- Ravi K slams report release, refers to AG as “arrogant”, says sensitive info could have been leaked
- PM supports Ravi K, insists 2015 bonds probed on Govt. initiative, AG reports unhelpful
- JVP and JO defend AG, calls on Govt. to increase powers with long awaited Audit Commission
- Report released in public interest and for transparency says JVP
By Daily FT News Desk -Thursday, 26 January 2017The Auditor General took centre stage in Parliament yesterday as both the Government and the Opposition stepped up to define the parameters of his powers after the contentious official released a decade’s worth of bond transaction details made by the Central Bank
to COPE. 
Finance Minister Ravi Karunanayke returned to the House on the offensive, slamming the Auditor General for allegedly releasing the report to JVP Parliamentarian Bimal Ratnayake, despite COPE Chairman Sunil Handunetti clarifying at the start of proceedings that Ratnayake was given the report as he took over as COPE Chairman during a leave of absence by Handunetti.
Karunanyake was also supported by Prime Minister Ranil Wickremesinghe, who explained that the Central Bank was removed from the Finance Ministry purview to resolve “conflicts of interest” in fiscal discipline and budgetary oversight. “After several reminders, the Auditor General has delivered a set of volumes without a signed audit examination report. That information has also been delivered without using a closed official envelope, despite the sensitivity of information contained in the volume. Further, the examination requested has not been completed as yet.
In addition, he has stated that adequate time could not be spent for the examination due to the impatient and unethical reminders of the Minister of Finance, which leads to the breach of my privileges as a Minister,” Karunanyake said.
The Minister went onto describe the Auditor General as an “arrogant Government servant”, and insisted that despite being appointed by Parliament his responsibility was towards the Finance Minister as well.
“This has been committed by MP Bimal Ratnayaka during the debate. He said that there are officers with capacity and courage. That is true. Today we give that right to all officials, not only the Auditor General. We are revising the fact that democracy is reborn in the country. But that doesn’t mean that arrogant Government servants use power that is only in the hands of Parliament. The Auditor General is a creature of Parliament and answerable to Parliament, not to the general public that. These are matters of grave concern.”
The Auditor General was also faulted by the Finance Minister for simultaneously releasing the report to the Central Bank, as it contained sensitive information.
“This examination should contain information and find information strictly for my use, for the purpose of issuing new policies, for the issuance of government securities and for public debt management. The volumes contained a large pool of individual information and details of issuance of Government securities, which is highly market sensitive. A leak of information will adversely affect Government securities in raising funds for the budgetary requirement. This will raise the cost of borrowing. As I mentioned before, even in the past there have been a couple of officials at the Central Bank employed by the former Government. They are doing activities detrimental to the Government and it is a hand in glove situation.”
The JVP was joined by the Joint Opposition to vociferously defend the Auditor General’s action, arguing that it was done in the interests of transparency and public interest. The latter also questioned why the Government had not fulfilled its pledge to gazette the Auditor Commission in early January, which would strengthen the powers of the Auditor General and provide him with more clout. They also criticised the Finance Minister’s attempts to use a letter issued in 2004 to prevent the Auditor General releasing information to the House.
“The Bill has been drafted and the Finance Ministry is going through it. Maybe the Auditor General and the Finance Minister can get together and discuss it,” quipped the Prime Minister, noting that the Auditor Commission Bill would then be presented to Parliament.
“UNP members of COPE have never pressured the Auditor General. I have not received any complaints. We were the ones who asked that from this report, which contains bond transactions since 2008, the 2015 transactions be looked into first. We could have easily ensured it began in 2008,” said Wickremesinghe, rejecting accusations that the Government was attempting to prevent an investigation into the bond scam.
Wickremesinghe described the two volumes of the report by the Auditor General as being “not much helpful” to the investigation.
“I have discussed this matter with the Speaker, who has discussed with the Auditor General. He as agreed to avoid mentioning classified information. The report contained two volumes, the first was about the issues in the method. Anyway, no classified information was required to find the present information and he was able to present the report without classified information.”
Finance Minister Ravi Karunanayke returned to the House on the offensive, slamming the Auditor General for allegedly releasing the report to JVP Parliamentarian Bimal Ratnayake, despite COPE Chairman Sunil Handunetti clarifying at the start of proceedings that Ratnayake was given the report as he took over as COPE Chairman during a leave of absence by Handunetti.
Karunanyake was also supported by Prime Minister Ranil Wickremesinghe, who explained that the Central Bank was removed from the Finance Ministry purview to resolve “conflicts of interest” in fiscal discipline and budgetary oversight. “After several reminders, the Auditor General has delivered a set of volumes without a signed audit examination report. That information has also been delivered without using a closed official envelope, despite the sensitivity of information contained in the volume. Further, the examination requested has not been completed as yet.
In addition, he has stated that adequate time could not be spent for the examination due to the impatient and unethical reminders of the Minister of Finance, which leads to the breach of my privileges as a Minister,” Karunanyake said.
The Minister went onto describe the Auditor General as an “arrogant Government servant”, and insisted that despite being appointed by Parliament his responsibility was towards the Finance Minister as well.
“This has been committed by MP Bimal Ratnayaka during the debate. He said that there are officers with capacity and courage. That is true. Today we give that right to all officials, not only the Auditor General. We are revising the fact that democracy is reborn in the country. But that doesn’t mean that arrogant Government servants use power that is only in the hands of Parliament. The Auditor General is a creature of Parliament and answerable to Parliament, not to the general public that. These are matters of grave concern.”
