June 9, 2009 (LBO) – A left-oriented politician who has successfully returned a large insurer back into state hands through court action says there about 40 other privatizations that need to be re-examined.
Sri Lanka’s Supreme Court, in reversing the deal said it was illegal as proper procedure had not been followed and the transaction was also incomplete as a final payment was in dispute.
Court said the six billion rupees, and profits earned during the period should be returned to the buyer, a part of the listed Distilleries Corporation of Sri Lanka’s Stassens group.
Nanayakkara, assisted by Nihal Sri Amerasekera, another activist, had also successfully sued in the Supreme Court to partially reverse a deal involving the privatization of a bunker firm to John Keells Holdings and reversed a tax holiday.
“There is a list of 40 transactions where there are corrupt reasons (dooshiter hethu),” Vasudeva Nanayakkara, a left-oriented politician who filed the main plaint that resulted in Sri Lanka Insurance Corporation being taken back to the state, said.
“Action can be filed in regard to at least a few of them.”
But Nanayakkara said resources had to be found and also more information a