Peace for the World

Peace for the World
First democratic leader of Justice the Godfather of the Sri Lankan Tamil Struggle: Honourable Samuel James Veluppillai Chelvanayakam

Sunday, May 1, 2016

Sajin Vass: Witness Most Corrupt

by Nirmala Kannangara- Sunday, May 01, 2016

Should all crimes of a wharf clerk turned CEO Mihin be ignored just because he now turns state witness against the Rajapaksas?
Sajin de Vass Gunawardena, former Monitoring MP, External Affairs Ministry, who stands accused of mass-scale fraud, unpaid loans, criminality and unfulfilled promises during the Rajapaksa regime, is back in the spotlight, this time for enjoying ministerial privileges from taxpayers hard-earned money despite not being an MP, a minister or even a local government member.
Despite pledges being made by President Maithripala Sirisena and Prime Minister Ranil Wickremesinghe prior to the 2015 presidential election, that stern action would be taken against all those who syphoned public money and were involved in fraud and corruption, the ‘good governance’ government has provided Sajin Vass with police guard instead of taking legal action against him for the alleged large-scale corruption he was involved in.
Sajin Vass had come to an agreement with the Criminal Investigation Department (CID) to turn state witness in all investigations carried out against alleged Rajapaksa family corruption. In return, immediately after he was granted bail last year, the Defence Ministry provided Vass with security from the Ministerial Security Division (MSD) together with back-up vehicles.
Questions have been raised as to why the CID or the Financial Crimes Investigation Division (FCID) have failed to take any action against Sajin Vass on the alleged mass-scale frauds he was engaged in, other than taking action only on the relatively minor matter of allegedly misusing 23 vehicles at the Presidential Secretariat.
Vass was arrested on May 11, 2015 for misusing 23 Presidential Secretariat vehicles during the Rajapaksa regime and was granted bail after four months on September 23.
A leading legal luminary who wished to remain anonymous queried as to why the government provided this accused with back-up vehicles and MSD protection when he was one of the most prominent personalities who not only misused public money but also is alleged to have been involved in money laundering and other criminal acts.
“Any person can become a state witness but in Sajin Vass’ case, he was given MSD security because he had agreed to spill the beans on the Rajapaksas. He was bailed out in September and we would like to ask the law enforcement authorities in this country, how much details against the Rajapaksas has Sajin Vass provided over the past seven months? If he did indeed provide details on Rajapaksa family deals, why has the CID or the FCID so far failed to take action against any Rajapaksa family member?” sources ask.
It is also surprising, these sources say, why no action against Sajin Vass has been taken under the Prevention of Money Laundering Act No:5 of 2006 when there is ample evidence against him in this regard.
“If Sajin Vass’ wealth and businesses are taken into account, it is well known that his assets will be worth billions of rupees. From where did he get this money? Even someone holding a high post cannot accumulate such vast wealth in less than a decade. Just because he had promised to be a state witness against the Rajapaksas, this government does not want to proceed with the cases in which Sajin stands accused of. This is bad precedence,” sources claimed.
It was an open secret that Sajin Vass who did not inherit any huge wealth, became a multi billionaire after Mahinda Rajapaksa took office as President in 2005. Vass previously had worked as a wharf clerk in Dubai at Trico International, one of the largest freight forwarding companies. His duties entailed assisting VIPs with their formalities. It was in Dubai that Sajin Vass met Rajapaksa when the latter travelled to Dubai and the two formed a close friendship.
Vass was also accused of ignoring Ceylon Petroleum Corporation’s (CPC) continuous requests to pay the Rs.170 million he owed for the fuel he had obtained for his fuel stations in the south during the previous regime. He settled the outstanding bills in fear after the present government came into power to prevent a possible arrest.
“What made Sajin Vass refuse to pay the money he owed the CPC during the Rajapaksa regime and pay it immediately after the fall of the former regime?” sources added.  After Mahinda Rajapaksa became President, Sajin Vass was appointed Chief Executive Officer (CEO) Mihin Lanka in 2006 where he is accused of involvement in many controversies and mismanagement of Mihin Lanka funds which led to the airline suffering huge losses and eventually became bankrupt.
Whilst at Mihin Lanka, Vass formed his own company in Singapore under his wife’s initials, TPL, Inter Pvt LTD, and allegedly got  this company to provide ground handling work for Mihin Lanka. It is also alleged that this company procured ground handling equipment on outright payment and leased them to the airline where Vass was  CEO for Colombo operations at US $ 223,000 per month.It is also learnt how Sajin Vass had got the airline to pay TPL a two month’s rental as a security deposit. It was during this time that Mihin Lanka had obtained a five-year loan to the tune of US $500,000 from TPL at a higher interest rate of 18% and an additional 4% as a penalty for any delayed payments of rental on ground handling equipment to TPL.
On the instructions of Sajin Vass, it is alleged the airline obtained two aircrafts from Bulgaria on a wet lease for a high rental. Mihin Lanka leased one A320 aircraft from Bulgaria for 300 block hours and paid US $3,800 per block hour. However according to airline experts, although Mihin Lanka paid such an enormous amount per block hour, the same aircraft could have been leased for US$ 1,990. The sources further said the second aircraft which too was on a wet lease incurred more losses to the company.
“The agreement was to use the second aircraft for a minimum of 350 block hours at a rate of US $ 2,300 per hour. This aircraft was brought to the country in a rush but the airline was unable to get the necessary clearance for its operation which led Mihin Lanka to house the 24 member crew in a hotel in Katunayake for seven weeks until the first commercial flight took off on April 24. It is estimated that the total loss to the airline by not operating these 49 days was US$759,000 whilst the crew members had to be paid an allowance of US$71,040 and the accommodation cost for the hotel in Katunayake was US$53,280,” sources claimed.
Meanwhile there are also questions about how Sajin Vass obtained money to purchase small aircraft and helicopters for Cosmos Aviation Services (Pvt) Ltd. According to details this newspaper is in possession of, Cosmos Aviation had purchased a 4R RVG Cessna 152 for US$ 46,900 on June 10, 2014 while a second-hand 4R AVG Cessna 172 had been purchased on January 15, 2014 for US$ 60,000. Meanwhile, another 4R TDA Cessna 152 aircraft had been purchased by Cosmos Aviation for US$ 38,000 while a 4R SAV RA 34 200T had been purchased for US$ 80,000 and a 4R SAK Robinson 66 for USD 1,000,000.
“For a person who was leading an ordinary life before entering politics, it is questionable as to how he could accumulate such a large wealth as to own a fleet of aircraft and to operate a flying school of his own. Why cannot the CID, the FCID and the Commission to Investigate Allegations of Bribery or Corruption take action against Sajin Vass? It is surprising as to why no action against this suspect is being taken simply because he has become a state witness. Have the Police provided any other state witness in this country with at least one police constable to ensure their safety?” sources queried.
The controversial former Monitoring MP for the External Affairs Ministry is also accused of slapping former Sri Lankan High Commissioner in UK, Dr. Chris Nonis in September 2014 in the USA but no action was taken against Vass by his friend Mahinda Rajapaksa.
Many attempts were made to contact Secretary Law and Order and Prisons Reforms Jagath Wijeweera to find out as to why MSD security and backup vehicles had been provided to Sajin Vass and whether all other state witnesses are also given such security, Wijeweera was not available for comment. Although a text message was sent to him seeking a comment, he did not respond till the paper went to print.
Defence Secretary Karunasena Hettiarachchi when contacted wanted this paper to call him later but he never answered the calls thereafter.