Santa comes early for Mihin with billion rupee gift

Chamal wants Rs. 1.1bn before Dec. 15

Aircraft on wet lease to be taken through Global Plane Search (UK)

President, Rohitha find Sajin's old aircraft a good take

Step motherly treatment by UL led to birth of Mihin claims MR

By Sonali Samarasinghe

It is amidst a global recession and economic devastation at home that Mahinda Rajapakse still doggedly holds on to his dream of Mihin Lanka - a nightmare for the rest of the country as the Cabinet last week approved Rs. 1,100 million to acquire one aircraft and re launch operations before Christmas.

The Cabinet Memorandum signed by President Mahinda Rajapakse's elder brother and Minister of Aviation Chamal Rajapakse dated October 11, 2008 was titled 'Short Term Acquisition of Aircraft (On Wet Lease Basis) and Funding Requirements for Mihin Lanka (Pvt) Ltd.'

Cabinet Memo

The Cabinet Paper sought approval for Rs. 1100 million out of the unutilized funds from 2008 budgetary allocation of the Ministry of Ports and Aviation to stabilise Mihin Lanka and to re-launch operations by December 15 or in the alternative to borrow Rs. 1100mn from Airport & Aviation Services Ltd and to pay back these funds from the Mihin allocation for 2009.

The allocation was also sought to acquire the aircraft, on a wet lease basis for a minimum three month term starting mid December, bearing Manufacturer's Serial Number MSN 29650 of type Boeing- 737-800NG (Vintage 2008) owned/operated by Transavia Airlines (a joint subsidiary of KLM and Air France ) of France/Holland, through its offeror M/s Global Plane Search (Pvt) Ltd (UK).

The ACMI (Aircraft, Crew, Maintenance and Insurance) rates of the lease would be US$2,890 for each guaranteed block hour upto 300 block hours per month. USD1,515 for each block hour between 301 to 350 block hours per month. USD2,315 for any additional block hour over 350 block hours per month. The crew per diems are included in this ACMI rate up to the first four sets of crews and technicians. A security deposit of USD 500,000 is required.

Stabilise Mihin

While Chamal Rajapakse sought Rs. 1.1 billion to acquire one aircraft and 'stabilise' Mihin, ironically the budget airline has played a crucial role in destabilising Sri Lanka's shaky financial sector.  

Be that as it may, that the stage had carefully been set at last Wednesday's Cabinet meeting was obvious. President Rajapakse though eager to ride his favourite hobby horse was even seen playing the Devil's advocate to his brother Chamal as he attempted to demonstrate his impartiality on the matter.

Chamal Rajapakse who had tabled the Cabinet Memorandum was keen to have it approved as quickly as possible. 

What benefits?

President Rajapakse on the other hand was also keen to demonstrate his impartiality and immediately was to inquire from Chamal what the difference was with this aircraft. 'What benefits are we getting' the President asked.

It is well known that Chamal Rajapakse could never quite understand what his brother President Rajapakse saw in Sajin Vass Gunawardena. Ergo, Chamal and Sajin hardly saw eye to eye. In fact earlier in parliament Chamal readily admitted the airline was mismanaged and allowed to be run to the ground. 

Old aircraft

Thus it came as no surprise when Chamal reminded Cabinet that the aircraft Mihin Lanka had leased earlier were over 15 years old whereas this particular aircraft advocated by him was manufactured in 2008 and only about nine months old. "There is also a 100 million in savings," Chamal said.

Though simply put the implications of the elder brother's remarks were huge and did not go wasted on the President. And not taking kindly to these aspersions cast on the earlier management of which he was Godfather no less and younger brother Gotabaya its chairman, President Rajapakse was to say defiantly, "How can you say it is an old aircraft? Chamal Amathithuma," he continued, "you haven't flown in that aircraft to pass judgment but I have."

Giving the earlier fleet a pass mark the President continued, "I know it is a good aircraft. There was no problem with the aircraft."

Resentment

It is perhaps a deeply rooted resentment in the President and perchance an insight into what drives his obsession with Mihin that seems to consume his waking hours that now surfaced as he told Cabinet, 'I remember when I had to travel to London on SriLankan Airlines, they gave me their oldest aircraft. They may have done it purposely," he said a tad bitterly. "That is why I stopped flying SriLankan and started flying Mihin."

He then started to narrate a tale to justify his position further. "People like Peter Hill had good relations with Ranil Wickremesinghe. When Ranil was going to London one day he diverted the aircraft to Dubai without anyone's knowledge," President Rajapakse alleged.    

"At the Dubai Airport," he continued, "a vehicle was driven to the tarmac and it was the Sheikh himself who personally escorted Ranil to a place where his signature was placed to give Emirates an extension," the President claimed. A claim that is not factually correct and denied by Wickremesinghe. But Rajapakse was on a roll. "That is how they treated Ranil," he said, adding for good measure, "Ravi (Karunanayake) was also behind this."

In the same breath he was to also attack Lakshman Kiriella alleging that during his time with the SLFP he acquired 25 acres of land through the Land Reform Commission and then transferred it to himself. Again Kiriella was to deny the charge and said he has court documents to prove otherwise.

Attack mode

And while President Rajapakse was in attack mode it was Minister of Education Susil Premajayanth who felt it was time to collect some Brownie points. He jumped in quickly. 'Yes', Premajayanth said. "It is quite true that Ranil was met by the Emirates Sheikh at the tarmac. Everything was prepared and they mislead Ranil and got the extension," Premajayanth said.

But there was no shortage of groveling salesmen at last week's Cabinet meeting. Minister of Foreign Affairs, was now to stand up for Mihin also. 'Yes, yes,' Bogollagama said. "I also went on Mihin, it is a good aircraft."

The Cabinet then approved the Memorandum with the President asking Chamal Rajapakse to see if he could not get a better price for the aircraft.

Vital issue

The important thing is this. The Cabinet approved a sum of Rs. 1.1 billion from the national budget 2009 allocation for Mihin and the Weerawila Airport of Rs 6 billion. An allocation that cannot be utilised in 2008 

But for Mahinda Rajapakse there is perhaps nothing grander than having a loss making airline named after him sucking the life blood out of the rest of the country. In May this year crushed under heavy debt of over 15 million dollars Mihin was grounded as it lost all its aircraft for non payment of lease.

With bad business sense, torrid management and payment of astronomical salaries Mihin which launched in March 2007 succeeded in soon running through an operational budget of Rs. 500 million rupees, over Rs. 2 billion in bank loans and a further budget allocation of Rs. 250 million.

Treasury purchase of Mihin shares

In October 2007 the Treasury was compelled to purchase 2.5 million Mihin shares at a cost of Rs. 250m. In fact the Treasury Annual Report 2007 lists Mihin Lanka as a state owned enterprise with a net asset value of Rs 102 million, 223 employees and a debt of Rs 1.571 billion.

Mihin Lanka lost three times as much as the Cooperative Wholesale Establishment which lost Rs 557 million in 2007.

BoC loans

And Mihin has been a debtor all the way. Last April under a Treasury guarantee it borrowed a massive Rs 250 million from the Bank of Ceylon.

Today the company owes over Rs. 645 million to the Ceylon Petroleum Corporation now beleaguered by hedging problems of its own and this despite the Treasury infusing another Rs. 400 million  to the ailing airline earlier this year. Mihin also owes a hefty sum to SriLankan Airlines maintenance and catering services.

The airline is over Rs.3 billion in debt mainly to public enterprises that have lent moneys with no regulatory control and purely at the whim and fancy of President Mahinda Rajapakse and up until recently his personal lackey Sajin Vass Gunawardena, then CEO of Mihin. 

Lankaputhra dumps money

The Lankaputhra Bank set up to provide financing for small scale rural development projects and headed at the time by Sajin's father, Ajit Vass Gunawardena, dumped a colossal Rs.300 million into the airline while the Bank of Ceylon afforded Mihin over Rs.1.1 billion in temporary overdrafts that they converted into a term loan when it became clear Mihin could not service its debts.

But the state run BoC was in for a rude shock. Already faltering as the government borrowed heavily from its foreign reserves earlier Mihin Lanka Director and Presidential Secretary Lalith Weeratunga penned a hand-written memo to BoC Chairman Gamini Wickremasinghe asking the bank to lend Rs.160 million rupees to the airline overnight. Wickremesinghe jumped to obey.

