The Committee on Public Finance (COPF), chaired by Dr. Harsha de Silva, has released a critical report revealing major discrepancies in the procurement process and agreement with the Consortium comprising GBS Technology Services, IVS Global-FZCO, and VF Worldwide Holdings Ltd. The Committee’s findings highlight significant concerns and recommend urgent corrective actions.
Key Findings:
Uncompetitive Procurement Process:
The Consortium was appointed without a competitive bidding process, preventing the Department of Immigration and Emigration (DOIE) from securing the best value for money.
Proposals were submitted before finalising the System Specification Requirement (SSR), raising concerns on procedural integrity.
Critical Issues Identified:
Unclear Fee Structure: Lack of transparency in fee components, including discrepancies in service fees and convenience fees.
Data Breach and Termination: A significant data breach was reported by a major travel vlogger in May 2024 potentially triggering a termination clause.
Conflicting Exclusivity: The exclusivity granted to the Consortium contradicts the presence of existing service providers and the recommendation by the evaluation committee.
Uninvested Funds: The USD 200 million investment promised to Cabinet remains uninvested and not mentioned anywhere in the agreement.
Terminated Service Provider: Mobitel, the previous ETA service provider since 2012, submitted multiple proposals for system improvements and a comprehensive proposal for new services was overlooked.
Recommendations:
Comprehensive Forensic Audit: The COPF recommends that the Auditor General undertake a comprehensive forensic audit of the entire procurement process. This audit should be completed at the earliest opportunity to serve as the foundation for necessary actions, which could include abrogating or amending the Consortium Outsourcing Agreement.
Data Protection Measures: The COPF urges the Ministry of Public Security (MOPS), DOIE, and the Sri Lankan Data Protection Authority to review the KPMG report and take immediate and decisive actions to ensure the complete security and protection of all data handled through the ETA application process.
Dr. Harsha de Silva, Chairman of COPF, stated, “The absence of a competitive bidding process in the procurement of online visa services has likely resulted in an agreement that does not provide the best value for money. Our findings call for immediate action by the Auditor General to address these critical issues and ensure transparency and accountability, which could even mean abrogation of this agreement.”
The Chinese embassy in Colombo reached another step in providing scholarships for children from low-income families.
Accordingly, Chinese Ambassador Scholarships for 100 students at the Badulla Keppitipola Maha Vidyalaya (National School) was handed over on Nov. 01, with the embassy pledging Rs. 2.5 million for the cause.
Speaking at the event, Chinese Ambassador – Mr. Qi Zhenhong said that the scholarship programme, which began in 2016, is now active in over 20 schools across Sri Lanka.
Noting that China donated 70% of the required school uniform material for Sri Lankan students in 2023, and 80% in 2024, the ambassador said that they hope to provide the full requirement of school uniform materiel for the 2025 academic year.
“In the 2025 academic year, we will donate 100% of the fabric for school uniforms, totaling 11.82 million meters, worth approximately 5.2 billion rupees, which will be shipped to Colombo in three batches before the end of this year,” he said.
The ambassador added : “In addition, the Chinese government, local governments, and non-governmental organizations have donated schoolbags, stationery, and other learning materials to thousands of students in remote areas, and plan to build 900 smart classrooms in 500 schools across Sri Lanka in the next few years, benefiting over 1 million students.”
Ambassador Qi expressed that China is not only a true friend but also a reliable partner of Sri Lanka, which is moving towards a new era under the strong leadership of current President Anura Kumara Dissanayake.
Embassy staff, Uva Province Education officials as well as students, staff and alumni of the school attended the event.
Shashi Prabha Ratwatte, the wife of former State Minister Lohan Ratwatte, has been arrested and remanded after appearing before the Nugegoda Magistrate’s Court.
She was arrested over the discovery of an unregistered car found at her house in Mirihana.
The Nugegoda Magistrate has ordered her to be held in remand custody until Nov. 07.
Her husband, Lohan Ratwatte, too is currently remanded.