Thu, 26 May 2022 Today's Paper

Bribery scandal spurs SriLankan to pursue compensation from Airbus

13 February 2020 09:43 am - 0     - {{hitsCtrl.values.hits}}

A A A

The Sri Lankan government is considering ways of recovering damages, including claiming compensation from Airbus SE, after the European planemaker admitted to bribing executives to win aircraft orders.


 

Vipula Gunatilleka

“The reputational damage was huge, enormous. That’s why our government is looking at certain remedial action,” SriLankan Airlines CEO Vipula Gunatilleka was quoted as saying in an interview with Bloomberg during the Singapore Airshow yesterday.

Airbus two weeks ago admitted to illegally trying to sway plane sales and agreed to a record US $ 4 billion bribery settlement. 


That included bribing the wife of a SriLankan Airlines official, who received US $ 2 million through a Brunei shell company, according to the UK’s Serious 
Fraud Office.


Following the settlement, Sri Lankan prosecutors said Kapila Chandrasena, the ex-CEO of SriLankan and his wife, Priyanka Niyomali Wijenayaka, were suspects in a money-laundering case linked to Airbus aircraft sales.


“It was shocking,” Gunatilleka said. 


“When you hold a public office, you expect people to be credible. That trust was breached.”


Meanwhile, an attempt by the Sri Lankan government to sell a 49 percent stake in the carrier seems to be off the table, Gunatilleka said. The airline is restructuring and that should be enough to revive its fortunes,  he said.  “The previous government wanted to do it but I don’t think they had a clear strategy,” Gunatilleka said.


“As such, the airline was losing money. Who’d invest, who was going to come and buy even if you want to sell?”


Sri Lanka revived the process of privatising the state-run carrier that is saddled with at least US $ 1 billion of debt in 2018, a year after talks with sole bidder TPG Capital collapsed following due diligence of the struggling airline.


Dubai’s Emirates Airline held 44 percent of SriLankan until 2010, when the government bought the stake following the end of a 26-year civil war.
Part of the latest restructuring involves tweaking an order for Airbus A350 jets to A330neo planes or narrow-body aircraft or a mix of both, as the airline seeks to move away from jumbo jets, Gunatilleka said. 


The airline wants to increase its fleet to 35 by 2023, from 25 currently, he said. (Bloomberg)

 

Order Gifts to Sri Lanka. See Kapruka's top selling online shopping categories such as Toys, Vegetables, Grocery, Flowers, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,News, Courier/Delivery, Food Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka.

Sell your vehicle & house fast with hitad.lk only cost is Rs.400, Advertise in Hitad.lk for free to sell your mobile phone. Want to sell your Pet, Advertise for Free in hitad.lk Search for Houses in Sri Lanka and find the best place through Hitad.lk find your best tuition place. Find the best partner for you, visit hitad.lk Find anything at any time hitad.lk.

  Comments - 0

Order Gifts to Sri Lanka. See Kapruka's top selling online shopping categories such as Toys, Vegetables, Grocery, Flowers, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,News, Courier/Delivery, Food Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka.

 

Sell your vehicle & house fast with hitad.lk only cost is Rs.400, Advertise in Hitad.lk for free to sell your mobile phone. Want to sell your Pet, Advertise for Free in hitad.lk Search for Houses in Sri Lanka and find the best place through Hitad.lk find your best tuition place. Find the best partner for you, visit hitad.lk Find anything at any time hitad.lk.


Add comment

Comments will be edited (grammar, spelling and slang) and authorized at the discretion of Daily Mirror online. The website also has the right not to publish selected comments.

Reply To:

Name - Reply Comment




Order Gifts to Sri Lanka. See Kapruka's top selling online shopping categories such as Toys, Vegetables, Grocery, Flowers, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,News, Courier/Delivery, Food Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka.

 

Sell your vehicle & house fast with hitad.lk only cost is Rs.400, Advertise in Hitad.lk for free to sell your mobile phone. Want to sell your Pet, Advertise for Free in hitad.lk Search for Houses in Sri Lanka and find the best place through Hitad.lk find your best tuition place. Find the best partner for you, visit hitad.lk Find anything at any time hitad.lk.


Shocking inside stories of the sugar scam

In the backdrop of former Finance Minister Ali Sabry’s proposed plan to inc

Sri Lankans stuck between hunting for essentials and fighting for good governance

Sri Lanka, a tiny South Asian nation of 22 million people, is experiencing fi

Food crisis in Sri Lanka From granary of East to barren nation

A damning revelation by the Food and Agriculture Organisation (FAO) states th

The danger of Basil Rajapaksa’s rule by proxy

Last week, I wrote that the fate of the Ranil Wickremesinghe government would