Since July this year employees have not been paid though they draw fantastic amounts, some between Rs.450,000 - Rs,. 650,000 per month.

War budget

Despite a budget that had allocated Rs. 177 billion to the war and taxed the people heavily Rajapakse did not hesitate to allocate to his two favourite lost causes Weerawila Airport and Mihin Lanka Rs. 6000 million for 2009.

And if Mihin is a lost cause then it can hardly resuscitate under an ailing economy such as Sri Lanka's. The country's inflation hit 30 percent this April. The Central Bank has already obtained a massive loan underwritten by HSBC, JP Morgan and Barclays of US $ 500 million (Rs. 56 billion) through an international bond issue at huge interest rates . Opposition Leader Ranil Wickremesinghe had already informed HSBC and JP Morgan it would not be able to honour the loan under a UNP government.

Though the loan was taken for infrastructure projects economic experts claim it was used to pay salaries and meet recurrent expenditure.

The government this week raised another US$ 150 million in a syndicated loan, a move financial experts warn will increase the nation's debt again at commercial lending rates.

Hedging

Through hedging practices the government is now in debt to the Standard Chartered Bank and other banks which will amass to a sum of US$ 300 million which it says it cannot pay.

A few weeks ago the government through the Sri Lanka Tea Board bought some 900 million tonnes of tea at the auction to infuse life into Sri Lanka's ailing tea market and drive up prices. However the government now does not have the money to pay over Rs. 230 million owed to the brokers on the purchase.           

Bad to worse

The intransigence of the Rajapakse regime in dealing with the international community has resulted in Sri Lanka taking drastic aid cuts and set to lose the GSP Plus facility. The government has agreed to bail out the garment industry with a loan of USD 100 million but the package which comes with strings attached is not welcomed by many in the industry.

It is in this backdrop that Rajapakse now says he will restart the budget airline by December 15. Given the financial ramifications of such a project Mihin's aircraft may turn out to be as realistic as Santa's Sleigh.

The Cabinet Paper that says it all

Cabinet Paper No: 2008/50 Reference No: CA/05/TEN/35

Date: 11/10/2008

CABINET MEMORANDUM

Short-Term Acquisition of Aircraft (On Wet Lease Basis) and Funding Requirements for Mihin Lanka (Pvt) Ltd.

1. Introduction

1.1 As per the letter No. PF/PD/104/14-27 dated 15th July 2008 addressed to the Secretary, Ministry of Ports & Aviation, by the Director General of Public Finance, a Cabinet Appointed Procurement Committee (CAPC) and its Technical Evaluation Committee (TEC) was formulated to acquire aircraft for Mihin Lanka (Pvt) Ltd., on 'Wet Lease', 'Dry Lease' and or Lease to Purchase' basis.

2. Evaluation of RFP

2.1. 'Request For Proposals' (RFP) was published in the website of 'Mihin Lanka (Pvt) Ltd' and also emailed to all the prospective vendors, who had previously forwarded proposals and or offers to supply aircraft for Mihin Lanka (Pvt) Ltd.. In response, a total of 12 proposals were received from 08 offerors and upon evaluating those, the following offerors were short-listed, for the purpose of obtaining fresh and updated proposals, to acquire one aircraft by mid-December 2008, on a short-term 'Wet Lease' basis.

M/s ADC Airways

2.         M/s Global Plane Search Ltd., (UK) /Travel Service a.s.

3.         M/s Amerasian Cooperation

Copies of the Minutes of CAPC and TEC meetings are attached as Annex-1.

2.2 Proposals of the abovementioned three short-listed companies were evaluated and finally, one aircraft was selected, to acquire on 'Wet Lease' basis, from Global Plane Search Ltd., (UK) on a minimum three months term, from mid December 2008, with the option to extend on the same terms, wherein the basic contractual terms are summarized below;

* ACMI Rate::

* Aircraft, Crew, Maintenance and Insurance

a).        US$ 2,890/=- for each guaranteed block hour up to 300 block hours per month.

b).        US$ 1,515/=- for each block hour between 301 to 350 block hours per month.

c).        US$ 2,315/= - for any additional block hour over and above 350 block hours per month

Crew Per Diems are included in above ACMI rates, up to first 4 sets of crews and technicians. Security Deposit: US$ 500,000/= - (U.S.$ Five Hundred Thousand only)

3. Recommendations

In view of the above, following recommendations are made for consideration of Cabinet of Ministers;

3.1. To acquire the aircraft bearing Manufacturer's Serial Number, MSN 29650, of type Boeing -737-800NG ( Vintage 2008 ), owned/operated by Transavia Airlines' ( a joint subsidiary of KLM and Air France ) of France/Holland, through its offeror 'M/s Global Plane Search (Pvt) Ltd., (UK)' on the above contractual terms, once the civil aviation regulatory requirements of the aircraft are met by the offeror.

3.2. To use Rs. 1,100 million ( Rupees One Thousand One Hundred million ) out of the unutilized funds from 2008 Budgetary allocation of the 'Ministry of Ports & Aviation', for the purpose of facilitating to stabilize 'Mihin Lanka (Pvt) Ltd' and to relaunch the operations with effect from 15th December 2008.

3.3. Or alternatively, to borrow Rs. 1100/- million ( Rupees One Thousand One Hundred million from 'M/s Airport & Aviation Services (SL) Ltd'., with the agreement to pay back these funds when the financial allocation would be received by 'Mihin Lanka (Pvt) Ltd', from the National Budget of 2009.

4. Cabinet Approval Sought

4.1.      Approval of the Cabinet of Ministers is sought to implement recommendations 3.1, 3.2 or 3.3 above.

Chamal Rajapakse

MP, Minister of Ports & Aviation

Ranil's rejection of ceasefire viability and politics of TN

The political turmoil in the South Indian state of Tamil Nadu based on the plight of the Tamil civilians in the north of Sri Lanka is  intensifying everyday.

The problem of the Tamil civilians that first came into the limelight as a political issue has now become cause for concern among the civil society of Tamil Nadu  as well.

Another reason why this issue is considered important is the general elections scheduled to be held in India next April. The plight of the Tamil civilians in Sri Lanka would definitely play a decisive role during election time. Surveys have revealed that regardless of the party that wins the election, they would all have a problem in securing a majority. Therefore, it is believed that the alliance with the highest number of seats would become the winner at the election.

Alliance

However, it is also believed that South India would hold the key to the next alliance that would win the election.

The Congress Party that is in power in India has no opposition against attacks being carried out against the LTTE. The party however has reiterated that while carrying out attacks against the LTTE, the Tamil civilians should be protected at all times.

Before President Mahinda Rajapakse met Indian Prime Minister Manmohan Singh, the Congress Party's Tamil Nadu Head, Parliamentarian V. Thangabalu met the Premier.

Thangabalu told Singh that if the Sri Lankan President did not wish to hold discussions with the LTTE, he should at least do so with parliamentarians of the Tamil National Alliance (TNA). He said the President could at least through them send a message to the LTTE on the political solution.

Thangabalu said that if the LTTE still continued to oppose it, then necessary action could be taken based on it. However, he reiterated the importance of President Rajapakse initiating a discussion with the TNA parliamentarians and submitting a political package.

The Indian Premier presented the proposal of the Congress Party's Tamil Nadu state head to the Sri Lankan President. By the time Singh informed Rajapakse of this proposal, Opposition Leader Ranil Wickremesinghe had already proposed it to the President as well.

Discussion

 However, when the President sent a message to the TNA members calling them for a discussion almost three weeks ago, many of them were in India. Once they returned after two weeks, the President did not re-send the invitation for a discussion.

That was due to pressure mounted by the JHU and the Wimal Weerawansa led NFF.  Weerawansa said that if the government held discussions with the TNA, the NFF would no longer be able to support the government.

It is in this backdrop that Opposition Leader Wickremesinghe toured India last week. He met with members of the ruling Congress Party as well as the BJP. Wickremesinghe was unable to meet Singh, as he was in Washington attending the Congress of World Leaders.

However, Wickremesinghe met Indian External Affairs Minister Pranab Mukherjee and Foreign Secretary Shivshankar Menon in addition to BJP's former ministers Yashwant Singh and Jaswant Singh.

