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Govt. forced to look for alternatives to meet mounting defence expenditure
Tea for oil talks with Iraq

Govt. forced to look for alternatives to meet mounting defence expenditure
Tea for oil talks with Iraq
by Shamindra Ferdinando

A high level Sri Lankan delegation has arrived in Baghdad to explore the possibility of bartering tea with oil, an authoritative government spokesperson told ‘The Island’ yesterday. "We have indicated our desire to exchange tea for Iraqi oil," he said adding that talks have been initiated in this regard.

The delegation, the first to visit Baghdad since the 1990 war between Iraq and US led multi-national forces is led by Internal and External Trade, Commerce and Food Minister Kingsley T. Wickramaratne comprised Tea Board Chairman Clifford Ratwatte, Commerce Department Deputy Director Kulathunga Perera, Central Bank’s Chief Accountant, M. B. Dissanayake and Petroleum Corporation’s Refinery Manager, D. Chandrasekera. The government has also included a six member private sector tea exporters delegation in the negotiations between the Sri Lankan and Iraqi government delegations. Messrs. T. Fernando, N. Ratwatte, J. P. Karunaratne, M. L. de Silva, M. E. P. Tennakoon and K. Jayewardene were members of the private sector tea exporters delegation, the spokesperson said.

Iraqi authorities have indicated their willingness to swap oil with tea, government sources said. Officials said that the delegation will also seek to improve relations with Iraqi government and the private sector with a view to winning the market when UN lifts the existing embargo and sanctions. The delegation was scheduled to meet Trade, Petroleum and Finance Ministers among others during a week long stay in Baghdad.

The delegation which left Colombo last Saturday had visited Amman, Jordan before reaching Baghdad. "We are also participating in an exhibition organised by Iraq," spokesperson said adding that Minister Wickramaratne and Iraqi Commerce and Food Minister Mohamed Sally were the chief guests on Monday [Nov. 2], the Sri Lanka Day.

"We are seeking to increase tea exports both to Jordan and Iraq," he said pointing out that existing UN embargo and economic sanctions imposed on Iraq since the 1990 war did not affect sale of tea or other essential food items.

"As consequence of the embargo and sanctions there were no significant developments in Sri Lanka-Iraq bilateral economic relations," the Foreign Ministry said in a review of bilateral relations during the 1994-1998 period. The Ministry says that Iraq was one the largest buyers of tea until 1990 and Iraq had been the largest buyer during the two years preceding the Gulf crisis. The Foreign Ministry has further described the Iraqi coverage of Sri Lankan affairs as balanced and impartial.

In view of the restrictions, Iraqis had been importing tea through Jordan.

Officials said that Sri Lanka intends to prepare the ground work for trade with Iraq as soon as the current embargo and sanction end.

Sri Lanka’s economy facing difficulties as a result of mounting defence expenditure will have to look for more international markets for products, sources said, adding that country’s tea industry affected by current economic crisis in Eastern Europe will have no alternative but to seek fresh deals with countries like Jordan and Iraq. The Sri Lankan delegation’s visit take place amidst Iraqi decision to halt cooperation with UN weapons inspectors and US, British and German threats to take military action. The 250 member Iraqi parliament last week voted in support of the order to end cooperation until the UN Security Council reviewed the lifting of sanctions and sacked Chairman of UN Special Commission [UNCOM] Richard Butler.

Government sources said that the arrangements were made for Minister Wickramaratne to lead the delegation well before the current crisis erupted. According to diplomatic sources Russia, France , China and many other countries wanted to consider lifting exports such as oil if Iraq complied with weapons demands.

"We have always had good relations with Iraq," sources said. In 1993 Sri Lanka sent a cultural troupe to participate in the Babylon festival, an annual event organised by the government. "We are keen to go ahead with efforts to win Iraq market as soon as the UN action comes to an end even in two years," sources said.


Govt.’s fifth Budget tomorrow

Minister of Justice, Constitutional Affairs, Ethnic Affairs and National Integration and Deputy Minister of Finance, Prof. G. L. Peiris will present to Parliament, the government’s budget for the year 1999 at 2.30 p.m. tomorrow.

The following seven days have been allocated for the debate on the Appropriation Bill, 1999: November 10, 11, 12, 13, 16, 17 and 18, 1998.

The committee stage discussions will commence on November 19 and will continue till mid-December.


Today’s debate in Parliament

The National Institute of Technical Education of Sri Lanka Bill presented by the Minister of Education and Higher Education Minister Richard Pathirana will be taken up for debate when Parliament meets at 9.30 a.m. today.

