances." |
|
|
|
|
