• Alleges Govt negotiating USD 1 b compensation with ship’s insurer 

Environmental activist Dr. Ajantha Perera alleged yesterday (30) that despite the Supreme Court (SC) ordering the payment of US Dollars 1 billion in compensation over the MV X-Press Pearl disaster, the Government is attempting to have negotiations with the ship’s insurer and local agent over the compensation, a move she claims goes beyond what the Court had clearly ordered.

The SC, last year, ordered the insurer and local agent to pay USD 1 billion in compensation to the Government to cover environmental damage and economic losses suffered by coastal communities, following a series of Fundamental Rights (FR) petitions filed by several individuals, including Dr. Perera. She is also a member of the Marine Protection and Restoration Committee established by the SC following the judgement.

Speaking to The Daily Morning, she said the judgment had clearly directed that USD 1 billion must be paid by both the ship’s insurer and the local agent, who were found equally responsible. "The ruling clearly stated that even if the insurer failed to make the payment, the local agent should do it, as both parties had been found at fault. Only a small amount has so far been paid to the Treasury, even though the time given for payment was one year from the date of the judgement. It was delivered in July 2025, meaning that the country should have received almost the full amount by now."

Dr. Perera further said that the SC had delivered its judgement after nearly four years of legal proceedings and that the ruling had not made any provision for negotiations. "We learnt that the Government is now wanting to have negotiations with the insurer and the local agent. How can discussions be initiated after a final judgment has been delivered? Legal action was initiated by us and not by the Government. They should not interfere with or go beyond the SC's directions. Doing so will undermine what we secured through the Court."

When queried regarding reports to the effect that the relevant parties have refused to pay compensation, Dr. Perera said: "What they say is that there is a delimitation case taking place in Britain. But, it is not valid for environmental issues. There is a principle that we go by. The principle is 'polluter pays'. For example, if someone comes and piles up garbage behind my house and I go and complain, they have to pay because they have caused me harm and distress. That is what the ship did to us. They polluted our Ocean and they have to pay. They cannot say no. They have a case in the United Kingdom, but, it is about luggage and damages to the ship, etc., whereas this is about the environment."

Fisheries, Aquatic, and Ocean Resource Minister Ramalingam Chandrasekar and Deputy subject Minister Rathna Gamage were unavailable for comment.

The MV X-Press Pearl caught fire off the coast of Colombo on 20 May 2021 and was engulfed in flames by 27 May before being declared a total loss. After burning for 12 days, the vessel sank on 2 June 2021 while being towed to deeper waters. The incident led to the release of hazardous chemicals and plastic pellets into the sea and was described as the worst marine ecological disaster in Sri Lanka’s history.

The relevant SC ruling was delivered by a five-Judge bench comprising the then-Chief Justice, President’s Counsel (PC) Murdu Fernando and Justices Yasantha Kodagoda PC, Shiran Gooneratne, Achala Wengappuli, and Priyantha Fernando, who held several parties accountable for failing to prevent the disaster and found that the incident amounted to a violation of FR.