Party leaders have also agreed to pass without debate the Sigiriya Heritage Foundation Bill today. (WN)


Youth possessing 112 photos of nude women arrested
From Neminda Samarajeewa

A youth who had in his possession 112 photographs of nude women was arrested at Ahungalla last Monday.

The suspect, a resident of Polpothithalana, Ahungalla is alleged to have taken two women to a hotel in the area and taken their nude photographs. On a tip-off received, police took him into custody and found the pictures in his possession.

The suspect T. Gunasiri was produced before Elpitiya Magistrate F. R. Fernandopulle and remanded till November 11, 1998.


Commission recommends enhanced duty free allowances for Middle East returnees

Sri Lankan expatriates who return from a stint abroad are expected to be given a better deal in increased baggage allowances, together with a total review of the bonded warehouse system, now operated in the outstations by the Customs Department.

This is also expected to assist local manufacturers and assemblers of consumer durables to be able to sell their products on a duty free level at competitive rates with that of the imported product.

The final report of the Presidential Commission of Inquiry on Trade and Tariff has observed: ‘’a large number of Sri Lankans are employed in the Middle East and contribute substantially to the foreign exchange earnings of the country. Their significant contribution to the economy of this country, in our view, should wherever possible, be given due recognition by providing them with special facilities and assistance on their return home".

It is said that to enable outstation expatriates better facilities, private freight operators have opened bonded warehouses in Galle, Kandy and Kurunegala. However, these are located not in the central parts of these towns but in way-out places. Besides this, the private operators when they canvass for carriage of freight, promise free carriage when baggage arrives in Sri Lanka together with other services but expatriates have complained that for these services they have to pay considerably.

Expatriates say that it is costlier to bring the articles they want from abroad than buying it in the duty free complex in Colombo. The incidental costs levied by the freighter are comparatively high.

In the meantime, the commissioners have noticed that customs officials appointed to these outstation warehouses do not have much work or benefits as they would have in Colombo.

In respect of baggage allowances the Commission has recommended that persons with a stay abroad of less than ninety days be given an increased allowance of upto US$ 150 from the present $125. Other recommendations are as follows:

• Less than 90 days stay a duty free allowance be given up to $225 allowance from $ 187.50.

• Stay of 365 days allowance be increased from 500 Dollars to $ 600, or

• Duty free purchases from $ 625 to $ 900.

• Stay of over 365 days allowance be increased from $ 1000 to $ 1200 or duty free purchase to $ 1800,

• Stay of over 730 days be given an allowance of $ 1800 or duty free purchase of $ 2700.

The Commission has also recommended that should any person be apprehended on attempting to bring in commercial quantities of any item the rule which provides for the goods to be returned after payment of penalty be rescinded, so that, the goods will be forfeited. (ERIQ)


Tigers plan fresh attacks in city: Don’t give lodgings to outsiders warns IGP
By Norman Palihawadana

Inspector General of Police, Lucky Kodituwakku warned the public not to provide lodgings to any unknown people as there is information that the LTTE is planning to unleash a fresh bout of violence in Colombo.

This plan has come to light following the arrest of two Tiger activists in Colombo, the IGP told ‘The Island’ yesterday.

More details regarding these two Tigers cannot be divulged due to security reasons, he said.

Meanwhile, police investigations had revealed that the Tiger terrorist, ‘Thurairasa’ taken into custody by Trincomalee police a few months back was one who had aided and abetted the suicide bomber, Sinniah Ramanathan who exploded a bomb in a king coconut cart at Torrington Square, Colombo in front of the Chief Minister’s office on August 7, last year.


Health officials baffled by mystery disease striking factory girls in Koggala FTZ
By Namini Wijedasa

Occupational Health officials of the Labour Department have sent water samples from the Koggala Free Trade Zone (FTZ) for arsenic poisoning tests in yet another bid to determine the cause of the mystery disease that continues to strike factory girls in the zone.

Urine and blood samples from some of the patients are also to be tested while water samples are to be handed over to the National Building Research Organisation to determine drinking water standards.

Meanwhile, the Deputy Commissioner of Labour (Occupational Hygiene), Dr. W. R. De Alwis, left for the Koggala FTZ yesterday on the instructions of Labour Minister W. D. J. Seneviratne to carry out a thorough investigation into the mysterious illness. This is consequent to a meeting held at the Labour Ministry on Monday with the participation of experts from the Epidemiology Unit, officials of the Board of Investment and the two factories so far hit by the illness as well as medical officers from the Galle district. Minister of Education and Higher Education, Richard Pathirana, also attended.