Commencing the discussion the Indian officials said that they had no objection to the attacks carried out against the LTTE, but were concerned about the plight of the innocent Tamil civilians. They highlighted the importance of bringing about a political solution to the problem.

The Indian leaders said that India has therefore decided to intervene to protect the rights and the needs of the 250,000 odd Tamil civilians in the north. They added that a decision had been made to formulate a system that would ensure safeguarding their rights.

Muslim response

Wickremesinghe said that a political solution could not be presented by either the SLFP or the UNP alone. He added that since the Muslim parties too have responded positively to it, what was left was for the government to discuss matters with the Tamil political parties as well.

Wickremesinghe also said that a solution to benefit the ordinary Tamil civilians in the country should not be considered lightly and that given the present situation, it would not be easy to bring about a ceasefire. He said a ceasefire was not practical at this point until one side prevails but that it was important to put forward a political package after discussions with the TNA.

"Considering the present situation in Sri Lanka, it is difficult to think that it would be easy to bring about a ceasefire in a hurry. Therefore, there is a need for a political settlement. The best solution is to re-start the process commenced by former President Chandrika Kumaratunga from where it was abandoned," Wickremesinghe said.

Political settlement

The Opposition Leader then met the heads of the BJP. He met the former foreign affairs and defence ministers. They too highlighted the importance of a political settlement to solve the problem in Sri Lanka.

Wickremesinghe then traveled to Chennai through Trichy.

He met the Secretary of the Marxist Communist Party, Karat while there.

While traveling from Trichy to Chennai, Wickremesinghe faced an incident. He had to travel through a famous Hindu kovil called Thiru Thollikadu. While on his way there, he encountered a group of people at a junction holding a protest. There were many women among the protestors. They were shouting slogans like "Rajapakse go home!"

Wickremesinghe tried to find out more details about the protest. He then found out that the protest was organised by the people as they had received information that either the Sri Lankan President or a senior government official was planning to visit the kovil that day. However, even after finding out that it was the Sri Lankan Opposition Leader who was visiting the kovil, the protesters decided to continue with the protest.

Wickremesinghe then remarked, "This is a funny situation. When I am in Sri Lanka people protest that I don't attack the LTTE and when I visit India, they protest thinking I am with Mahinda."

Wickremesinghe then returned to Sri Lanka with plans to go back to India mid December.

BJP enters the fray as Tamil Nadu reaches boiling point

The plight of the Tamil civilians in the north of Sri Lanka is an issue that cannot be ignored by either the ruling party or the opposition parties in India.

The political turmoil in Tamil Nadu caused by the plight of the Sri Lankan Tamil civilians in the north has compelled all political parties in India to act promptly. It is for this reason that the main opposition BJP released a special statement recently.

The BJP said in the statement that once the party assumed power after the election next year, they would provide a solution to the problems faced by the Tamil civilians in Sri Lanka before the lapse of  six months. BJP released this statement in line with its policy statement for the next election. The statement issued by the BJP also shows that the Sri Lankan issue would definitely play a decisive role during the upcoming Indian election campaign.

The BJP has also expressed its opposition to Indian Prime Minister Manmohan Singh. They have charged that Singh's request from the Sri Lankan government to stop the war that has inconvenienced the Tamil civilians in the north has been ignored. They have also said that Sri Lanka has given the international community the impression that it did not care for Indian opinion.

Right to intervene

Ganeshan from the BJP, who expressed his party's stance recently said that India had the right to intervene in the issue related to the Tamil civilians in Sri Lanka. He said that while the Sri Lankan government should present a political solution to the country's ethnic conflict, it should be closely studied by the Indian government.

It is important to highlight a fact that Ganeshan said was of utmost importance. He said that the BJP was supportive of the Tamil people in Sri Lanka and that by mentioning the Tamil people he said it was not the LTTE. Therefore, he reiterated the importance of a political settlement to the Sri Lankan issue.

Meanwhile, Tamil Nadu Chief Minister M. Karunanidhi also expressed his views on the Sri Lankan issue.

Ceasefire

He said that until a ceasefire was called in the north of Sri Lanka, his party, the DMK would not stop its protests. Rejecting media reports that the protests in Tamil Nadu on the plight of the Tamil civilians in the north of Sri Lanka had been abandoned, Karunanidhi told the Times of India newspaper that there was no solution other than a ceasefire to ensure the safety of the lives of innocent Tamils in Sri Lanka.

He added that it was not only his belief, but was also agreed unanimously by the parties that met at the All Party Conference recently.

The Chief Minister said that be it in Tamil Nadu or elsewhere, he was bound to stand for the protection of Tamil people. In response to the statement made by President Mahinda Rajapakse in India recently that he was acting to defeat terrorism, Karunanidhi said the Sri Lankan security forces should not be allowed to create problems to the Tamil civilians in the guise of fighting a war against the LTTE.

Karunanidhi added that he had in writing as well as over the telephone spoken to Prime Minister Manmohan Singh about this issue. He also said that the DMK members in parliament as well as Ministers T.R Balu and A. Raja constantly raised questions related to the Sri Lankan issue.

Action

Meanwhile, the Communist Party of India (CPI) called an all party meeting on the 16th in Chennai to discuss the statement made by President Rajapakse and the next course of action to be adopted.

The statement made by President Rajapakse that there would be no ceasefire until the LTTE laid down its arms was discussed at the meeting. It was decided at the meeting to hold a harthal with the participation of all Tamils in Tamil Nadu on November 25.

CPI Secretary for Tamil Nadu, D. Pandian said that the Central Government should be asked to respect the wishes of the Tamil people. It was decided that a protest be held from  6 a.m. till 6 p.m.

The Democratic Students Union of the Jawharlal Nehru University also released a statement. They said that an unconditional ceasefire should be called and the genocide of Tamils should be stopped immediately. The Democratic Students Union represents the revolutionary student unions in India. They have also called for the protection of the Tamil people based on the 'principles taught by Marx and Lenin.'

Former justice of the New Delhi High Court, Rajendran Savar released a statement condemning the air attacks carried out by the government forces on so-called LTTE targets. He made this statement at a discussion held under the theme of 'politics, nationalism and human rights' in Chennai.

Air attacks

He said that air attacks carried out in civilian areas could not be condoned under any circumstance. According to the former justice, the Central Government of India should immediately intervene to protect the human rights situation in Sri Lanka.

He also pointed out the contribution of the Tamil people to build Sri Lanka, adding that they therefore had the right to live a dignified life in the country. He further criticised the rejection of the LTTE's offer for a ceasefire by the Sri Lankan government.

Meanwhile, famous South Indian actor, T. Vijay and his fans held an eight hour fast in support of the Tamil civilians in Sri Lanka. He said that it was his privilege to be able to represent the innocent Tamil people at least in this manner.

Vijay added that since neither he nor his fans could come to Sri Lanka and fight on behalf of the Tamil civilians, they had to resort to a fast in support of them.

It was Vijay's father, famous Tamil Nadu film director, S.A. Chandrasekeran who commenced the fast. He said that Vijay's fans had organised 37 such fasts in other parts of Tamil Nadu as well.

The developments in South India are a clear indication of the increasing support towards the affected Tamil civilians in Sri Lanka.

Big Brother force feeds parippu to Sri Lanka

A newer version of the infamous dhal drop on Sri Lanka by neighbouring India during President J.R. Jayewardene's tenure has now been enacted.

It is evident that the concerns of the Indians towards the plight of the Tamil people in the north have seen little or no change at all since the 1980s. At the time, the Indian Air Force dropped packs of dhal to the north of Sri Lanka without any prior intimation after then President J.R. Jayewardene turned away an Indian food ship, but now, essential items to the north are being sent with the full knowledge of the government.

The Indian Central Government virtually summoned Special Envoy Basil Rajapakse to New Delhi and informed him of a decision arrived at by the Indian government. The government informed Basil that the people in the north were in need of essential items and that the Indian government had decided to provide the necessary relief.

The Indian government last week sent 1,680 tonnes of relief items to be sent to the people in the north.

It is important to highlight how the essential items were sent to Kilinochchi. The Indian government did not send the items through the Sri Lankan government. The relief items were sent by India to the Indian High Commission in Colombo for delivery through the ICRC.

