Eelam 2.0 the transnational government

With the fall of the final pocket of land under LTTE control and the death of the organisation’s founder and leader, the LTTE’s visions of a separate state seem to have been consigned firmly to history.

 Sri Lanka’s separatists have proved themselves time and time again to be eternal optimists predicting a sudden resurgence of the LTTE just days before Pirapaharan’s body was pulled out from the Nandikadal Lagoon.  Now the remnants of the LTTE — its head of international affairs Selvarasa Pathmanathan, and intelligence head Arivazakal appear to have taken their dreams for an independent Tamil homeland to a different plane altogether and have declared that the LTTE will establish a transnational government in exile for Sri Lanka’s Tamil people, as the next stage of their struggle.

 In a statement Pathmanathan claimed that "Only the diaspora and the transnational government (can) uphold the freedom of aspiration and freedom of expression of (Sri Lankan) Tamils."

But what does this mean in practice — what is a transnational government and how will it benefit the lives of the island’s Tamil community? 

Statements from the LTTEs main propaganda outlet — Tamilnet  have recently identified the Tamil community  as a transnational population no longer  confined  to a single nation — a community that as such needs a transnational government to meet its  needs.

The logic there seems sound enough like the Kurds, Tamils and Sri Lankan Tamils in particular are without a nation of their own and  are now dispersed across several nations.

However the practicalities of a transnational government in exile remain unclear. Who will constitute this government and who or what will this government govern?

As yet the transnational government possesses no office, no address and no contact details but perhaps such conventional requirements as an office or a telephone are outdated?

 Certainly the transitional government’s  backers don’t seem to see the lack of such conventional facets of a state  as territory, or a population as an impediment.

But for the  conventionally minded it is hard to see how a government without a country — will benefit the Tamil people thousands of whom remain  confined in  IDP camps. 

It remains unclear how the representatives  of this government  will be chosen — the LTTE hasn’t previously demonstrated any great fondness for democracy. So its likely that the members of a proposed government in exile will be appointed; but that begs the question by whom?  And on what authority.

Ultimately the idea of a transitional government appears to be a cynical ploy to keep up the  moral of the Tamil diaspora. A gimmick to prevent the LTTE’s  real hinterland — not the Wanni but the diaspora from falling into apathy.

But with their talismanic leader dead — the movement now seems to have been largely discredited as a government without a nation and with no clear plan to take the separatist struggle forward. It is unlikely to stop even the more extreme elements of the Tamil diaspora falling first into apathy and then … finally, into some sort  of reconciliation with the modern Sri Lankan state.  After all Eelam is now nothing more than an online fantasy while Sri Lanka for all its faults really exists.

Thousands of companies face the risk of losing their registration if they do not re-register under the new legislation governing companies implemented in 2007.

Registrar of Companies, D.K. Hettiarachchi told The Sunday Leader that while there were about 60,000-70,000 companies registered under the old Companies Act of 1982 and the 1938 Ordinance, only about 25,000 companies had re-registered under the new Companies Act of 2007.

About 30,000 companies in the country run the risk of being struck off the roll if they fail to re-register under the new Companies Law.

According to Hettiarachchi, the Department of Registrar of Companies is currently in the process of striking off the companies that have not re-registered under the new legislation.

He explained that companies had to re-register within a period of one year after the new legislation was implemented in 2007.

The Department is currently in the process of publishing notices with the lists of company names that are yet to re-register. The names of the companies will however be published in batches.

"If the respective companies do not re-register within six months after the notice, they will lose their licence. After publishing their names, six months is the stipulated period for them to respond," he said.

Hettiarachchi observed that there are several other objectives behind the re-registration of companies. "One objective is for us to know the exact number of active companies and the next is to facilitate the computerisation of the data," he said.

Since the implementation of the new legislation, 8,000 new companies have also been registered, Hettiarachchi said.

Hedging troubles: Huge costs for Sri Lanka

In the most worrying of developments for the Treasury, the Government of Sri Lanka is facing the prospect of funding astronomical legal fees in the United States and the United Kingdom.

Arbitration proceedings are set both in the United States and in the United Kingdom. There is a separate legal action in London’s High Court. The arbitration proceedings have been brought about by Deutsche Bank and Citibank whilst the High Court action has been initiated by Standard Chartered Bank.

The Arbitration in London has not quite started yet. Despite that, the government has already incurred a sum of Rs. 25 million. In the latest development the Arbitration Court has asked Sri Lanka to deposit a sum of GBP 100,000 ( Rs. 19 million ) prior to the start of the proceedings.

Sri Lanka will face a huge bill by the time these legal remedies reach a climax. A senior counsel in the UK commands as much as GBP 1,750 per hour and a junior counsel GBP 700. A hedging expert costs GBP 2,500 per day. These costs give us a strong indication of what level of funding the Treasury can expect to budget for these expenses. One senior legal figure in the United Kingdom expected that Sri Lanka will face a final tally of "at least" US$ 3 million by the time all cases are dealt with.

