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CoPF urges tax on companies earning super gains due to ‘Midnight Gazette’

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The Committee on Public Finance (CoPF) issued a directive to Ministry of Finance officials, instructing them to impose income tax on companies that exploited the ‘midnight gazette’ to make significant profits, which CoPF refers to as ‘super gains,’ in order to compensate for lost revenue. 

The Committee also tasked officials with developing and implementing mechanisms to collect these taxes or providing detailed explanations if they are unable to do so, along with proposing remedial actions to prevent such incidents in the future.

The seriousness of the situation became evident when CoPF obtained essential data related to sugar imports for the past three months from the Department of Customs. CoPF questioned Ministry of Finance officials about the suspicious timing of this tax increase and the surge in sugar imports by certain companies just before the tax hike.

In response, Ministry of Finance officials stated that the tax increase was part of the fiscal-based revenue consolidation program linked to an IMF initiative. Furthermore, they highlighted that the sudden increase in sugar imports was a seasonal occurrence. In light of these claims, the Committee insisted on a comprehensive comparative analysis of previous years to verify these assertions.

The Committee sounded the alarm about specific companies importing unusually large quantities of sugar without concrete evidence supporting the necessity for such massive imports. For example, a company that typically imported 2,000 metric tons of sugar monthly inexplicably imported 10,000 metric tons in October, just before the tax increase, reaping substantial gains as the tax jumped 200-fold from 25 cents to 50 rupees.

Chairman Dr. Harsha de Silva stressed the importance of ending the use of ‘midnight gazettes’ related to special commodity levies. These practices provide the Minister of Finance with unchecked authority to change tax rates or grant tax exemptions to specific companies. This concern aligns with the recommendations made by the IMF in their Governance Diagnostic Report, urging Sri Lanka to eliminate ‘midnight gazettes’ due to their potential for fostering corruption.

State Minister Dr.Suren Raghavan as well as Members of Parliament M. A. Sumanthiran, Patali Champika Ranawaka, Nimal Lanza and Isuru Dodangoda, were present at the Committee meeting held.

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President departs for official visit to Germany

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President Anura Kumara Disanayake left the country earlier tonight (June 10) from Bandaranaike International Airport on an official visit to the Federal Republic of Germany.

The visit, scheduled from June 11 to 13, 2025, is being carried out at the invitation of German President Mr, Frank-Walter Steinmeier.

During the visit, President Disanayake is expected to hold bilateral discussions with the President of Germany, the Chancellor, key Federal Ministers and other senior government leaders. These discussions will focus on strengthening cooperation between the two countries, particularly in priority areas such as trade, the digital economy, investment and vocational training opportunities.

President Disanayake will Chair a Business Forum, organised by the German Chamber of Commerce and Industry, where he will highlight Sri Lanka’s on-going economic transformation, emerging investment opportunities, growth potential and prospects for expanding bilateral trade relations.

In addition, the President is scheduled to meet with representatives from Germany’s Tourism and Travel Industry Associations as well as members of the Sri Lankan community residing in Germany.

President Anura Kumara Disanayake is accompanied by Minister of Foreign Affairs, Foreign Employment and Tourism, Vijitha Herath, along with a delegation of senior government officials.

(President’s Media Division)

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Arrested Prisons Chief, remanded (Update)

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Suspended Commissioner General of Prisons – Thushara Upuldeniya, who was arrested by the Criminal Investigation Department (CID) yesterday (June 09) has been remanded until tomorrow (June 11).

The order was issued by Colombo Additional Magistrate Manjula Rathnayake after rejecting a bail application.

The Additional Magistrate had pointed out that the bail request could not be considered at this stage as investigations are still ongoing.


(Previous news 2025 June 10 – 7.09.a.m.)

Prisons Chief Thushara Upuldeniya before Colombo Magistrate’s Court today

The Commissioner General of Prisons Thushara Upuldeniya was arrested yesterday (June 9) over explosive allegations of illegally granting a presidential pardon to a high-profile inmate and is set to appear before Colombo Magistrate’s Court today.

The Criminal Investigation Department (CID) took Upuldeniya into custody following a probe into claims that he abused presidential pardon powers to secure the early release of a prisoner under questionable circumstances.

A police spokesperson confirmed the arrest, stating that Upuldeniya had been questioned for three straight days before being detained. Investigators allege he bypassed legal protocols in facilitating the inmate’s release.

In a dramatic late-night development, the Cabinet—chaired by the President—moved swiftly to suspend Upuldeniya, citing concerns that his continued role could obstruct justice. “This decision ensures investigations remain impartial,” an official statement noted.

Nishan Dhanasinghe, Additional Secretary of the Judicial Ministry’s Prisons Division, has been named acting Commissioner General amid the unfolding scandal.

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SL embassy in Japan holds mobile consular service in Ashikaga (Pics)

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The Embassy of Sri Lanka in Japan recently conducted a mobile consular service in Ashikaga, Tochigi Prefecture, to serve the Sri Lankan community residing in the region. 

During the program, officials from the Embassy accepted passport applications and updated driver’s licenses while providing other essential consular services such as affidavit issuance and passport endorsements. A large number of Sri Lankans were provided such services.
The consular service coincided with the “Vesak Kalapaya” organized by the Ohana Association in Tochigi to mark the Vesak and Poson Poya celebrations. Over 600 beautifully decorated Vesak lanterns were lit, creating a vibrant and spiritual atmosphere that welcomed both Japanese and Sri Lankans to experience the festivities.

An art competition was also held as part of the celebration. Winning children—both Japanese and Sri Lankan—were presented with school bags in recognition of their creativity and participation.

The Most Venerable Mawathare Chandima Thero, the Chief Incumbent of the Tochigi Paramita Meditation Center, and the Most Venerable Narawila Wijayawansa Thero, the Chief Incumbent of the Saithama Kumagaya Anandameth Viharaya, and the Maha Sangha participated in the religious ceremonies on that occasion.

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