That the Colombo government was bypassed in the whole process came to light at the press conference held Thursday to announce the arrival of the food aid.

The Sri Lankan government was unable to protest as Basil Rajapakse had agreed to the mechanism during his meeting with Indian External Affairs Minister Pranab Mukherjee in New Delhi. Mukherjee without seeking approval from Basil informed him of the Indian government's decision to send relief items to the Wanni and the mechanism that would be used to send the items there. Basil had no option but to agree to it.

The Indian ships carrying the relief items arrived at the Colombo Port last Monday. The ships carried over 100 containers of relief items for the Tamil civilians in the Wanni.

The relief items are to be distributed over the next few weeks.

Destabilising the east and TMVP's internal battle

The real situation in the east that has been 'liberated' by the government was revealed to the public with the recent assassination of a doctor of the Navathkudah Hospital.

The government after the 'liberation' of the east following the battle in Thoppigala acted to 'establish democracy' in the province. The first step was to hold provincial council elections in the east.

However, whenever there was a killing, an abduction or extortion reported from the east, the government responded by stating that they were acts of isolated LTTE cadres who have been unable to flee the east. When these events in the east continued to increase, the government remained tight lipped.

Dr. Padmakumara was killed by a group of unidentified gunmen on November 16. Following the assassination, the Government Medical Officers Association (GMOA) raised several issues.

The All Ceylon GMOA issuing a statement said that doctors could not continue working in government hospitals without proper security. They also charged that although the government was informed of the security threat faced by doctors working in the north and the east, no action was taken.

The association also informed the government that due to the inability of the government to address the security concerns of the doctors working in the north and the east, they would be compelled to stay away from work.

Ultimatum

Health Minister Nimal Siripala has now issued an ultimatum to the doctors stating that they will be considered to have vacated post if they do not report for duty on Monday. But strengthening the case of the GMOA and the allegation that the east was far from peaceful was a statement made by Karuna that Sinhala doctors should not be sent to rural areas in the east.

Meanwhile, 13 specialist doctors attached to the Vavuniya Hospital decided to stay away from work stating they had no proper security.

The doctors serving in the north and the east are faced with serious issues concerning their security.

Another development in this context has taken place within the TMVP. Eastern Province Chief Minister Sivanesathurai Chandrakanthan alias Pillayan's private secretary and head of the TMVP political wing, Kumarasamy Nandagopan alias Ragu was gunned down in Athurugiriya recently. While traveling from a hotel, Ragu and his secretary were shot dead by a group of unidentified assailants.

As soon as news of Ragu's killing reached Pillayan, he rushed to the scene. A disturbed Pillayan said that the LTTE did not have a hand in Ragu's killing.

Ragu had close links with the international community and was fluent in all three languages - Sinhala, Tamil and English.

Ragu was appointed as the head of the party after TMVP Leader Vinayagamoorthi Muralitharan alias Karuna Amman fled to England.

Following Karuna's return, Pillayan objected to Ragu's removal from the post. The conflict was reported by the media. Pillayan has been deeply affected by the demise of Ragu. It is this that made him boldly say that the LTTE has had no hand in the killing of Ragu, while Karuna has stated that the killing was carried out by the LTTE.

Although the real reason for the clash between Pillayan and Karuna is still unclear, it is important to note the Sinhalese politicians in the south who have stood by them.

Warm welcome

Soon after becoming chief minister, Pillayan was welcomed to the NFF office by Wimal Weerawansa. Weerawansa said that he was ready to speak to anyone who lays down their weapons and enters the democratic field. Even when Karuna, who was deported from the UK was appointed as a member of parliament, members of the JHU expressed the same sentiments.

Former militants Pillayan and Karuna have been embraced by the likes of Weerawansa and Champika Ranawaka of the JHU. In fact the images of Pillayan and Karuna have been boosted by the Rajapakses no less. However, the sight that now confronts the public is of two former militants, one a provincial chief minister and the other, a parliamentarian exchanging charges against each other.

Presenting the budget for the Eastern Provincial Council, Pillayan had stated that  there was a plan to destroy the provincial council like during the period of Vartharajah Perumal. He had also said that several groups that are against him in the party as well as some who are with him are conspiring to break down the provincial council and create unrest in the east.

 CBK turns tables on govt. over LMSL deal

President Chandrika Kumaratunga is in the news again with the CID recording a statement from her on the 14th regarding the LMSL deal. She has used the opportunity to turn tables on the government

Kumaratunga it has been revealed has traveled to and from Sri Lanka nine times during the past three years after relinquishing office and has been subject to various levels of harassment on each occasion.

During the  first three times she returned to the island after her overseas visits, the security provided to her were systematically removed. The fourth time, it was removed completely.

Handed over

The fifth time, the President's Secretary had written to Kumaratunga's secretary notifying that the former President's office was being shut down and staff and furniture withdrawn with immediate effect. Although the former President's secretary requested three months for closing down and handing over the office, the President's Office acted promptly and closed down the office six days before the wedding of Kumaratunga's daughter, Yashodara was held in Colombo.

On the sixth occasion, 24 hours after returning to the island, Kumaratunga's office equipment was taken away in lorries. The other three times, a media campaign was unleashed against Kumaratunga by the state and some private media institutions. It is in this backdrop that Kumaratunga made her statement to the CID dragging the name of two ministers and the UNP into the controversy. Following is the full text of Kumaratunga's statement to the CID:

 "This is an initial statement and I would like to make a further statement after studying the documents given to me.

"My involvement in this matter was strictly limited to obtaining cabinet approval for the concept of liberalising the bunkering industry in the Port of Colombo. In my capacity as Minister Finance and Planning, this was done through the Cabinet Memo dated 27th September 2001.

"Thereafter, a new government was elected to power, under the Premiership of Mr. R. Wickremesinghe. At this point I handed over, very hesitantly, the executive management of government to PM Wickremesinghe  and his cabinet, as there was a conflictual relationship between the UNP government and me from the other party. The UNP government was insistent on being given all executive power. I agreed to this in order to avoid a breakdown of government, especially with a vicious military conflict between the government and the LTTE.

Not informed

"All details regarding the privatisation process, as well as the type of tender procedure followed and selection of bidders and the facilities to be awarded to them were decided entirely by the relevant ministers i.e., Hon'ble Milinda Moragoda and Karu Jayasuriya. I was not informed of any of this. In fact the Ministers used to hold pre-cabinet meetings with the cabinet secretary before coming to cabinet meetings, which were chaired by me. The pre-cabinet meetings were chaired by the PM and I was never informed of any of the proceedings of these meetings.

"I insisted on cabinet papers being sent to me one week before each cabinet meeting. This was adhered to some times, but not always. Cabinet Paper with regard to privatisation of LMSL was sent to me one day before it was taken up at cabinet. Hence I tabled a Cabinet Memo at the relevant cabinet meeting on 7th August 2002, requesting that the decision on the matter be postponed in order that I study the details of the proposed transaction.

"I did so because there were many issues that seemed to have serious implications.

Refused

"But my request was refused by the cabinet unanimously and they proceeded to approve the Cabinet Memo presented by Minister Karu Jayasuriya. Hon'ble Milinda Moragoda also was involved fully in this process as the minister in charge of PERC, which is the main government institution responsible for privatisation of all government institutions.

"Therefore, I would like to state that the above two ministers, together with their associate officials, will be able to elucidate to the CID and the Supreme Court on all aspects of this transaction. Hence I suggest that it would be more constructive if you record a detailed statement from me, after you obtain all relevant information from the above persons.

"I wish to make a second statement giving details of whatever involvement I had in this issue, as well as whatever other information I can provide you. This is all. My statement is read over to me, admitted correctly recorded."

(Signed HE Ex President C. B. Kumaratunga)

Signed: I, IP, P. Visvanathan, do hereby declare that I have faithfully and accurately recorded the statement of HE C.B. Kumaratunga. (Signed IP, P. Visvanathan)

Mangala takes the war to MR

Convener, SLFP (M) Wing, Mangala Samaraweera in a bid to inform the people of the real war situation launched Defence Watch two weeks ago.

Samaraweera last week held a Defence Watch press briefing under the theme "Three years for the Chinthanaya and the end of the country."

