<ul><li>Gas pipeline yet to undergo feasibility study</li><li>No progress beyond MoU on Trincomalee energy hub</li><li>Projects revisited during Indian Vice President’s visit</li><li>No timeline set for implementation</li></ul> Despite India–Sri Lanka energy cooperation projects being discussed during Indian Vice President C.P. Radhakrishnan's recent visit to Sri Lanka, the Energy Ministry stated that no immediate implementation is planned for either the proposed gas pipeline or the Trincomalee energy hub projects, as initial steps remain to be completed.When contacted by The Daily Morning yesterday (22), Energy Minister Anura Karunathilaka said that with regard to the proposed gas pipeline, a feasibility study has not yet been carried out, and there is no foreseeable action to move the project forward at this stage.Commenting on the proposed energy hub in Trincomalee, he said that a Memorandum of Understanding (MoU) had already been signed. However, beyond the signing of the MoU, he said that was no significant progress.He further noted these projects were first discussed during the Indian Prime Minister Narendra Modi’s visit to Sri Lanka in 2025. "The matters were taken up again during the recent visit of Radhakrishnan, during which both parties agreed to continue engagement on the projects."When queried as to whether there is any anticipated timeline for the completion of the projects, Karunathilaka said that there is no timeline as such.The proposed projects drew renewed attention after Indian Foreign Secretary Vikram Misri said the Trincomalee oil farm project and the planned India–Sri Lanka oil pipeline were among the key topics discussed during Radhakrishnan’s visit.Sri Lanka, India, and the UAE signed an agreement last year, following nearly two years of discussions, to establish a multi-product oil pipeline linking the two countries and to develop the Trincomalee oil storage complex.

Indo-SL energy projects: Pipeline, Trinco hub plans still on hold

<ul><li>Allegations of diversion via fake email instructions&nbsp;</li><li>Finance Ministry appoints probe committee</li></ul> A USD 2.5 million payment linked to a bilateral agreement between Sri Lanka and Australia has come under scrutiny after it was allegedly diverted through fraudulent email instructions, with lawyers and civil society organisations now urging the Finance Ministry and key State financial agencies to take clear responsibility and ensure a full public account of what happened.The payment, made between December 2025 and January 2026, was part of an external funding arrangement under an agreement with Australia. The issue came to light after concerns were raised that although the money had been processed, it had not reached its intended recipient.In a letter dated 22 April addressed to the Speaker of Parliament, the Free Lawyers’ organisation said the disappearance of $ 2.5 million raises serious questions about how financial transactions are handled within State institutions. The group said that it had received information indicating the payment had been released but not received by the intended recipient.They pointed out that responsibility for public funds ultimately rests with the highest levels of financial administration, including the President and Finance Minister, the Secretary to the Finance Ministry and the Treasury. The letter called for clear disclosure on how the payment moved through the system, who authorised it, and what verification steps were taken before the transfer was made.If investigations find negligence, gaps in procedure, or any wrongdoing, they said that those responsible should be held accountable under the law. They also warned that weaknesses in verification systems could expose public funds to serious risk if not addressed properly.A separate statement issued by the Dinana Dakuna organisation on the same day also stated the disappearance of such a large sum highlights the need for greater clarity in how international financial transactions are managed. The group urged the Government to explain step by step what happened from the time the payment was initiated until it went missing.Meanwhile, the Finance, Planning, and Economic Development Ministry has appointed a Technical Investigation Committee to look into the matter urgently.An official letter from the Ministry read the committee was formed following a memorandum from the Director General (DG) of External Resources dated 24 March 2026, which reported suspected fraudulent email communications and the missing $ 2.5 million linked to the Australian agreement. The committee is co-chaired by Deputy Secretaries to the Treasury A.N. Hapugala and S.S. Mudalige. Other members include the DG of the National Planning Department K.T.I. Premarathna, the Additional DG of the Legal Affairs Department A.K.D.D.D. Arandara, and the Assistant Director of the Information Technology Management Department E.D. Siriarathna, who will act as the convenor. The Ministry has asked the committee to carry out the inquiry without delay and submit its findings as soon as possible.However, both the lawyers’ group and civil society representatives have said that the investigation should be handled by an independent body such as the National Audit Office, or a team outside the Finance Ministry’s control. They further called for additional scrutiny through a Committee on Public Enterprises inquiry, a review by the Central Bank, and an investigation by the Government Debt Management Office.Attempts to contact the Finance Ministry and Treasury Secretary, Dr. Harshana Sooriyapperuma proved futile.

