The recent scandals involving sugar and coconut oil should point the country to the dangers of private sector mafias and rent seekers. These are not your typical consumer goods: they are fast moving necessities, consumed by every class, from every income level.
In the hands of racketeers and rent seekers, ensuring the most rudimentary health and safety checks for such necessities seems to have taken a backseat to profiteering off them. While it is unfair to take the government to task over such failings, it is the government that has the final discretion in rectifying those failings.
And yet, the question can (validly) be raised whether public perceptions of these scandals reflect what’s really going on. For obvious reasons, it is the government that’s accused of being complicit with and profiteering from alliances with dubious interests in the sugar and coconut oil import mafia. Such allegations, for me at least, limit these scandals to two frames: the present government and t
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Colombo (News 1st); The government continues to maintain that a scam did not take place when importing sugar to the country, Chairman of the Committee on Public Finance Anura Priyadarshana Yapa told reporters on Wednesday (17).
“The import tax on multiple commodities including sugar was reduced to 25 cents in October 2020, and it remains unchanged because the government wants a considerable period to reduce prices,” he said.
If the tax which was reduced to 25 cents was increased to Rs. 50/- within a short period, then one can assume a scam had taken place, however, that is not the case, said Anura Priyadarshana Yapa.
First the Sugar Scam, and now the Coconut Oil Scam; Alleges Activist
First the Sugar Scam, and now the Coconut Oil Scam; Alleges Activist
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Colombo (News 1st); Activists have alleged a scam had taken place when importing coconut oil to Sri Lanka.
Attorney-at-Law Inoka Hettiarachchi from a rights movement alleged in July 2020 coconut oil imports to Sri Lanka had increased by 278% and Pyramid Wilmar Pvt Ltd had imported coconut oil in large volumes during that period.
She also alleged that Pyramid Wilmar Pvt Ltd had made massive profits from the Sugar Scam, while the state lost tax revenue.
Bitter tussle over sweet substance dailynews.lk - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from dailynews.lk Daily Mail and Mail on Sunday newspapers.
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Colombo (News 1st); The scam related to the importation of sugar to Sri Lanka, which is widely known as the Sugar Scam is similar to the Central Bank Treasury Scam, which involved insider information and causing losses to the state.
INSIDER INFORMATION
In the Treasury Bond Scam, Perpetual Treasuries Limited, a primary dealer company owned by Arjun Aloysius benefited from Insider Information given by then Governor of CBSL Arjuna Mahendra, who is also the Father-in-Law of Aloysius.
The report of the Presidential Commission of Inquiry revealed the Insider Information related to the number of bonds that were to be accepted as well as other key price-sensitive information.