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US wants SL Bondholder lawsuit be put on hold

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The US Government has said a bondholder’s lawsuit filed against Sri Lanka over its historic debt default should be put on hold.

In a statement of interest filed yesterday (2) in New York Federal Court, the US backed the Sri Lankan Government’s request to delay a lawsuit by Hamilton Reserve Bank Ltd. seeking full payment and accrued interest on more than USD 250 million in bonds that came due in July 2022.

The US said the delay would help with ongoing restructuring talks between Sri Lanka and other creditors.

Sri Lanka fell into default in May 2022 after the expiration of a 30-day grace period for missed interest payments on two of its sovereign bonds, the first debt default by the country since it gained independence in 1948. Hamilton Bank sued Sri Lanka in July 2022.

Sri Lanka in July asked US District Judge Denise Cote to put the case on hold for six months. Cote had put her decision on hold until the US decided whether or not to file a statement of interest. 

The French and UK Governments previously asked the court to put the suit on hold.

The two countries said in a Sept. 6 letter that they were writing as members of the Paris Club, an informal group of official creditors that help coordinate repayments for struggling debtor nations.

They said delaying the case was “key to ensuring the success of the International Monetary Fund (IMF) supported assistance programme” for the nation.

Sri Lanka recently announced the completion of its local debt restructuring plan and is now engaging with other holders of Sri Lanka’s foreign debt, including China and India.

Hamilton Reserve has opposed the bid to postpone the proceedings, saying that putting them on hold “would be both contrary to US policy interests and an exercise in futility.”

The case is Hamilton Reserve Bank v. Sri Lanka, 22-cv-5199, US District Court, Southern District of New York (Manhattan).

(Bloomberg)

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4 students arrested over Kuliyapitiya ragging incident, remanded

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Three male senior students and one female student, who were arrested the attempted suicide of a first-year student at the Kuliyapitiya Technical College, have been remanded until June 16.

The remand order was issued after they were produced before the Kuliyapitiya Magistrate’s Court today (June 04).

On June 02, the first year female student pursuing a Higher National Diploma in Agricultural Production Technology, had jumped into a lake near the campus. However, she was rescued by several persons nearby and was hospitalised.

Police investigations have revealed that the student attempted to take her own life due to a ragging incident.

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11 dead in stampede as RCB’s celebratory moment turns to tragedy

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The frenzied celebration in Bengaluru over RCB winning the IPL after 18 long years took a tragic turn with at least 11 people feared dead in a stampede.

The chaos began after a crowd gathered near M Chinnaswamy Stadium for a felicitation of the team held by the Karnataka State Cricket Association (KSCA).

Visuals showed police shifting injured and unconscious people to a nearby hospital. Many people who came to watch the celebrations fainted amid the stampede, eyewitnesses said.

Karnataka Deputy Chief Minister DK Shivakumar said the crowd was “uncontrollable”.

“I apologise for the overcrowding,” Mr Shivakumar said. “We arranged more than 5,000 personnel. This is a young vibrant crowd, we can’t use lathi on them.”

The scenes at some Bengaluru Metro stations near the stadium also showed huge crowds coming out of trains and taking the stairs.

At the nearby Bowring Hospital, ambulances carrying injured people continued to arrive, drop them, and head back again to the stadium.

People were seen climbing trees and sitting on branches to catch a glimpse of the celebration. The Karnataka government had cancelled a victory parade from Vidhana Soudha to the stadium, citing security reasons.

The police said they have been controlling the celebrating crowds since Tuesday night. Throughout the night, the police have been engaged in managing them and ensuring no untoward incidents occurred, news agency IANS reported.

Huge crowds also turned up on the Vidhana Soudha premises to see the felicitation programme of the RCB by the government.

Mr Shivakumar greeted the RCB team after they landed in Bengaluru on Wednesday. He presented bouquets to each player and especially greeted Virat Kohli, presenting him with both the RCB team flag and the Kannada flag.

(NDTV)

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Circular on face masks, withdrawn

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The circular issued by the Western Provincial Council encouraging mask use due to increased respiratory illnesses, including influenza and COVID-19 variants, has been withdrawn.

According to the Western Province Chief Secretary’s office, withdrawal had taken place after a wrong interpretation of the letter had circulated on social media.

The Western Province Chief Secretary said the circular was issued only for the employees of the Western Province Ministries and departments housed at the Western Provincial Council building and not for all workers of the government sector.

In a letter to the Western Province Chief Secretary, Dr. Jasinghe stressed that any such advisories should be issued solely based on health ministry guidance to avoid public panic and ensure consistency in health messaging.

He had explained that following the end of the COVID-19 global pandemic in mid-2023, the virus has been categorized under standard respiratory disease surveillance, alongside influenza. While respiratory illnesses may rise during the rainy season, existing public health strategies are sufficient, and COVID-19 no longer constitutes a special risk that warrants exceptional precautions.

Dr. Jasinghe further cautioned that issuing broad face mask mandates without Health Ministry consultation could lead to unnecessary public anxiety and disrupt normal operations. However, he noted that individuals are free to wear masks voluntarily or based on medical advice for personal protection.

Additionally, the Ministry does not support restricting individuals with mild symptoms like colds or coughs from attending work. Instead, it encourages those with symptoms to practice good hygiene and wear masks to protect others.

The Sinhala media release of the clarification by issued by the Ministry of Health in this regard, is as follows :

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