It is all the more galling for the people of Sri Lanka, as the foreign exchange reserves for Sri Lanka currently stands at approx US$ 1,271 million. That compares with the total liability facing the republic on the hedging fiasco of some US$ 800 million. That figure may well rise as oil prices tumble and as the banks add their interest component to the claims. In what is certain to add incredulity to insult and injury, we understand that the interest is calculated on a daily compounded basis.

In a document, one of the local banks has stated that they viewed the risk factor for the CPC (and therefore the country) to be low in terms of taking out "Hedging" contracts. One is not entirely sure if there was any intended humour but the fact is that faced with losses that may approach US$ 900 million including at least Rs 300 million for legal and associated expenses, this must quite easily qualify for the most flawed statement to emerge from this imbroglio that the country finds itself in.

President’s comment on tourism draws mixed reaction from stakeholders

Questions have been raised as to whether the country has the necessary infrastructure facilities to cater to 2.5 million tourists in 2016 as proposed by President Mahinda Rajapakse at the official launch of the new brand for Sri Lanka Tourism.

President Rajapakse in his message said that Sri Lanka Tourism expects 2.5 million tourists to the country in 2016 to which there is a mixed reaction from the industry.

"Yes this is a very good target and I don’t see why we can’t achieve this as now the country’s ground situation is good and we have the potential to do it," Secretary Tourism Ministry George Michael told The Sunday Leader.

However when asked whether there are enough hotel rooms to cater to 2.5 million tourists Michael said that there is no need for many more hotel rooms as all tourists do not visit together but at different times.

"We would expect these tourists throughout the year. So if we could increase the existing number of hotel rooms by a smaller percentage that would be more than enough to achieve our target," Michael added.

Meanwhile President, Tourist Hotels Association of Sri Lanka (THASL) Srilal Miththapala told The Sunday Leader that the target would be achievable if infrastructure facilities are improved with good incentive support and tax concessions given.

"This would be a challenging goal but will take a lot of effort. This target is achievable provided that investment relief is given on various goods and tax concessions," added Miththapala. 

"The industry needs quick relief that could be obtained without any hassle. If all these facilities are provided then six years would be more than enough to achieve our target," stressed Miththapala.

Chairman Jetwing Hotels, Hiran Cooray meanwhile claimed that unless the number of hotel rooms are increased up to 50,000 it would be difficult to achieve this target.

Managing Director Amaya Resorts and Spas, Lalin Samarawickrema told The Sunday Leader that the industry should refrain from aiming at a certain target but should concentrate on getting quality tourists to the country to generate revenue.

"Even if we get the calculated number of tourists and if they do not spend then what is the purpose of building more and more hotel rooms? In comparison to the Indian market they do not spend much here. They bring their food and spend only for the most important things. So what is the purpose of attracting tourists who spend less? Instead we have to target the quality travellers if we do really want to improve the revenue," Samarawickrema said.

Forest hermitages to register with Environment Ministry

Forest hermitages that have received land from the Forest Conservation Department and have failed to register under the Wana Sensun programme launched by the Environment Ministry in 2007 will have to pay commercial rates for the land.

The hermitages would then have to pay the rates levied according to the land area in its possession.

It was last week reported that an assessment tax of Rs. 250 is now levied on a hermitage possessing land less than two acres. A sum of Rs.300 per acre is to be levied on hermitages possessing between three to five acres, and Rs.500 for every acre if the hermitage possessed land in excess of five acres.

According to the new tax scheme a forest hermitage should be less than five acres.

Environment Minister Champika Ranawaka told The Sunday Leader that the Ministry together with the Forest Conservation Department was in the process of identifying the real forest hermitages in the country, as some of the lands initially acquired for forest hermitages have been used for commercial purposes.

He explained that land for hermitages were initially allocated under different purposes, which also included land given out for agriculture and commercial purposes.

Under the Wana Sensun programme launched in 2007, the Environment Ministry had requested all forest hermitages that have received land from the Forest Conservation Department to register themselves with the Environment Ministry.

"The hermitages that have registered with Wana Senasun are recognised as forest hermitages and are required to pay only Rs. 20 per acre annually. Under the programme only two acres are allocated for a forest hermitage. Therefore, they would have to pay Rs. 40 per year. If they still inform us that they find it difficult to make the payment, we pay it for them," he said.

While there are close upon 200 forest hermitages located island wide on lands belonging to the Forest Department, a few have registered themselves under Wana Senasun.

"The target of the programme was to get at least 100 hermitages to register," Ranawaka said. However, hermitages that have failed to register under Wana Sensun and possessing over two acres would have to pay commercial rates for the land.

He alleged that politicians during previous governments had allocated land to their associates for commercial purposes claiming to be for forest hermitages.

"During the UNP regime a lot of land was allocated to various persons claiming to be for hermitages," he alleged.

Ranawaka said the Ministry was in the process of streamlining the system and identifying the lands being used for commercial purposes from that being used for forest hermitages.

The Forest Conversation Department it is learnt has requested all District Forest Officers to send assessment reports according to the new tax scheme of all hermitages in their respective areas.

State Combined Services General Workers Union (SCSGWU) last week warned that it would take legal action if the government failed to annul two question papers of the Lanka Administrative Services Examinations held in May.

