Sri Lanka struggling to revive 23 busted state firms: report

Nov 14, 2011 (LBO) – Sri Lanka is struggling to revive 23 troubled state enterprises, with salaries being paid with people’s tax money and hundreds of million rupees more to be paid as voluntary retirement compensation, a media report said. Other troubled state firms awaiting revival included Lanka Mineral Sands; Lanka Phosphate Ltd; Paranthan Chemical Co Ltd; Lanka Handicrafts Board; JEDB, SLSPC, Elkaduwa Plantations Co Ltd; BCC Lanka Ltd, Sri Lanka Cement Corporation; Lanka Cement Ltd, Kantale Sugar, Ceylon Ceramics Corporation, National Paper Co Ltd, Lanka Salusala Ltd, Lanka Fabrics Ltd, Lanka Sack Makers Ltd, Vanni Tiles Ltd, Department of Small Industries, Werahara Engineering Services Company and Kahagolla Engineering Services Company.

The Treasury gives 14.3 million rupees a month per month to pay salaries of workers of the Ceramics Corporation, Kantale Sugar and the Embilipitiya Mill and The RMEC is now defunct, the newspaper said, citing an un-named government source.

The Treasury will also use 493 million rupees collected from people’s taxes to compensate 822 employees in four defunct entities.

Meanwhile a brand new state enterprise company called State Resources Management Corporation Limited had been to handle the u