Aussie-SL pact: USD 2.5 m State payment missing 

<ul><li>Proposal submitted to committee chair</li></ul>Opposition members of the Parliamentary Committee probing the release of 323 containers from the Colombo Harbour without mandatory physical inspection have formally requested that several high-ranking officials be summoned to give evidence.The committee has been tasked with investigating the circumstances surrounding the release of the containers, which were not subjected to required inspections, and to present its findings, recommendations, and proposals.In a written proposal submitted to the committee, Opposition MPs have called for the appearance of President Anura Kumara Dissanayake, in his capacity as Minister of Finance, Planning and Economic Development. They have also requested that former Ports Minister Bimal Rathnayake be summoned, as he held the portfolio during the period in question.Additionally, the Opposition has sought testimony from Janitha Ruwan Kodithuwakku, who served as Deputy Ports Minister at the time, as well as the then Secretary to the Finance Ministry.The request was made in a letter signed by Opposition MPs Ajith P. Perera, Dayasiri Jayasekara, Mujibur Rahman, and D.V. Chanaka, all of whom serve on the committee. The letter has been addressed to the committee’s chairperson, Justice Minister and attorney Harshana Nanayakkara.The committee was scheduled to meet in Parliament yesterday afternoon (21), where a decision on whether to summon the requested witnesses was expected. According to MP Perera, the matter was to be taken up for consideration during the session.

Controversial container release: Opposition wants President to testify

Action will be taken with regard to the Chairperson of the Lanka Coal Company (Pvt) Ltd. based on the findings of the Presidential Commission of Inquiry (PCoI) appointed to probe alleged irregularities and illegal activities linked to coal imports and electricity generation, Cabinet Spokesperson Dr. Nalinda Jayatissa said.Addressing the weekly Cabinet media briefing at the Government Information Department yesterday (22), Dr. Jayatissa responded to queries on why the Chairperson had not been removed from office despite the recent resignation of the subject Minister and the Secretary to the relevant Ministry.He explained the Chairperson in question was a recent appointee and had already provided an explanation regarding an alleged audio recording of a telephone conversation purportedly involving him, the General Manager of the Lanka Coal Company, and a local representative of a coal supplying company.Dr. Jayatissa further stated the PCoI had been mandated to investigate alleged illegal activities related to coal imports and electricity generation over a period spanning from 2009 to 2026.“Action will be taken in accordance with the findings of the Commission. Therefore, there is no reason at present to remove him from the post,” he said.He also noted that Parliamentarians and any other concerned parties in possession of relevant complaints or information could submit them to the Commission for consideration.The coal procurement process, including tender procedures, testing, and quality standards, has recently come under scrutiny following serious concerns raised in an audit report.

PCoI to decide Coal Company Chair’s fate: Gov

Nearly four years after Cabinet approval was first granted on 17 May 2021 to implement the recommendations of the Presidential Commission of Inquiry (COI) into the Easter Sunday terror attacks, the Government has moved to address the lack of progress by approving the appointment of a dedicated oversight committee.The Cabinet of Ministers has now granted approval to establish a mechanism aimed at ensuring the effective implementation of the COI’s recommendations, along with those of the then Sectoral Oversight Committee on National Security.Despite the initial approval in 2021, authorities have acknowledged that the absence of a systematic, formal, and sustainable monitoring framework has hampered efforts to track progress, leaving no effective means of evaluating implementation.Against this backdrop, the Government has identified the need for a structured and accountable mechanism, with priority given to public and national security, to ensure that the recommendations are carried out in full.The Cabinet has approved a proposal submitted by the President, in his capacity as Minister of Defence, to appoint a committee tasked with overseeing the implementation process.The committee will comprise a counter-terrorism and national security expert, along with representatives from relevant ministries and institutions, and will operate under the supervision of the Presidential Secretariat.The move is expected to strengthen oversight and address longstanding concerns over delays and gaps in implementing key recommendations stemming from the Easter Sunday probe.

COI on Easter Sunday terror attacks: Mechanism to track recommendations 

<ul><li>To forward irregularities, corruption to CIABOC and CID&nbsp;</li></ul> The Parliamentary Committee on Public Enterprises (COPE) is in the process of reviewing activities in 457 institutions that fall under its purview, and any findings of irregularities or corruption will be forwarded directly to the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) and the Criminal Investigation Department (CID).&nbsp;Speaking to The Daily Morning yesterday (22), COPE Chairperson, Dr. Nishantha Samaraweera said that in the past, COPE was only able to submit its reports to the relevant Parliamentary process, but that recent changes now allow the Committee to directly send its reports to the CIABOC or the CID when necessary.He added that many investigations carried out in previous years had remained incomplete, and the Committee is now revisiting those matters as part of its review process. "COPE oversees 457 State-owned institutions, and we can examine any activity that has taken place within those institutions at any given time." He said that the Committee is currently engaged in reviewing records and activities across these institutions, adding that if any irregularity or corruption is detected, those findings will be formally referred to the CIABOC and the CID for further legal action.These remarks come in the wake of recent amendments to the Parliamentary Standing Orders that expanded the powers of both the Committee on Public Accounts and the COPE. The amendments allow both Committees, when they uncover evidence of serious financial fraud, bribery, or corruption, to directly report such matters to the CIABOC or to the Inspector General of Police, instead of waiting to first submit reports to Parliament and follow the earlier process.