At the briefing, Samaraweera said the bodies of over 200 soldiers killed in the north were brought to a private funeral parlour last Tuesday (18).

He also said that while about 710 injured soldiers have been admitted to hospitals for treatment, 235 were being treated at the Colombo National Hospital, 85 at the Kalubowila Hospital, 90 at the Sri Jayewardenepura Hospital and over 200 at the Army Hospital.

Samaraweera charged that the government while hiding the true situation of the war from the people continues on its path of destruction and keeps releasing statements of capturing some junction somewhere every few hours.

He further said that the government was not trying to defeat the LTTE or bring democracy to the people of the north and east, but was trying to hide its inefficiencies and corruption to go for a general election next year.

Global crisis

According to him, the global financial crisis would definitely hit Sri Lanka by next year and the country would fall below the level of Mugabe's Zimbabwe. Therefore, he said plans were underway to mislead the public and call for elections after dissolving parliament on December 9 before the financial crisis hits Sri Lanka.

Samaraweera said that while he did not oppose a ceasefire, it was important that a political solution acceptable to the Tamil people be presented in order to make it a strong ceasefire.

He said that the new political alliance was ready to present an alternative proposal and that the alliance was ready to face any challenge at an election after parliament is dissolved on December 9.

Samaraweera pointed out the need to show gratitude to the soldiers who lost their lives in recapturing Pooneryn rather than put up banners and posters thanking the President for the sacrifices made by the security forces.

He said that while Pooneryn was captured first in 1993 after sacrificing the lives of many soldiers, 15 years later, it was recaptured after sacrificing just as many lives, which is a clear indication that the war cannot be won by either party.

Samaraweera charged that when the President celebrated three years into office, 79 of his close relatives held high office in ministries, parliament and also acted as his advisors.

"President Mahinda Rajapakse after assuming office on November 19, 2005, first acted to get a four fold increase of his salary - something that was not done since the late President J.R. Jayewardene's time. You can see it in page 1210 of the Hansard. Presidents J.R. Jayewardene, R. Premadasa, D.B. Wijetunge and Chandrika Kumaratunga only received a salary of Rs. 25,000," he said.

"This is a war that has no end. It is not highlighted in the newspapers and you would not be allowed to do so as well. The IMF and the World Bank had a meeting in Washington on October 10 on the global financial crisis. About 160 countries were included in the report published after the meeting. Out of the 160 countries, they have recognised the 28 weakest countries and Sri Lanka was among them. The other countries are Eritrea, Ethiopia, Tajikistan, Rwanda, Madagascar, Malavi and Haiti.

Yet to hit

"Three years after the Mahinda Chinthana, our country has also fallen among them. We still haven't felt the global financial crisis. We only feel the corruption, wastage and the mismanagement of the economy by the Rajapakse administration. We will feel the global financial crisis only when we get ready to celebrate the next Sinhala and Tamil New Year. The Central Bank Governor has accepted that our foreign reserves have fallen by 30%. Therefore, that is the end of the Sinhala and Tamil New Year," Samaraweera said.

Govt. must talk to the TN A and submit a package

Governments of Sri Lanka and India must agree on a package

Pirapaharan will never be forgiven

Tamils should have a state, self rule and equal rights

Proper implementation of Indo-Lanka Accord will solve the prolem

Separation of north east and Chief Minister Pillayan unacceptable

 By Lasantha Wickrematunge

in Chennai

President of the ruling Congress Party in Tamil Nadu and Lok Sabha Member, V. Thangabalu who is spearheading a campaign for a ceasefire and negotiated settlement to the ethnic conflict says the Rajapakse government must at least negotiate with the Tamil National Alliance and submit a political package which is an improvement on the 13th Amendment.

In an interview with The Sunday Leader in Chennai, Thangabalu said the Congress Party under Sonia Gandhi was firmly of this view and was very concerned about the plight of the Tamil civilians.

He also said they cannot forgive the LTTE or its Leader Velupillai Pirapaharan for killing former Prime Minister Rajiv Gandhi.

Following are excerpts of the interview.

Q. Mr. Thangabalu, can you tell us how the Congress Party in Tamil Nadu sees the situation in Sri Lanka as of now?

A. In fact, Congress Party in Tamil Nadu as well as in India under the stewardship of Madam Sonia Gandhi has consistently had one view with regard to the Sri Lankan issue. The Sri Lankan Tamil issue has been there for the last four decades and more. Particularly the last 30 years. After 1983, we have been very closely associated with the issue. It was Indira Gandhi, our former prime minister who took a lot of initiatives, had a lot of dialogues with the government and subsequently after Rajiv Gandhi took over as the Prime Minister, he has taken a number of steps to see a lasting solution is found.

In the same direction, the Rajiv Gandhi-Jayewardene accord was initiated, formalised and we were all hopeful that the accord would have been implemented effectively. That would have solved the problem. Unfortunately, those who agreed, including the LTTE, have turned back. That is why the accord could not be implemented at that time.

And subsequently, the war between the LTTE and the government has been continuing. But we are not happy with the situation, what is happening in Sri Lanka - maybe by the LTTE or by the Sri Lankan government. We want, and we have a different stand on the Sri Lankan Tamil issue, that the issue cannot be settled by war. War is not the answer.

The only answer is a peaceful, negotiated political settlement to this vexed ethnic issue. The demands of the Tamils are, one, they want equal rights. That should be given. Jayewardene-Rajiv Gandhi accord provides that and devolution of powers for the Tamil state. A Tamil province should be created and within the framework of  Sri Lanka, they should be given equal rights and the right to rule and development in that region. This is precisely what the government of India wants, the Congress Party wants. The Congress leadership is of a clear view in this direction.

Q. Before we come to the specifics of the Indo-Lanka Agreement, there is a perception in Sri Lanka that the LTTE, is a terrorist problem that has to be dealt with militarily and that the LTTE has to be defeated and the political package is a separate issue to deal with the grievances of the minorities. The perception is also there that every time the government is close to crushing the LTTE, there are protests from Tamil Nadu and the Government of India, which prevents the Sri Lankan government from solving the issue the way it sees best. How would you present your case of having a right to tell the Sri Lankan government, which is a sovereign nation, how it should solve a problem, which is essentially an internal problem?

A. I do agree with you with relation to the sovereignty of Sri Lanka. India is a sovereign state. Sri Lanka is also a sovereign state. We respect each other. We do not want to interfere in the sovereignty of any country whatsoever. This is a very clear stand of the government of India. At the same time, we are governed by certain norms and values.

Both the countries are closely interlinked in so many ways. Culturally, economically, socially and our bondage continues from the freedom struggle. Even the freedom for Sri Lanka was fought by Indian leaders like Pandit Jawaharlal Nehru, who came to Sri Lanka and fought for the rights of the Sri Lankans. So our bondage has been there from that day onwards.

Government of India has been helping Sri Lanka in many ways. Our economic help, our social and moral help has been continuously there, because, we as a nation, we as a friendly nation, we should exist and work together for the betterment of the people at large. Then, when the issue came up in the '80s, though it has been there for a long time, the Sri Lankan Tamils and Sinhalese were not in close rapport. We cannot sideline the issue of racial problems. But, as a country, we value Sri Lanka, we value Sri Lanka's independent authority. We do not want to get into that.

But, at the same time, within the framework of Sri Lanka, we want a package, agreed by the Governments of India and Sri Lanka. Rajiv Gandhi as prime minister, Jayewardene as president, both leaders, in consultation with the Tamil community, made an agreement. If the agreement was implemented truthfully, then things would have been settled. Even now, we do not  want enmity between the people of India and Sri Lanka. We treat the Sinhalese and Tamils as our brothers and sisters. Likewise, the Sri Lankans should also look at us as fellow Sri Lankans. As humans, we want both societies to live happily.

Q. There are accusations that it is India, in fact former Prime Minister Mrs. Indira Gandhi during her tenure, that helped nurture some of these movements like the LTTE, including providing training in India. Do you feel that India therefore has a moral obligation to help solve this problem?

