No more takeovers!

Friday, 18 November 2011 00:35 - - {{hitsCtrl.values.hits}}

The Government yesterday categorically stated that it has no intent of acquiring any business enterprises under the provisions of the Revival of Underperforming Enterprises and Underutilised Assets Act, passed by Parliament last week, other than those stated in the schedule to this act.

“Media reports that the Government is looking at using the same legislation to acquire more businesses and properties is wholly untrue and without foundation,” a statement issued by the President's Office said.

It said the act was passed by Parliament with an overwhelming majority after the Supreme Court ruled that the provisions of related bill submitted for its ruling was in keeping with Constitution. The said bill and the subsequent act passed by Parliament had a clear schedule, which stipulated the business ventures that were found to be underperforming and/or having underutilised assets provided by the State, and was clearly and strictly limited to those business ventures and related properties.

“It is regretted that some sections of the media have reported untrue and unverified material regarding alleged moves by the Government to acquire any more business ventures or properties under this legislation. Such reports appear to be aimed at creating uncertainty and doubts among the investors, both in Sri Lanka and abroad, which will in turn have an adverse impact on the national economy. They also appear to have a political motivation, in resorting to unsubstantiated speculation, in the period immediately preceding the presentation of the National Budget for 2012 next week,” the statement from the Presidential Secretariat said.

“As presented to the Supreme Court and stated to Parliament, the provisions of the said legislation remain confined to the business ventures and properties stated in the act, and to none other,” it added.