COPE reviewing 457 institutions 

Customs has released three out of five books authored by Theepachelvan Piratheepan, which were detained in late March over allegations that their content could "damage national harmony."Commenting to The Daily Morning yesterday (22), Customs Media Spokesperson Chandana Punchihewa said that following recommendations, the books have already been released. "We are asked not to release the other two books. We don’t know the content it holds. It is on the recommendations that we act upon," he said.Amidst widespread controversy that has erupted among artists on social media platforms, after it was unofficially reported the recommendations were issued by the Arts Council, questions have been raised regarding the legal liability, authority, and even the propriety of the Arts Council to issue direct recommendations to the Customs to release or detain literature, in a context where members of society hold mixed attitudes toward the decision. The Daily Morning queried whether the decision was solely based on the recommendations issued by the Arts Council.In response, Punchihewa replied that it is not a direction of an individual party but a collective decision of the Defence Ministry as well.He added the other two books at the Customs will remain detained. "If the Customs receives an appeal and at that appeal the Government decides to reconsider the decision, the Customs will reconsider releasing. Also, if the author chooses to go to a court of law, dissatisfied by the detention and the court decides to release it, the books will be released," he said.In late March, 360 copies of novels by Piratheepan, which were imported from Chennai, India, were subsequently detained by the Customs. Although the reason for withholding was reported as possible damage to national harmony, some of these books were seen in online bookstalls in Sri Lanka already, and one of the books has been translated into Sinhala as well. Furthermore, historian Prof. Nirmal Ranjith Dewasiri had made a comment on social media about the futility of detaining printed books in the digital age, stating that it would be an encouragement for the readership to find the book and read it.&nbsp;Repeated attempts by The Daily Morning to contact the Chairperson of the Arts Council, Keerthi Welisarage regarding the content of the two books that are being recommended by the Arts Council to be detained, proved futile.

Customs releases three detained books

The Colombo Fort Magistrate’s Court yesterday (22) directed the Criminal Investigation Department to report on 20 May the progress of the investigations into the arrested suspects, including the former Director of the State Intelligence Service, Major General (Retired) Suresh Sallay, who are currently in detention in connection with the Easter Sunday terror attacks.Sallay was produced before the Court when the case was taken up yesterday.The Court further ordered that he remain in detention.

Suresh Sallay further detained 

Sri Lanka has strengthened its national security and counter-terrorism financing framework with renewed focus on targeted financial sanctions (TFS), the Defence Ministry said.TFS are restrictive measures imposed on individuals or entities suspected of involvement in terrorism or the financing of terrorism. These measures are intended to freeze assets, limit access to financial systems, and prevent designated persons or organisations from conducting any form of financial activity within the country. In Sri Lanka, the implementation of TFS is carried out in line with United Nations (UN) Security Council Resolution 1373 (2001), under Regulation, Number 01 of 2012 made pursuant to the UN Act, No. 45 of 1968. Once a designation is published through a Gazette notification under the said Regulation, a legally binding freezing order comes into effect. This results in the immediate freezing of bank accounts and restrictions on the use, transfer, sale, or leasing of movable and immovable assets, including property, vehicles, jewellery, and other valuables. The authority to impose TFS rests with the Foreign Affairs Minister. The Defence Secretary has been appointed as the Competent Authority responsible for administrative and operational implementation.&nbsp;The Office of the Competent Authority has launched an official website, www.competentauthority.gov.lk, where Gazette notifications and related freezing orders are made available to the public.Officials further stated that terrorist financing often operates through concealed transactions and hidden assets, making financial monitoring and enforcement measures essential.

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Against terror-financing: Targeted financial sanctions strengthened

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Aussie-SL pact: USD 2.5 m State payment missing

Aussie-SL pact: USD 2.5 m Stat ...

Controversial container release: Opposition wants President to testify

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PCoI to decide Coal Company Chair’s fate: Gov

PCoI to decide Coal Company Ch ...

COI on Easter Sunday terror attacks: Mechanism to track recommendation ...

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COPE reviewing 457 institutions

COPE reviewing 457 institution ...

Customs releases three detained books

Customs releases three detaine ...

Suresh Sallay further detained

Suresh Sallay further detained ...

Against terror-financing: Targeted financial sanctions strengthened

Against terror-financing: Targ ...

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