It was instructed that a doctor be installed temporarily at each of the two garment factories - Acca Garments and Koggala Garments - as well as one in the FTZ to deal with any more cases. The doctors will be drawn from hospitals in the district. Acca Garments which was temporarily closed will reopen tomorrow. Employees have been asked to bring their food and water from home.

A spokesman for the Occupational Health division told ‘The Island’ that they wished to take into account all possible causes for the illness and conduct tests on each one so as to isolate the actual reason. Earlier, an illness which struck the employees of Koggala Garments and caused vomitting, diarrhoea and abdominal pain was diagnosed as food poisoning and treated accordingly. There now seems to be a downward trend in the illness that has plagued Koggala Garments, he said.


No govt can compel people living in housing complexes to buy them
- Cooray

Former Housing and Construction Minister Sirisena Cooray said that no government has the right to force people living in housing complexes to buy the flats they are occupying. If they wish they can purchase these flats or else continue to live as tenants. If, at any time action is taken to vacate them from these flats, then we will see about it at that time Mr. Cooray told a meeting of flat dwellers at Maligawatte, recently. It was held at Pradeepa Hall of the housing complex.

This meeting was called to discuss the renovation of the Maligawatte housing complex which is now in a dilapidated state.

Speaking further Mr. Cooray said: "The present Minister of Housing and Construction has in writing asked flat dwellers in the housing schemes to buy their individual units at a rate calculated on current market evaluation. Maligawatte housing complex was constructed 33 years ago when R. Premadasa and Dudley Senanayake were Ministers of Local Government."

It was decided to start renovation work at Maligawatte on January 02, next year the day Mr. Premadasa was sworn in as the president 10 years ago.


Peacemaker stabbed to death
By Vidanachchi Keerthiratne, Elpitiya

An altercation between two persons and a three-wheeler driver over payment of the hire from Galle to Elpitiya in the early hours of last Monday led to the death of a man who had come to mediate in the argument, police said.

The victim has been identified as Albaradura Sujeeth Mendis alias Kalu Malli from Ratgama, Galle.

Police investigations had revealed that two persons had hired the three-wheeler from Galle to proceed to Ketawela colony in Elpitiya and at the end of the journey they had shown their army identity to prove that they were soldiers and as such refused to pay the three-wheeler hire.

When an argument ensued between the parties another person had mediated to settle the issue. One of the two who identified themselves as soldiers had brandished a knife. The three-wheeler driver had then taken to his heels. The mediator had been stabbed to death, police said.

The two persons said to be soldiers had then deflated the tyres of the three-wheeler and escaped.

Elpitiya police are conducting investigations.


India-Pakistan bus link soon?
From S. Venkat Narayan Our Special Corr:

NEW DELHI — India declared that it is prepared to start "at the earliest" the much-talked-about bus service between this country’s capital Delhi and Lahore, the second most important city in Pakistan.

Officials of the external affairs ministry said: "From our side, there is no obstacle. We are now awaiting response from Pakistan in this regard."

Introducing a Delhi-Lahore bus service was one of the decisions taken by Indian Prime Minister Atal Behari Vajpayee and his Pakistani counterpart Nawaz Sharif at their most recent summit meeting in New York this September. This was to be part of a series of measures designed to open a new chapter in Indo-Pak relations, Vajpayee had said.

Asked if India has decided on a specific date for starting the bus service, the officials explained that this cannot be done unilaterally. "From our side, we are eager to see that it begins at the earliest," they added.

They said the proposed 502 km (314-miles) bus service will traverse some 470 km in India and cover the remaining 32 km in Pakistani territory. "We have done all our homework," they added.

The Delhi-Ambala-Ludhiana-Jalandhar-Amritsar-Wagah-Lahore route is part of the Grand Trunck Road laid out 450 years ago by that great Muslim visionary ruler Sher Shah Suri from Peshawar (now in Pakistan) all the way to Sonargaon (now in Bangladesh).

The road facility has not been used by both sides since the subcontinent was partitioned into India and Pakistan by the departing British colonial rulers.


Midweek Politics
FormerUNP’ers luxury apartment in US
by Prasad Gunewardene

Former UNP strongman Bulathsinhalage Sirisena Cooray last week finally broke silence to make his new vision known to re-enter the political scene. Mr. Cooray issued a ‘Mission Statement’ of his future dreams for the country which he claimed would make Sri Lanka an ideal republic. He believes that the nation should have an independent President and advocates the concept of a national government best suited for the country. The statement of Mr. Cooray deals with many aspects but does not make any reference to the ethnic problem or the ongoing war. In his recent TV and print media interviews Mr. Cooray stated that he has a solution for the ethnic problem which would end the war but refused to disclose it. He, however noted that he was prepared to help the government to end the crisis if the government wished so but would not support the devolution package in its entirety.