A. It is not rightly so. But, we have a bondage. Tamils in Sri Lanka are our brothers. They have contacts and relationships with Tamil Nadu. Indians have settled over there. You see, there are two kinds of (Tamil) people in Sri Lanka. One is the plantation Tamils and the other is Sri Lankan Tamils. We know the difference. At the same time, this issue, as a community should not be brought up again and again. The people in Sri Lanka should not be worried about this issue because of the racial conflict.  The development of Sri Lanka itself is a problem. Your ending fighting with terrorism is also a very important factor. We are not supporting terrorism. We never wanted to support terrorism. We should be frank with you. In the beginning we supported the movements. We also advised them very clearly that only in the form of democracy things can move. India can support. We are followers of Indira Gandhi and Rajiv Gandhi. I was closely associated with friends from Amirthalingam to Pirapaharan and people from other movements.

But, at the same time, we were all advising them very clearly that within the framework of Sri Lanka, that Sri Lankan Tamils should have a state, self-rule and you should have equal rights like what we are having in Tamil Nadu or any other state in India. This is the common, agreeable and agreed demand by both the governments. Both Jayewardene and Rajiv Gandhi discussed this with the Tamil community leaders, with the government leaders and both the governments formulated this process. And this process has been agreed and approved by both the governments.

Naturally things would have settled at that point. Somehow, it was some mismatch, some disagreement, afterthought that created this kind of problem. We value that even today. We want a political settlement within the framework of Sri Lanka.

Q. You said that the Indian government, the Congress Party always wanted a solution within a democratic mainstream. The question would naturally arise, why did India help these militant organisations with military training if the intention was to get them to win their demands through democratic means?

A. No. We do not want to give military training. We are not interested in giving military training. This is not so.  Q. The accusation was it was done in the past, in the early stages. A. Even in the early stages, we never gave military training to any of the people. It is very clear. We have been discussing with moderate leaders like Amirthalingam and Sivasithambaram. He was the opposition leader in the Jayewardene government. We used to discuss only with them. As Tamils, we had sympathy towards the boys. At the same time, we were advising them. And the Rajiv Gandhi-Jayewardene accord is very clear that in terms of bringing a peaceful lasting solution to the ethnic issue by means of democracy.

Q. You have also dealt with the LTTE Leader Velupillai Pirapaharan. In fact, I understand that you were a key player in bringing about the Indo-Lanka Agreement about between former prime minister Rajiv Gandhi and former president J.R. Jayewardene. Can you tell us briefly, what your interaction was with the LTTE leader at that time? And what your views are with regard to his commitment to a settlement within a democratic framework?

A. There have been a number of talks with the Sri Lankan government. The last meeting was during the Thimpu talks. Even for which we helped them, because we wanted a democratic set-up like in India. Our advise to those who are aiming for a separate country has always been that it was not acceptable. The government or the Congress Party can never think of that, as we can never interfere with the internal affairs of Sri Lanka. This is our standard policy.  Till today, we respect the sovereignty of Sri Lanka. At the same time, within the framework, if the agreement of Rajiv Gandhi and Jayewardene is implemented, the issue will be solved even today. At the same time through peaceful means of political settlement. We advise LTTE Leader Pirapaharan or leaders of other movements. Of course, today, almost all the other leaders are lost. They don't exist. I advocate for a peaceful, lasting political solution. That is the only answer for the issue.

Q. Having played a key role in bringing the Indo-Lanka Agreement, which you obviously still have a lot of faith in, as a solution to the problem, how would you deal with the LTTE factor, considering that it was the LTTE that pulled out of the Indo-Lanka Agreement and even fought the Indian Peace Keeping Force and killed over 1000 Jawans. How do you overcome that problem?

 A. I must very clearly say here both Premadasa and Pirapaharan jointly said that India has no role to play. We thought that the Sinhalese and Tamils were candid and united and let them to enjoy the peaceful solution. But, it has not happened. After some time it became diluted and were not able to coexist. Even today we believe that the only solution is a negotiated, peaceful settlement.

Q. A negotiated settlement with the LTTE?

A. I said this because the Sri Lankan government has taken a position with the Norway intervention. The Sri Lankan government has been discussing with the LTTE and not with the people. That is the mistake of the Sri Lankan government. I won't blame it as a mistake. The Sri Lankan government as well as the other party, the LTTE were discussing together for years. But, finally they were not able to achieve the result, which they wanted. Who is to blame? The Sri Lankan government is finding fault with the LTTE while the LTTE is finding fault with the Sri Lankan government. This is the position even today. And we believe and want this to be settled through dialogue.

Q. Going back to the Indo-Lanka Agreement itself, which you see as a solution to the problem, the agreement contemplated and in fact it came to be, that the north and the east were merged. But, not too long ago, the north and the east were de-merged and a separate provincial council election was held for the east. And the government of President Mahinda Rajapakse has taken the position that a separate provincial council election will be held eventually for the north, which in effect cuts across the Indo-Lanka Agreement because the Indo-Lanka Agreement contemplated the merger to be de-merged only subject to a referendum. Therefore, would you say that the Indo-Lanka Agreement is still in force?

A. That is where the problem starts again. We believe in an agreement with the two governments along with the commitment of the Tamils. Today Mr. Rajapakse has taken a different stance on this issue. That is also causing concern. That is also one of the reasons for the escalation of this problem. We believe in a peaceful solution. That is why we say that if the original agreement by Rajiv Gandhi and Jayewardene was implemented, it will be more acceptable than anything else.

Because there is a basis on which a great deal of discussions, great deal of effort were put in by both the governments and along with the moderate people. I do not mean the LTTE or other military movements. The moderate people who were involved were more acceptable than the militants at that time.

Today, the situation has totally changed. Even with the changed situation, there are moderate people available in the Tamil community. There are more than 22 MPs. They are the people's representatives. The Government of Sri Lanka can discuss with them and find a solution. I think in my opinion, the Indian government sees that the Rajiv Gandhi - Jayewardene agreement would be more appropriate and effective than anything else because, the LTTE and other factors are accusing the Sri Lankan agreement was contravened by the present government. That is also an issue.

There were talks between the LTTE and the government through the Norwegians. We do not know why it went off because we are not a party to that. But, we believe that a solution has to be found. The government and the LTTE should come forward for a settlement. It is not for the interest of the LTTE alone. It is for the interest of the people who are involved. We are clearly not supporting the LTTE. After the assassination of our beloved leader Rajiv Gandhi, we have detached from the LTTE and other movements. Even before and after, our constant standing in spite of the sacrifice of our leader who ventured for a peaceful solution in the neigbouring country on a democratic basis. Without affecting the integrity of India and Sri Lanka a peaceful solution was found and that solution was not implemented. That is the issue.

Q. Would you not agree with the position of the Sri Lankan government Mr. Thangabalu, that the Indo-Lanka Agreement could not be implemented and indeed cannot be implemented because the LTTE had said that it is not sufficient by way of devolution of power and they are continuing militarily to fight the government. And until the LTTE is militarily defeated, as stated by President Mahinda Rajapakse, that this problem cannot be resolved, unless of course the LTTE is ready to lay down weapons and start negotiations?

A. The stand of the Congress Party is very clear. The stand of the government is very clear. I belong to the ruling party. I belong to the Congress Party, which has a very definite stand that a peaceful means of solution is the only answer, a negotiated settlement is the only answer for which there should be some time frame, there should be some mindset between both the parties.

Because, I don't blame the LTTE or the Government of Sri Lanka, I don't want to blame anybody in this matter, but, a solution has to be found for the majority of the people. The minority may be militants. The Government of Sri Lanka feels that it can finish the LTTE. The war has been going on for the last 20 years. You stop for sometime and you begin the war again and then you stop for sometime and begin the war again.

Whether both sides are developing militarily or not, today the Government of Sri Lanka feels that it can finish this menace and can negotiate with the people. That is one aspect. But, in our opinion, at any point of time, war is not the answer. The solution can only be found out through dialogue across the table, in a peaceful manner. That is our interest.

And we still want the Government of Sri Lanka to think of a better way than the war. And at the same time we advise the LTTE, though we are not supporting them directly or indirectly, I cannot support, I cannot forgive what they have done to my leader. I cannot forgive or forget. And the same time the issue has to be sorted for the majority of the people at large.

Today more than 300,000 people are in the streets and the jungle with no food, no house, no clothes. This is a very pitiable situation.

Q. If you say that the Indo-Lanka Agreement is the answer to the problem, then, why should there be any negotiations? Isn't the answer in implementing the agreement, which is already in force? Why should you negotiate what is already in the law?                