The Auditor General was also faulted by the Finance Minister for simultaneously releasing the report to the Central Bank, as it contained sensitive information.
“This examination should contain information and find information strictly for my use, for the purpose of issuing new policies, for the issuance of government securities and for public debt management. The volumes contained a large pool of individual information and details of issuance of Government securities, which is highly market sensitive. A leak of information will adversely affect Government securities in raising funds for the budgetary requirement. This will raise the cost of borrowing. As I mentioned before, even in the past there have been a couple of officials at the Central Bank employed by the former Government. They are doing activities detrimental to the Government and it is a hand in glove situation.”
The JVP was joined by the Joint Opposition to vociferously defend the Auditor General’s action, arguing that it was done in the interests of transparency and public interest. The latter also questioned why the Government had not fulfilled its pledge to gazette the Auditor Commission in early January, which would strengthen the powers of the Auditor General and provide him with more clout. They also criticised the Finance Minister’s attempts to use a letter issued in 2004 to prevent the Auditor General releasing information to the House.
“The Bill has been drafted and the Finance Ministry is going through it. Maybe the Auditor General and the Finance Minister can get together and discuss it,” quipped the Prime Minister, noting that the Auditor Commission Bill would then be presented to Parliament.
“UNP members of COPE have never pressured the Auditor General. I have not received any complaints. We were the ones who asked that from this report, which contains bond transactions since 2008, the 2015 transactions be looked into first. We could have easily ensured it began in 2008,” said Wickremesinghe, rejecting accusations that the Government was attempting to prevent an investigation into the bond scam.
Wickremesinghe described the two volumes of the report by the Auditor General as being “not much helpful” to the investigation.
“I have discussed this matter with the Speaker, who has discussed with the Auditor General. He as agreed to avoid mentioning classified information. The report contained two volumes, the first was about the issues in the method. Anyway, no classified information was required to find the present information and he was able to present the report without classified information.”
UNP-SLFP hand in glove on corruption: Opposition Leader
- Sampanthan warns of nexus between corruption and dictatorship, termination of democracy
- “People are getting sick of all of you,” Opposition Leader tells UNP and SLFP
When it comes to corruption, the country’s two main political parties are hand in glove, Opposition Leader Rajavarothiam Sampanthan told Parliament on Tuesday, as he issued a fiery warning that corruption could pave the way for dictatorship and the termination of democracy.
Speaking at the adjournment debate on the COPE report on the alleged Central Bank bond scam, the 84-year-old Leader of the Opposition said neither of the two main parties had made honest endeavours to bring an end to corruption, and accused the UNP and the SLFP of colluding and protecting each other on corruption issues.
“The people are sick of this, they are sick of all of you. They believe you must be packed off and maybe they would prefer a dictator to take over,” Sampanthan asserted, in a clear and concise eight-minute speech.
The veteran Tamil politician reminded the House that nepotism and dictatorship have been preceded in many countries by rampant corruption. “Rampant corruption has been the main cause of dictatorship taking hold in many countries, and democracy being terminated,” he warned.
Sri Lanka had flirted with just such a scenario in 2015, but the people had prevented the erosion, the Opposition Leader explained.
Accusing the National Unity Government of failing to bring corrupt to book, Sampanthan said the country needed to know why no persons of the former regime had been charged in a court of law when so many allegations of corruption were being leveled against them.
“Is it because you are protecting them? Or because your charges are so flimsy that you can’t substantiate them in court?” he charged.
“This country is sinking under the charges of corruption, both against the UNP and the SLFP,” Sampanthan asserted.
The Opposition Leader also urged the Government to bring culprits in the 2015 bond scam to book. “Nobody should be spared. The truth must be ascertained.” Sampanthan pressed.
He urged the Government to appoint an “upright independent” commission of inquiry to go into the transaction and reveal the truth to the country.
“This money belongs to the poor people of this country. You have no right to swindle the people of this country in this way,” Sampanthan charged.
Speaking at the adjournment debate on the COPE report on the alleged Central Bank bond scam, the 84-year-old Leader of the Opposition said neither of the two main parties had made honest endeavours to bring an end to corruption, and accused the UNP and the SLFP of colluding and protecting each other on corruption issues.
“The people are sick of this, they are sick of all of you. They believe you must be packed off and maybe they would prefer a dictator to take over,” Sampanthan asserted, in a clear and concise eight-minute speech.
The veteran Tamil politician reminded the House that nepotism and dictatorship have been preceded in many countries by rampant corruption. “Rampant corruption has been the main cause of dictatorship taking hold in many countries, and democracy being terminated,” he warned.
Sri Lanka had flirted with just such a scenario in 2015, but the people had prevented the erosion, the Opposition Leader explained.
Accusing the National Unity Government of failing to bring corrupt to book, Sampanthan said the country needed to know why no persons of the former regime had been charged in a court of law when so many allegations of corruption were being leveled against them.
“Is it because you are protecting them? Or because your charges are so flimsy that you can’t substantiate them in court?” he charged.
“This country is sinking under the charges of corruption, both against the UNP and the SLFP,” Sampanthan asserted.
The Opposition Leader also urged the Government to bring culprits in the 2015 bond scam to book. “Nobody should be spared. The truth must be ascertained.” Sampanthan pressed.
He urged the Government to appoint an “upright independent” commission of inquiry to go into the transaction and reveal the truth to the country.
“This money belongs to the poor people of this country. You have no right to swindle the people of this country in this way,” Sampanthan charged.
