SL bound to pay US$ 8 million to Chinese Company: Vijitha

Sri Lanka will have to pay US$ 8 million to the Chinese company - Qingdao Seawin Biotech Group Co. Ltd. according to the terms agreed by the Banks when opening Letter of Credit (LC), National Peoples’ Power (NPP) MP Vijitha Herath said today.

He told Parliament that according to a letter sent by the People’s Bank to the Ceylon Fertilizer Company Ltd., on November 2, the People’s Bank was bound to pay US$ 8 million to the Chinese Company.

He said the People’s Bank had informed the Ceylon Fertilizer Company Ltd that the Bank was bound to pay the said amount according to the Article 4 of the Uniform Customs & Practice for Documentary Credits (UCP 600) soon after the Court Order was revoked.

MP Herath said the funds of the innocent farmers had to be paid just because of the Government’s ignorant decisions.

“Farmers are in distress without fertilizer. Now, funds of innocent farmers will have to be paid to the Chinese Company due to the Government's ignorant and wrong decision even without fertilizer,” he said.(Ajith Siriwardana and Yohan Perera)