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Probe on national carrier

19 February 2015 04:34 am - 15     - {{hitsCtrl.values.hits}}

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The four-member committee appointed to look into the alleged misdemeanors and mismanagement by the former management of the national carrier SriLankan has been directed to submit its report by March 30 for quick remedial action, Daily Mirror learns.


The Committee appointed by Ports and Aviation Minister Arjuna Ranatunga will be headed by good governance and human rights activist and senior lawyer J.C. Weliamuna and comprise U.H. Palihakkara, B.A.W. Abeywardana and M.K. Bandara has its other members.


The Committee has been mandated to investigate whether the national carrier’s previous senior management had abused their powers during their term of office, whether any irregularities had taken place in the leasing or procurement of aircraft, whether due processes were followed in the procurement of aircraft and the purchasing of goods and equipment and whether any outside pressure or intimidation has been exerted resulting in undermining the smooth functioning of the airline.


An interim report has to be submitted before March 15 and the final report on or before March 30.


The SriLankan airlines had plans to replace its entire fleet by 2020 at a cost of US$1.5 billion (or some Rs.930 billion) with new aircraft from Air Bus Industries in France.


The transaction will be carried out through an international leasing company acting as guarantor to both parties.


A source, on the condition of anonymity, told Daily Mirror that 13 aircraft comprising A320, A330 and A340 air buses are to be delivered by the Air Bus Industries at a list price of US$1.5 billion by 2020 in line with the agreement signed between the aircraft manufacturer and SriLankan airlines on a staggered basis.


“Seven brand new A350 wide-bodied aircraft are scheduled to be delivered in mid-2016 with the final air bus to be delivered by 2020,” he added.


The objective of modernizing the fleet of aircraft was to lessen the heavy losses incurred by SriLankan airlines resulting from the mounting maintenance costs of the aging fleet.


The source said Sri Lanka expected to host some 2.5 million tourists by 2020 and the target would not be met if the fleet of aircraft remained obsolete and ground handling inefficient and as such in addition to purchasing new aircraft, the Civil Aviation Ministry hoped to build another terminal adjoining the one at the Bandaranaike International Airport.


He said the new terminal to be constructed at an estimated cost of 28 billion yen (or Rs.35 billion) will be funded by JAICA and will have the capacity to handle nine million travellers annually once completed by the end of 2016 in addition to the six million passengers handled by the current terminus. (Sandun A Jayasekera)
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  Comments - 15

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  • Guna Thursday, 19 February 2015 05:28 PM

    Srilanka had two great chance in the past to build into a class airline in the South Asia at least if not in the world.First they joined with Singapore airline and broke off because of corruption.Then they had joint venture with Emirate (probably the largest airline in the world now) and broke off because they did not give preference for crown cronies.Even now on their own they can emerge out of this if they get an international man to run it.

    hemanthak Thursday, 19 February 2015 10:48 AM

    During the previous regime, numerous complains were sent to relevant persons by many employees, of course anonymously. All have fallen into deaf ear. if a proper probe is conducted, frauds of billions of rupees will be revealed. Staff will divulge that most of the wrong doings will belong to the then Chairman who made a mockery of management by abusing the power of his sister who knew all these but just turned the blind eye.

    gobbaya Thursday, 19 February 2015 10:49 AM

    will the committee also check the rerouting of KL - CMB UL flight just to pickup a former big shot from CHANGI who couldnt wait until the CHANGI - CMB UL flight& also the infamous dogs from switzerland incident which resulted in changing aeroplanes and offloading passengers...and an investigative journalist fleeing for her life via DM Android App

    Keerthi Dissanayake Thursday, 19 February 2015 11:09 AM

    The probe initiated by the Hon Minister of Aviation as was published before in the newspapers was against the previous Board of Directors and the Senior Management of Srilankan Airlines for total mismanagement of the airline resulting in an accumulated loss of Rs 110 Bullion as at 31/03/2014How come Mr.Kapila Chandrasena a political appointee who was a Director/CEO of the previous board still; remains as CEO whereas all the other members have presumably have resigned,It is totally unjustified to keep him as CEO when there is a probe as he is totally responsible for the losses sustained by the airline and therefore an impartial inquiry cannot be held as staff may not come forward to give evidence as long as he remains as CEOI am of the view that the Hon Minister should remove him immediately before the commencement of the probe for good governance

    sg Thursday, 19 February 2015 11:23 AM

    We more like to travel with national carrier but unfortunately we cannot do it due o high cost of tickets. The main reasons is misused of finance and mismanagement could not give reasonable price level for the Sri Lankan passengers. It is important to investigate all the previous activities and bring this national carrier for the real track.

    Bones Thursday, 19 February 2015 11:33 AM

    Good

    geisha Thursday, 19 February 2015 07:06 PM

    Isnt the Sri Lankan air CEO Kapila Chandrasena the brother in law of Arjuba, so his actions r not investigated????

    Bala Thursday, 19 February 2015 07:18 PM

    Arjuna has invited Sir Peter Hill of Emirates to help us as Adviser - an excellent start. He knows Sri Lankan as he was CEO in the past when we made huge profits till previous govt ruined it by putting their cronies in charge.

    sataro Thursday, 19 February 2015 12:28 PM

    How about dog transport from Zurich via DM Android App

    Lanka Thursday, 19 February 2015 12:45 PM

    another blunder via DM Android App

    Dee Thursday, 19 February 2015 04:03 PM

    Expose the names. Not only of the board, but all the misfits. They acted as if they were the masters in the private sector.

    meraya Thursday, 19 February 2015 01:12 PM

    Mr.Dissanayake has raised a very valid point. No staff will come forward to give evidence when the former board member remains as CEO of the company. Lately I find many issues connected to SriLankan Airlines irregularities were highlighted in colombotelegraph.com website especially about this CEO.

    george Thursday, 19 February 2015 04:51 PM

    I fully agree. Sack the curropt Kapila Chandrasena immediately

    Bandara Thursday, 19 February 2015 01:55 PM

    Mihin Lanka is a big white elephant. Before investigations on the national carrier a solution for Mihin Lanka massive loses should be found.

    Prem Nath Friday, 20 February 2015 11:14 AM

    I have yet to travel Sri Lankan. Good for the very rich Lankans or people working with Sri Lankan and politicos who are given free rides.


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