Mihin has accumulated loss of Rs.8.5 bn

Tuesday, 27 November 2012 02:26

The cash-strapped budget airline ‘Mihin Lanka’ has suffered a loss of two billion rupees during this financial year alone and an accumulated loss of a staggering Rs.8.5 billion since its inception in 2007, the Auditor General reveals.

The parliamentary Committee on Public Enterprises (COPE) discussed the Auditor General’s report on Mihin Lanka yesterday.

The Auditor General has observed that although the Company is running at a continuous loss, the annual remunerations paid to the six-member Board of Directors have increased over the years.

Rs.11 million has been paid to directors as remunerations last year -- an increase on Rs.4.9 million paid for the previous year.

According to the Auditor General’s report the Mihin Lanka Chief Executive Officer (CEO) who is also the CEO of Sri Lankan Airlines is paid Rs.500,000 a month by each of the institutions as rumeneration.

The Auditor General observes that such heavy losses have been incurred by the company for the last five years despite grants and concessions by the government in substantial quantities.

The Treasury granted Rs.507 million this year; Rs.406 million last year; Rs.1,508 million for 2010, Rs.2,882 million for 2009, Rs.500 million for 2008 and Rs.250 million for 2007.

The loss sustained for the financial year 2007/2008 was Rs.3.1 billion; Rs.1.3 billion for 2008/2009; Rs.1.2 billion for 2009/2010; Rs.940 million for 2010/2011 and Rs.1.9 billion for 2011/2012. (Kelum Bandara)

Comments

-2+67 # HK 2012-11-27 02:38

From the day one it's loss....... So no big deal this country is getting lose in. All !

-2+47 # senthil 2012-11-27 03:20

great news on VP's Bday..

-1+42 # Ami 2012-11-27 03:45

When are we going teach them a lesson ?

-0+5 # buffaloa citizen 2012-11-28 09:19

Not until we learn a lesson.

-3+86 # White Elephant 2012-11-27 04:48

Congratulations to all the patriots who back corruption.

-0+36 # aaks 2012-11-27 04:49

Mihin flies high!

-1+39 # Punchi Putha 2012-11-27 05:02

Must be in the pockets of the bigwigs

-4+42 # Poirot 2012-11-27 05:15

Mihin or Sri lankan will not make money until the next government.

-1+49 # Village boy 2012-11-27 05:29

Doesn't matter, we make our kings family happy. thanks.

-0+31 # Shan Gamage 2012-11-27 05:30

take political manager to control mihin Lanka with good package like 5Lks salary per month

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-1+44 # @aqular27 2012-11-27 05:30

do we still need to keep this flying.. when all it's doing is dragging us down!!

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-2+39 # Gamini 2012-11-27 05:30

Lets bring an impechment motion. The Auditor General is too much

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-0+31 # Mohan 2012-11-27 05:39

only 2B ? how many % of loss pass to sri Lankan air account ,and officially each sri lankan paid Rs 200 for ___________ (fill the blank)

-1+24 # Mohan 2012-11-27 07:28

calculation error it's Rs400

-0+44 # Public Abilik 2012-11-27 05:50

Yeah, let's forget blatant corruption like this, but try to Impeach the CJ for alleged 'irregularities'. This is what happens when baboons rule a country.

-0+32 # Curious 2012-11-27 06:00

They leased another air plane with all these loses. Is this being used for propaganda?

-0+38 # MagodisThuma 2012-11-27 06:17

Because it's used by the company for holiday tours !

-1+43 # meenavan 2012-11-27 06:17

Who is going to take responsibility.for the loss...entire nation or executive.....?.

-0+25 # Jagath Leanage 2012-11-27 06:25

No wonder. All this years Mihin air running at losses.So how can, change that pattern.

This Mihin Air is a big shots property. So all the losses are born by Treasury.

-1+51 # Nodrog 2012-11-27 06:28

We are beggars trying to hoodwink the world into thinking we're kings.

-1+34 # wijebahu 2012-11-27 06:34

however when comes to CJ and SF rule is implemeted to every dot and comma.

-3+17 # Ranjith 2012-11-27 06:44

Never in Sri Lanka, Who ever comes Dot and coma they will put on us.

-0+35 # Sonna Boy 2012-11-27 07:46

Are we the only 3rd world country to have two national air lines? If so we certainly are the wonder of the world.

-0+24 # Three Guesses 2012-11-27 10:05

this alone is good enough to bring about a no confidence motion against the leadership for the greater benefit of the country

-1+7 # Yuri 2012-11-27 13:53

I think if Mihin airlines Buy few AB380 and few 777 ER they could recover the loss,

-0+7 # Raju Raja 2012-11-27 13:56

Rs.1,000,000 monthly Salary for a person? What a Developed country with family business.
Earning is not a problem, does he spend all that money in Sri Lanka?

-0+9 # Panikkiya 2012-11-27 17:05

How can this be true? Sri Lankan national media announced that the airline squired a new aircraft several days ago!!

-0+5 # DHANUSH 2012-11-27 17:05

too late to realize,if you still dont, then never

-0+2 # Mims 2012-11-28 03:26

This is the national aircraft of arrogance. Being abused by the Rajapaksa's and kept afloat because of big egos, even at disgusting losses.

-0+0 # MNM 2012-11-28 10:07

Ahasa ape...Paduwa mahajanathawage ..

-0+0 # Roshan 2012-11-28 10:37

Last month Colombo/Dubai flight was cancelled for three consecutive days, all the passengers who bought ticket at Rs.17,000/- were sent by Sri Lanakn Airline which charged 21,000/-. The difference were paid by Mihinlanka to Sri Lanakn Airline.

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