Mr. Cooray having issued his ‘mission statement’ last week got down to community work. He with some of his followers visited the Maligawatte Housing Complex to meet the people to listen to their problems. The former Housing Minister expressed shock at the poor maintenance of the housing complex which was once kept clean during the tenure of President Ranasinghe Premadasa. Mr. Cooray appointed two committees comprising flat dewellers in the scheme to identify areas neglected to remedy them. Political analysts say that Cooray coming into the scene through community work is an indication that Mr. Cooray may soon announce his future plans in politics. The United National Party looks very unlikely to re-open the doors for their former General Secretary as the party hierarchy appeared annoyed over certain references made to the conduct of the UNP leader Ranil Wickremesinghe by Mr. Cooray during the past few weeks. Mr. Cooray, according to his close associates would return to his former political base, Colombo Central to restart his political career. UNP leader Ranil Wickremesinghe, who succeeded Mr. Cooray in Colombo Central continues to visit the electorate though he had appointed two chief organisers to the seat namely — Henry Jayamaha and Mohamed Maharoof. Both Jayamaha and Maharoof are followers and loyalists of the late President Ranasinghe Premadasa. Mr. Wickremesinghe and his party chairman last week associated themselves at the wedding of one time Premadasa and Cooray loyalist T. M. Sanghadas’s daughter where all UNP Municipal Councillors in Colombo Central were present. There the UNP leader told his MMCs that he had never abandoned Colombo Central like others and that he would continue to be there which is his political base in the Colombo District. Messrs. Maharoof and Jayamaha welcomed this statement saying that the leader’s presence in Colombo Central strenghtened their campaign.

Meanwhile, the organisation to protect the UNP which emerged from Colombo Central led by Cooray stalwart W. Ariyapala too is campaigning in the area to rebuild the image of Mr. Cooray. A group of UNPers led by T. M. Sanghadasa is now campaigning vigorously in the area holding pocket meetings to say that there was no need for organisations to protect the UNP as the party had an able leader once again from Colombo Central to do that job. Sanghadasa, a former loyalist of Mr. Cooray is openly critical of Mr. Cooray’s role behind the curtain in Colombo Central to split the UNP vote. He told this columnist that the people of Colombo Central no further needs Mr. Cooray and it is a futile exercise by some Cooray’s supporters in the area to bring back Mr. Cooray.

The UNP claims that some former men of the party now in political wilderness who holiday in apartments in the United States where plush apartments owned by Sri Lankans are made available were now shedding crocodile tears for the people of Colombo Central. They said that this person who holidays in the United States enjoys the comforts of a plush apartment is a guest of a present UNP organiser who had provided funds to purchase that flat six years ago. UNP sources further claimed that this flat had been bought in the name of another person but that person had never enjoyed the luxury privileges in that flat.

On the People’s Alliance side Justice Minister Prof. G. L. Peiris is now at the receiving end from both within and from outside forces. Last week the Attorney General Sarath N. de Silva lashed out at the minister for issuing a statement to the ‘Ravaya’ paper that he, the AG, would present himself at the weekly cabinet briefing to answer questions from the media. Mr. de Silva maintained that the minister had done so without consulting him and that he had told the minister that it was big let down on the part of him by the minister. Thereafter, the Attorney General said that he would go before the cabinet briefing on his own to answer any allegation. Mr. de Silva did so and it was Media Minister Mangala Samaraweera who came to the AG’s defence all the time when the media started to fire questions.

Minister Peiris’s rival in the Hilton Hotel case Nihal Sri Amarasekere has once again taken on Prof. Peiris. He filed a case against the minister for having done and ‘about turn’ in the minister’s duties as a member of the Securities and Exchange Commission with regard to the Hilton Hotel issue. Lalith Front Parliamentarian Ravi Karunanayake has also challenged the affidavit to court by the minister in the Hilton case where the minister has said he had no powers as the Deputy Finance Minister. Mr. Karunanayake threw this challenge in Parliament and cited the Constitution to say that the Deputy Finance Minister had powers with regard to the matters and documents pertaining to the General Treasury.

The United National Party has taken on Minister Peiris on the issue of linking the devolution package to the Liam Fox agreement where a bipartisan approach was spelt out making room for the President and the Opposition leader to tackle the ethnic problem. The UNP leader blames Minister Peiris for that attitude which delayed the bipartisan approach to the national problem. The architect of the Liam Fox agreement ,Foreign Minister Lakshman Kadirgamar throughout took the position that the agreement was basis for the President and the Opposition leader hold discussion and did not recognise the devolution package as a part of the agreement.


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