Eran questions COPE’s purpose if it cannot take punitive actions against fraud and corruption

Main Opposition Samagi Jana Balawegaya (SJB) MP Eran Wickramaratne on Friday questioned the purpose of the Committee on Public Enterprise (COPE) if it cannot take punitive action against frauds and corruption in State-owned entities.

Speaking on the debate on COPE report in Parliament, Wickramaratne expressed his dismay and said it was unfortunate that the COPE committee appointed by Parliament to investigate the embezzlement of hundreds of thousands of rupees in State institutions had not even the power to prosecute thieves and fraudsters.

He said the country needed a methodology to punish the thieves and fraudsters if the country is to be built, regardless of who is in power.

“Is there any outcome of the probe conducted by the COPE with the hard work of its Chair and the members belonging to both sides in Parliament? Is creating awareness among the general public the only task of the COPE? It is futile to run the COPE without the power to prosecute those who steal and defraud public funds. 

“This has been the situation for a long time, no matter which Government is in power. Officials of the Auditor General's Department are also working hard to find out about frauds and corruption in the State administration,” the SJB MP lamented, if the Government agencies that are being investigated in the COPE report continue to run at a loss, it would be a burden on the taxpayers. He emphasised that since the pressure of corruption in State institutions is on the people, it is imperative that the corrupt be punished, regardless of which party is in power.

“There are reports of corruption, theft and fraud. They are only discussed in the COPE. What is the benefit to the people of the country? In order to eradicate theft and fraud, a system of prosecuting fraud once it is exposed is essential. Otherwise, the COPE actions are only fruitless endeavours.”

Drawing the attention of the Government, Wickramaratne elaborated on two specific incidences of fraud where the culprits were sentenced by overseas judiciaries.

In 2013, Airbus engaged a wife of a person concerned with the purchase of aircraft for SriLankan Airlines through an intermediary company, and pursuant to that engagement, Airbus company had offered up to $ 16.84 million to the said intermediary company to influence SriLankan Airlines to purchase 10 aircraft and four more on a lease basis. In fact, $ 2 million had been paid at that particular time. The judgment mentioned that the seriousness of the criminality in this case has been acknowledged by all sides.

It was proven in the Southwark High Courts in Great Britain in the case between the Director of Serious Frauds Office and Airbus where the judgment pronounced on 31 January 2020 said Airbus and SriLankan Airlines had committed a major fraud. 

When interrupted by Agriculture Minister Mahindananda Aluthgamage, SJB MP challenged the Government to take legal action if any politicians of the Yahapalana Government was involved in the fraud connected with the Airbus deal if the Government is against corruption and fraud.

Wickramaratne said in another court case in America, Imaad Shah Zuberi was sentenced to pay a hefty fine for defrauding Sri Lanka with $ 650 million paid by the CBSL ostensibly for an image-building contract without any formal approval from the Cabinet of Ministers. There is no evidence to prove whether such a contract existed between the two parties. 

“All these are proven cases, but what has the Sri Lankan Government done about this?” 

He said that “while the rest of the world is bringing Sri Lankan criminals to justice, our governments and the COPE are filing complaints, with no final investigation or justice.”

He further said these are beyond individuals and it is the responsibility of the Government in power to investigate the matters and take punitive actions.

“The Government is silent. Is this what the COPE is for? When we question these things in Parliament, the Government blames us saying we are engaged in a political mudslinging campaign. Politicians take refuge under this by politicising the issues without bringing the culprits to justice.

“So what are the consequences of highlighting this type of large-scale white-collar crimes by influential people in Sri Lanka? What is the point in COPE deliberating on these crimes and frauds if there is no punishment on those who robbed public money in daylight robbery?” Wickramaratne retorted.