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RDA rejects China Harbour’s Rs. 7.9 bn. claim over Southern Expressway dispute

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Setting the stage for a possible legal battle, the Road Development Authority (RDA) has rejected a renewed claim from China Harbour Engineering Corporation (CHEC) for billions of rupees “in outstanding dues” for building the Southern Expressway’s Kottawa-Dodangoda section, which was opened more than 15 years ago.

CHEC has sent the RDA a letter of demand for Rs. 7.91bn, which it insists are unpaid monies for the 35km stretch inaugurated in 2011, authoritative sources said. The disbursement deadline was given as March 31, 2025.

However, the RDA’s Director (Legal) wrote back to the CHEC earlier this month rejecting the request on the basis that there were no dues owed. The Authority will now apprise President Anura Kumara Dissanayake of the protracted dispute and call for a criminal investigation, the sources said.

But the RDA could face hurdles. In 2024—just weeks before the presidential election—the Cabinet had hurriedly sanctioned the payment to CHEC. Eleven days later, a settlement agreement was signed between then Highways Ministry Secretary Ranjith Rubasinghe (also Acting RDA Chairman) and the Chinese party.

The Japan Bank for International Cooperation (JBIC) funded the Kottawa-Dodangoda section. CHEC was the contractor, while the engineers were the Tokyo-headquartered Oriental Consultants Co. Ltd. (OCCL).

In 2011, a dispute broke out between CHEC and OCCL, with the Chinese company demanding payment for work that the consultant said had not been certified. The claim was denied at least three times—not only by OCCL but also the project office that held it was “not justified”. Additionally, there was wide opposition to it within the RDA.

CHEC did not follow standard contract administration procedures, the sources pointed out. For instance, it failed to take its case to the dispute adjudication board (DAB) within 28 days. Had the company been unhappy with the DAB decision, an amicable settlement could have been reached. The final step was arbitration.

Instead of all this, CHEC kept its claim alive for 12 years and engaged in direct negotiations in what critics said was “a shortcut”.

In 2014, a committee appointed by the Highways Ministry’s then Secretary, R.W.R. Premasiri, recommended the payment, but this was not followed through. Amidst continued pressure from CHEC, another Highways Ministry Secretary, M.M.P.K. Mayadunne, appointed a new committee, which suggested in 2023 that the claim be settled based on the previous committee’s recommendation.

This report was forwarded to then-President Ranil Wickremesinghe’s Cabinet, and, after receipt of the Attorney General’s instructions, the payment was approved. Subsequently, at least two complaints were filed with the Commission to Investigate Allegations of Bribery and Corruption, citing the settlement agreement.

(sundaytimes.lk)

(Except for the headline, this story, originally published by sundaytimes.lk has not been edited by SLM staff)

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UN Rights chief türk to visit Sri Lanka this month

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The United Nations Human Rights High Commissioner Volker Türk will visit
Sri Lanka this month or early July, a Foreign Ministry source confirmed. No dates have been finalised for the visit, though the government has agreed to the visit by Mr. Turk.

It’ll be the first time in nine years that a UN Human Rights Commissioner will be visiting Sri Lanka, the last being Zeid Ra’ad Al Hussein in February 2016 during Maithripala Sirisena’s presidencyMr. Turk, an Austrian national who took up his duties in October 2022, will visit at a time the government grapples with how it will address human rights concerns raised by the international

community.

In his report to the UN body in August last year, just ahead of
Sri Lanka’s presidential and parliamentary elections, Mr. Turk said the newly elected government should recommit to addressing the root causes of conflict and undertake fundamental constitutional and institutional reforms to address the accountability gap and work towards reconciliation.

These include the immediate moratorium on the Prevention of Terrorism Act and assurances that any replacement legislation is consistent with international human rights law, repeals or amends existing laws or proposed laws that unduly restrict the rights to freedom of opinion and expression, association, and peaceful assembly, including the Online Safety Act and the ICCPR Act.

Mr. Turk’s predecessor Michelle Bachelet requested a visit to
Sri Lanka, but the matter was put under consideration, and the visit did not materialise.

The Office of the High Commissioner for Human Rights (OHCHR) set up the Sri Lanka accountability project, an external evidence-gathering mechanism within the OHCHR, during Ms Bachelet’s period in office, a move strongly opposed by the government.

The OHCHR says that as of July 5, 2024, the repository established within the framework of the OHCHR project comprises 96,215 items and contains information from more than 470 different sources (more than 220 witnesses and 250 organisations), including international and multilateral organisations.

Foreign Minister Vijitha Herath, who addressed the high-level segment of the UNHRC in March this year, rejected the OHCHR Sri Lanka project and outlined government plans for a credible and sound domestic process to address accountability issues in the country.

“We will ensure that the domestic mechanisms and processes established to address challenges emanating from the conflict will continue their work in an independent and credible manner within the constitutional framework,” the minister told the UNHRC.

Despite a visit by the Human Rights Commissioner, the government will remain opposed to any international legal options to advance accountability in Sri Lanka and maintain that there are adequate domestic mechanisms to address accountability issues.

(sundaytimes.lk)

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Trade unionist Ranjan Jayalal takes helm as Kaduwela Mayor

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Prominent trade union leader Ranjan Jayalal has officially been appointed as the new Mayor of the Kaduwela Municipal Council.

Jayalal, a key member of the Ceylon Electricity Board Employees’ Union and a strong advocate for labor rights, was nominated by the National People’s Power (NPP) following their recent victory at the local government elections.

His appointment was formally confirmed through the government gazette issued by the Election Commission on May 31.

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Sri Lanka must take practical steps to join BRICS – Russian Ambassador

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If Sri Lanka is interested in joining the BRICS alliance, the country must take practical steps, says the Russian Ambassador to Sri Lanka, Levan S. Jagaryan.

Speaking during an event at the Bandaranaike International Centre for International Studies in Colombo, Ambassador Levan S. Jagaryan said Russia and China have been offering support to Sri Lanka, but he has not seen adequate interests from the Sri Lankan side.

Responding to a question raised by a journalist about Sri Lanka joining BRICS, the Russian Ambassador to Sri Lanka said, he has been questioned about the matter on several occasions.

Ambassador Levan S. Jagaryan said, “Last October, on the 1st, I met with President Anura Kumar Dissanayake and brought with me an invitation letter from the President of Russia, inviting Sri Lanka to participate in the BRICS summit. I spoke with a language interpreter, but I don’t know if the translation was accurate. The President told me that due to the upcoming general elections, he wouldn’t be able to visit Russia. If Sri Lanka is to join BRICS, it’s not just a matter of Russia; all the member countries need to agree, and there are several steps to take before that happens.”

Russian Ambassador to Sri Lanka Jagaryan stated that he has not seen much interest at the moment and therefore requested Sri Lanka to take some practical steps, if it is serious about joining BRICS.

(adaderana.lk)
(This story, originally published by adaderana.lk has not been edited by SLM staff)

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