A. That is why after the negotiated settlement, it is not accepted by the Sri Lankan government today. They have violated that also. The accord has not been implemented. The issue starts from there again. Today, if the accord was implemented, devolution of powers would have been given. The states would have been merged and given a chief ministership. And the Government of Sri Lanka has never given equal rights to Tamils in the state. And, the areas where Tamils live are not developed in comparison to the other regions. We don't mind other regions being developed. The racial issues world over always has been very sensitive. And any government for that matter has to deal on a humanitarian basis than the military basis.

Q. If I may interrupt you Mr. Tangabalu, when you say it has not been implemented, the fact is that after the accord was signed, in fact the Northeast Provincial Council was formed and Mr. Varatharaja Perumal was appointed the chief minister and he unilaterally declared independence and fled to India thereafter. It is at that time that the Northeast Provincial Council ceased to function. Of course, the LTTE never agreed and never participated in that election. They continued to fight militarily. I'm coming back to the question, whether the Indo-Lanka Agreement is the answer to the problem and if it in fact is the answer, how would India help to deal with the LTTE factor in that situation, if it continues to fight on?

A. I do agree with the statement you made. Yes, there was a point of time the Government of Sri Lanka tried to implement, made Varatharaja Perumal the chief minister of the state. We do agree. No question about that. At that point of time the LTTE backed out and they did not support the democratisation of the issue. We never wanted the LTTE to back out, because we wanted anybody in that situation, be it Varatharaja Perumal or the LTTE, TELO or whatever names you call it, we don't mind. We want, even today, the democratic activity - the democratic activity as the only answer.

Democratisation of the system is the only answer. We do not want A or B or C. whomsoever the people in that province wanted, they should be helped. They should be supported. That is our stand. Even in Sri Lanka, we know that among the Tamils, there are Tamils and Muslims. There are aspirations. There are differences of opinions. But, we want a collective wisdom or people to elect the leader and that leader to rule them and the Government of Sri Lanka to help them like what we have enjoyed in Tamil Nadu or Andra or Karnataka or any other state for that matter.

Q. Basically, devolution on the lines of the Indian model is what the Congress Party now stands for?

A. That's what we've already annunciated in the agreement itself. It was a joint effort made by the Government of India and the Sri Lankan leadership at that point of time. It was very wisely, effectively decided and thought over and well built commitment we made because, we never wanted Sri Lanka to have problems all the time and Sri Lanka to be developed in a better way. And people should be in peace and that is our interest.

Q. Now that came about through the 13th Amendment to the Constitution where the provincial councils were formed. But the position taken by the Indian government now as articulated by Prime Minister Manmohan Singh is that a solution should be an improvement on the 13th Amendment. In other words 13th Amendment Plus. What is that improvement you are looking for?

A. That is to be negotiated. There are aspirations, there were efforts made by the Norway government. Under their leadership, negotiations were held between the Government of Sri Lanka and the LTTE. And the discussions or negotiations broke down and the war started. Under this situation, we need again, collectively or progressively to find a solution. For that, some progress methods to find the solution. What is the illness? What is the drawback? How do we come out? The Government of Sri Lanka has to think and see to it that a negotiated settlement is formed and found out. This is what we want.

Q. Now we come to the current situation in light of the background we had just discussed. There is a lot of dissension, there is a lot of uproar in Tamil Nadu over the current situation in Sri Lanka particularly in relation to the ongoing military operations against the LTTE. Because, it is said that there are over 200,000 internally displaced persons. The Tamil Nadu Chief Minister had an all party meeting on the 14th of October where it was decided to call for a ceasefire. There was a threat to resign or withdraw their support to the Congress government and the centre. What has led to this situation in Tamil Nadu because, even when the government launched an operation against the LTTE in the east, there were thousands of people displaced, but there was no uproar in Tamil Nadu. Why now?

A. This is a politically sensitive issue. As I said, our brothers and sisters are living in Sri Lanka. As a Tamil community, this bondage cannot be ignored. And politics. Each political party wants to take this issue in the head and want to take political mileage out of it also. I'm very frank.

Q. Even at the cost of Sri Lanka?

A. No. Not at the cost of Sri Lanka. That is the problem. It is happening in your country and it is happening in our country. It is a common affair. In Sri Lanka, the Sinhalese are doing anti Tamil agitation. Here, the Tamil people are doing anti Sinhala agitation. This is not correct. Congress Party has always been supporting the Tamil cause, consisting the support of the human cause rather than Tamil cause. That is where there is a difference between the Congress and the other parties. And we as a national party, have our commitments and we want that commitment, be honoured in relation between the two countries.

Sovereignty of the country to be safeguarded, the will of the people to be helped and finding a lasting solution is also an important milestone. Here also at the All Party Meeting, we said very clearly that all the parties at the All Party Meeting conducted by the chief minister that the Government of Tamil Nadu cannot question the authority of Sri Lanka. The All Party can support the Sri Lankan cause. Yes I'm with them. At the same time, the state government can request the central government. It is only the central government, the Prime Minister who can make a request to seek a settlement through dialogue. This is how I handle this situation.

Q. How would you respond to the allegation that Tamil Nadu is now raising this cry because the Government of Sri Lanka is on the verge of defeating the LTTE and that Tamil Nadu is trying to throw a lifeline to the LTTE, how do you respond to that allegation?

A. I said categorically in the meeting and now that we are not supporting terrorism. This is the committed stand of the Congress Party. We are not supporting the LTTE. Because, we believe that the LTTE is the killer of Rajiv Gandhi. And Mr. Pirapaharan is the number one accused in the case. Still it exists.

Q. But still you want the government to talk to them?

A. Who is the next alternative? That is why I'm telling you that the Government of India wants an improvement in the situation. If you do not want to talk to the LTTE, talk to the MPs. Talk to the elected members of the Tamil province. There are 22 members. You talk to them and let them talk to the LTTE. We need to find a solution. Please talk to them. There are democratically elected representatives. They are the major concern. They can talk to you and talk to them. There are ways and means. This is my opinion.

Through democratisation, through peaceful means, a negotiated settlement can be formed even today. For which, the Government of Sri Lanka has to think. You say you are going to wipe out the LTTE. You do it or don't do it. It is your business. We do not want to interfere. It is your country. At the same time, the Tamil civilians in the country should not be affected. This is our major concern. I underline this. Civilian Tamils in Sri Lanka should not be subjected to the problems. By means of negotiated settlement, I hope the civilian Tamils will be provided better amenities, better clothing, better food and a livelihood within the framework of Sri Lanka. Q. Would you say that it would satisfy the Congress government, the Congress Party, Tamil Nadu if the government negotiates with the TNA and implements a solution, which is based on the 13th Amendment and an improvement thereof while continuing to fight with the LTTE? A. I said that there are two ways for a ceasefire. Both the parties involved in the war lay down arms or stop the war. Let us try and talk to the elected representatives and discuss with them and if a solution has to be found or improvements done, because we are very clear that we will not interfere in the internal affairs of another country, at the same time, we want a solution. This is the peaceful means. The best way of dialogue. We believe in Gandhian ideals. We preach and advocate this alone.

This is the stand of the Government of India. And we want food and other articles to reach and Rajapakse has agreed to do that. The governments of India and Sri Lanka are doing their best to see that the monetary help goes to the civilian Tamils. These are all agreeable. There are improvements. It is due to the efforts of the Indian government. The Prime Minister and our External Affairs Minister have been in touch with the Sri Lankan government. We are doing our best to see that the civilian Tamils are helped from one side and a package or solution is formed on the other side. Thereby, things get normal and peaceful. Q. Tamil Nadu State Assembly last week passed a resolution unanimously including with the support of the Congress Party calling for a ceasefire and a negotiated settlement. President Mahinda Rajapakse within 48 hours at a meeting with Prime Minister Mr. Manmohan Singh rejected that demand, stating that he will only agree to a ceasefire if the LTTE lays down arms. How would you respond to that situation, to that rejection by the President in the light of the resolution adopted by the Tamil Nadu State Assembly? A. Tamil Nadu State Assembly is a part of the Indian government. It consists of the elected representatives of the Tamil community in the state. We value that the elected representatives' wisdom prevailed and they wanted the Government of India to interfere and request very clearly through the statement by the Chief Minister who is a seasoned person. In fact, we are a party to that. He has done his best according to the discussions we've had.                             