SCSGWU President, U. Palihawadana told The Sunday Leader that three question papers, namely, a case study, General Administration and Financial Regulations, were included in the examinations. The examinations were held on May 30 and 31.

Palihawadana said the case study was leaked two days before the examination. He said that the relevant authorities had been informed of the issue.

Palihawadana also said the candidates had come to know the the person who set the General Administration question paper.

"The candidates had got to know the person who was preparing the paper. He has also written some books on this subject. Therefore, the candidates had bought the books and had prepared for the examination. The book had some of the questions that were in the question paper," he said.

"We will take legal action if the authorities do not cancel both question papers," Palihawadana said.

Examinations Commissioner, Anura Edirisinghe however told The Sunday Leader that he was not aware of such a case. "I’m not aware of this problem. The people who complain of the matter should report it to the Commission to Investigate allegations into Bribery and Corruption," he said.

No action against offending chairperson of Maharagama UC

Commissioner of Local Government (Western Province) H. Sumanapala is yet to investigate
the alleged corrupt activities carried out by the Chairperson, Maharagama Urban Council (MUC), Kanthi Kodikara.

Chairperson Kodikara has allegedly issued council attendance recording cards intended strictly for public officers to her personnel staff since June 1, but Commissioner Sumanapala has so far failed to take action against her, claimed Deputy Chairman MUC, Senaka Kalubowila.

"A fortnight ago we made a complaint to Commissioner Sumanapala to take action against Kodikara for violating government regulations but so far nothing has been done to prevent such illegal affairs in the council," Kalubowila added.

According to Kalubowila the council also wants to know how the chairperson gets the funds to pay her seven party supporters, each of whom receive a salary of around Rs.6000.

"Kodikara says that she pays their salaries but we want to find out from where she gets the money to pay salaries for the seven employees," Kalubowila claimed.   

Refuting allegations levelled against him Commissioner Sumanapala told The Sunday Leader that he has already appointed the Assistant Commissioner Local Government (Western Province) to investigate as to why Kodikara instructed the establishment unit of the MUC to issue attendance-recording cards to her party supporters, which is against government regulations. 

"Once I get the detailed report I would conduct a special investigation on my own," Sumanapala said.

Meanwhile the MUC opposition members have made a request to the Auditor General to investigate into Chairperson Kodikara’s misuse of MUC funds. .

The UN on Friday said it was yet to be informed of the charges against two of its local staff members who were arrested this month in Vavuniya.

The two local staff members, Kandasamy Saundrarajan of UNOPS and N. Charles Raveendran of UNHCR were reported missing on June 12 and later reported as arrested.

The UN released a statement last Saturday, stating two of their national staff members had been arrested and it was not aware of any charges against the two members.

UN Spokesperson Gordon Weiss told The Sunday Leader that the UN was officially informed of the arrest last week. The two staff members are reportedly now in custody at the Borella Police Station.

"We have now been notified that a formal arrest of the two staff members has taken place. We are yet to be notified of the specific charges," he said.

Weiss added that they were kept in good condition adding that the UN had provided the two staff members with food and clothing. The authorities are facilitating their family members to meet the two members," Weiss said.

The UN also said that it had been constantly taking action during the eight days they were reported missing.

"On the same day the families of the staff members reported them as missing, Friday, June 12, the UN sent official notifications to the DIG of Police and the HQ’s Chief Inspector in the Vavuniya District on the incident and informally learnt of the arrest," Weiss added.

Weiss further stated that the UN has been making constant demarches with government at central level with regards to the issue, "including the Ministry of Foreign Affairs, the Attorney General and subsequently the Ministry of Disaster Management and Human Rights. The UN has also kept its Headquarters in New York informed of the developments."

The police have so far failed to submit the investigation report into the murder of the Editor in Chief of The Sunday Leader Lasantha Wickrematunge.

When Wickrematunge’s murder trial was taken up on Thursday, June 25 at the Mt. Lavinia Magistrate’s Court, the Mirihana Police failed to turn up in courts although they had been ordered to submit the investigation report. 

Police Spokesperson SSP Ranjith Gunasekera told The Sunday Leader that the investigation teams have not updated him on the present investigation progress and added that the investigation teams do not want to reveal the details to the media as it could hamper the ongoing investigation process.

The murder trial of Wickrematunge will be taken up again on July 9.  

Meanwhile , the Freedom of the Press Committee in a letter last week to President Mahinda Rajapakse has said that they hoped the end of the civil war would be accompanied by a relaxation of the government’s harsh and myopic treatment of Sri Lankan journalists.

The letter said, "U.N. Secretary General Ban Ki-moon, has called on your government to ensure the prosecution of those responsible for the murder of Lasantha Wickrematunge on January 8. He was editor-in-chief of the independent newspaper, The Sunday Leader, and had been outspokenly critical of government attacks on the press. In his last editorial, he foresaw his own death at the hands of the government."

Copies of the letter were also forwarded to Prime Minister Ratnasiri Wickremanayake Mass Media Minister Anura Priyadarshana Yapa, Human Rights Minister Mahinda Samarasinghe and Inspector General of Police Victor Perera among others.