I had detailed discussion with the Prime Minister for more than half an hour. And I did discuss with him while President of Sri Lanka, Rajapakse came to India on the 12th and 13th, I requested him, that the wish of the people and the resolution at the All Party Meeting has been done step by step and the main step was the ceasefire. I demanded that he should talk to Mr. Rajapakse that a ceasefire may help in the state of Sri Lanka and to bring a political process. Even in our opinion, we said that a ceasefire will help at the same time within a framework.

When we say that we honestly and sincerely believe that for two nations to coexist, a solution is also necessary since you already, after our agreement had also discussed with a third party, Norway, sincerely.

Today, the LTTE may or may not agree. But, there should be some improvement. That is what our Prime Minister very categorically, very candidly put across in his own diplomatic way that a peaceful solution needs some improvement over and above the 13th Amendment and that will certainly find a solution. This is very clear.

Q. Mr. Thangabalu, would you say that the policy of the Congress Party branch in Tamil Nadu, which you head and the policy of the Congress Party, nationally is the same with regard to this issue?

A. Yes. Very clearly. I'm part of Madam Gandhi's leadership. I'm part of the national Congress. And whatever I say is in conscience with my leadership. I cannot deviate myself. That's why I said in the beginning that we do not support the LTTE. We cannot forget and forgive the LTTE. At the same time, we are for the civilian Tamils in Sri Lanka. They want a peaceful, lasting solution in the long run. For the betterment of not only the Tamils, but also for the Sinhalese. There should be peaceful coexistence between the two communities. There should be peaceful negotiations and lasting solution within the framework.

Q. Therefore, if there is uniformity in thinking of the Congress Party in Tamil Nadu as well as the Congress Party nationally, are we to assume that the Congress Party as a whole is supportive of the position you have taken at the state assembly that there should be a ceasefire and a negotiated settlement?

A. Yes. Certainly. Q. In that case Mr. Thangabalu, how would the Prime Minister and the Congress Party now deal with this situation in view of President Mahinda Rajapakse's rejection of a ceasfire?

A. Because the Congress Party has been in position, and we as a very senior and seasoned party in the government in India and long-standing, we know and we have been negotiating with various governments and various issues. That's why we said that our political stand was very clear. Our stand is negotiated settlements through political dialogue and we are discussing with Sri Lanka the means of dialogue. Now it is in the top level. The President and the Prime Minister have been talking. We urge the Rajapakse government particularly Mr. Rajapakse, as our Prime Minister requested to think over and see that a lasting solution is found quickly under his leadership. He had also said that he wanted a settlement for the people and he has his problems with the LTTE. We, the Tamil Nadu people by and large want a ceasefire.

This is the hard fact. And the Tamil Nadu assembly passing a resolution means that the will of the people repose confidence among the elected representatives irrespective of political party. We have differences of opinions between Congress, DMK, AIADMK, PMK and many Communist parties. But, all parties unanimously decided to support for a ceasefire. This is also the will of the people.Q. You sound optimistic on that position taken by the Congress Party. Are we to then assume that there is more to what has been going on between President Mahinda Rajapakse and Prime Minister Manmohan Singh in their discussions than what is out there in the public domain?

A. No. In fact, after Rajapakse rejected, I don't say he has rejected, he said he has a problem. He said he wanted to deal in a different manner. That is what I believe. But, the Prime Minister's statement is very clear. And I value the Prime Minister's statement. I also think that the Government of India is trying to convince Rajapakse that he should improve upon his position to see that the lasting solution is found.

At the same time, the will of the people of Tamil Nadu also should be taken into account. And as I said, the bondage between the two communities in Tamil Nadu and Sri Lanka cannot be separated. The majority of our people in Tamil Nadu, through the representatives made the resolution to support the cause of Sri Lankan civilian Tamils very clearly. There are one or two splinter groups supporting the LTTE openly. We oppose them. We directly and very strongly oppose them. There cannot be any movement. We cannot allow those movements to exist in Tamil Nadu. They cannot support the LTTE, a banned organisation in India and elsewhere in the world. It is a very clear stand of the Congress Party. In this direction, our stand is very clear. We are second to none in supporting the civilian Tamils and second to none in opposing terrorism.

Q. How far do you think the Tamil Nadu state government would go ensure its call for a ceasefire and negotiations are met?

A. This is the endeavour of the Tamil Nadu government. It is a joint resolution of all political parties in the state irrespective of any deviation in that aspect. We should respect that kind of thing. In fact, when some of the opposition members do cast aspersions against the Government of India and the Congress Party, my members rebuked them in the Assembly. There was pandemonium. There were fights. But, we are fighting because we are thinking the right way, for the right cause. We think that this is the honest way to support the Sri Lankan Tamil civilians. That is what we believe.

Q. You have had discussions with the LTTE Leader Velupillai Pirapaharan leading up to the Indo-Lanka Agreement. In your view, given your experience, considering the fact that the LTTE is held responsible for killing Prime Minister Rajiv Gandhi, former President Ranasinghe Premadasa in Sri Lanka and countless others, are you still confident that Pirapaharan will agree to a negotiated settlement?

A. Before the Indo-Ceylon agreement, under the leadership of Rajiv Gandhi and Jayewardene, I was having a dialogue with many people. Not only with Pirapaharan. But, with almost all the leaders. I was very much with all the frontline leaders of the Tamil movements like the TULF and others. There is no doubt about it. I'm very open.

After the killing of Rajiv Gandhi, I lost touch and I don't want to have any links with any liberation movements in Sri Lanka. It is very open. I was very much attached to Mr. Rajiv Gandhi. He was my closest friend and my leader. And for that to happen in Tamil Nadu, it is a shame for all Tamils. I cannot think of having a friendship with them. I do not have any friendship with these people. At the same time I say very clearly that the moderate leadership should exist. The moderate leadership must emerge and see to it that they take the lead instead of the militants in Sri Lanka. This is my opinion.

At the same time, I cannot vouch for Pirapaharan today. It was yesterday's thing. I don't know what his mindset is today. But, I'm worried. My party is worried. My country is worried, the entire Tamil brothers and sisters in Tamil Nadu are worried for the civilian Tamils more than the militants.

Q. Do you feel then if the government puts forward a set of proposals, which is an improvement on the 13th Amendment and even if the LTTE rejects it, the people in Tamil Nadu will support the Sri Lankan government to implement such a proposal and even defeat the LTTE if it refuses to accept such a package?

A. I told you very clearly and effectively that the democratisation is the main answer. Political settlement is the main answer. A political settlement has to be found out through dialogue. That is why I mentioned that there are elected members from the Tamil province, of about 22 members, and please let the Sri Lankan government talk to them. You do not talk directly to the LTTE. There is no need. Because, you are in a war with them. Or you find a solution within the framework. That is the next question.

The Rajapakse government can talk to the Tamil MPs. Call all the Tamil MPs. There are representatives of the LTTE movement. There are representatives of non-LTTE movements, there are representatives of the plantation Tamils. There are different groups, but, as Tamils, they are united today. I know it is difficult for them also. Those moderate Tamil leaders who tried for a solution for the Tamil people were all killed. It is by the LTTE only. We know that. But, we are not interested in the LTTE or others. Our interest is that the civilian Tamil people in Sri Lanka be safeguarded, to be given proper rights and ensure that property and legitimate rights in the state.

That is why the Sri Lankan government can take a position to try. If such a movement is made naturally the people all over the world will appreciate and support the Government of Sri Lanka also. Let the Rajapakse government ensure that they are willing to give equal rights to the Tamils, that they are willing to go back to the 13th Amendment and give a united state Tamil province, and let the election take place. If anybody comes in the way, to stop them, the government should firmly see to it that an elected government is installed, and make them feel that they have been given the rights to rule themselves and develop themselves under this Sri Lankan framework.

Q. In a merged north and east?

A. The situation has changed after the Rajapakse government had divided the Tamil province and made someone as chief minister. That is not acceptable. Even today my worry is, the advisor of Pillayan was killed. I'm at a loss. I have no words to say. This is the situation continuing there. Maybe by the LTTE or by other forces, maybe rival forces. This is not good for theTamils also.