OPA AT YOUR SERVICE

Questions and Answers

Deprived of prize due to delay in claiming

Question: I received a letter from the Bank in November 2005, that I had won a prize (sewing machine) in the Pathum Vimana regional draw.

I couldn't collect it on time as my husband passed away on February 8, 2006. When I went to collect the prize some months later I was given several excuses, and still no answer for a registered letter sent by me. Please help me to get the prize which was won by me.

Mrs. S. Kandasamy -Kandy

Answer: We took up your matter with both the Hatton National Bank-Head Office in Colombo and the Singer Company Head Office in Colombo. The Brand Manager for Pathum Vimana, at the Hatton National Bank Head Office promised to look in to this matter. Any unclaimed prize should have been reported to HNB by Singer Company. They will check such records and get back to you.

All your details have been passed on to this Brand Manager. However we do not have your telephone number if any in order for the Bank to communicate with you quickly. You may contact the Brand Manager - Pathum Vimana Nishantha de Silva on Tel. 2661974 in order to follow up. We too will follow up on this matter.

Should your problem be solved or not resolved within couple of weeks please let us know.

Revised Assessable Income for exemption of WHT in Budget 2008

Question: I refer to your answer to the anxious pensioner from Wattala in the Questions and Answers column of the Daily News of March 5.

In the Budget proposals presented to Parliament in November 2008 it was stated that the limit of the WHT deduction of 2.5% will be raised to Rs. 1,000,000 from Rs. 600,000.

Please be good enough to let us know the impact of this proposal on existing deposits of senior citizens both with the NSB and other Financial Institutions and from when the new benefit could be enjoyed.

I take this opportunity to thank you for the wonderful service you are providing free of charge to the citizens of this country.

J. Pieris-e-mail

Answer: Although the budget 2008 has been passed in Parliament, there are other formalities such as particular bills being passed and gazette notification being issued. This has not happened yet according to the source we contacted.

However it will be done and will be applicable from 1st April 2009.

As per this bill in the budget proposal the assessable income of Rs. 300,000 up to which WHT is exempted will become Rs. 400,000 per annum. The WHT which is currently 2.5% from Rs. 300,000/- up to Rs. 600,000/- will apply from Rs. 400,000 up to Rs. 1,000,000/- per annum.

In the case of a senior citizen (over 59 years) in addition to the Rs. 400,000 exempted assessable income for WHT, he will be exempted for another Rs. 200,000 (up to Rs. 600,000 a month income) Provided this Rs. 200,000 is interest income earned from investment at People's Bank, Bank of Ceylon, NSB, State Mortgage Bank, Housing Development Finance Corporation - Bank, SME Bank, Regional Development Bank or Lanka Puthra Development Bank (not only NSB). In other words from most government Banks.

Over Rs. 600,000 up to Rs. 1,000,000 will be at 2.5% WHT for Senior Citizens. Over Rs. 1000,000 it will be 10%.

War Hero's Zone

Question: On information I happened to visit the War Hero's Zone. This is situated in front of the new Parliament Complex, Sri Jayawardenapura-Kotte. There were names of War Heroes since 15.10.1981 to 27.12.2007. Those heroes were from Army, Navy, Air Force and Sri Lanka Police Personnel.

On January 2, 1997 my daughter Corporal 58860 Eresha Nilmini de Silva aged 23 years was shattered to pieces and could not be identified due to a claymore blast near the Thirneiveli, Jaffna, Campus. She sacrificed her life for the sake of the country along with five Corporals. The name of my daughter was not on the list. She was the first heroine of the Military Police and 1st Sri Lanka Army Women's Corps. Her supreme sacrifice dedicated for the sake of Sri Lanka's territorial integrity and sovereignty was well received with admiration and honour by all segments of patriotic citizens across the country and was part of the history of the Sri Lanka Army.

Please let me know the following:

1. What action should I take to get her name included in that list?

2. To which organization should I complain?

C. de Z. Edward J.P.

Ethul-Kotte

Answer: In a way you have taken a correct course of action by communicating your problem to the "OPA At Your Service" since you did not know whom to contact.

When we made inquires we were directed to contact the Chief of Staff of the Sri Lanka Army. The Chief of Staff being a busy person we contacted one of the staff officers in his Office. Having explained the matter to him, the Major promised to look into this matter as soon as possible. We have given all your details as well as that of your late daughter. The first woman war heroine as claimed by you.

The Army may contact you. We too will follow up on this most serving matter. Be assured that the Army will take quick corrective action. You may contact the Director Personnel Management at the Army Head Quarters.

Civil Code No. 14 of 1993-Section 544 (1)

Question: Could you explain 1993 Civil Code No. 14? Section 544 (1)

A person dies leaving a Bank Deposit of over Rs. 500,000, what is the legal position for the legally entitled recipients for the said deposit?.

K.N.G. Dharmasena -Karandana

Answer: This Section deals with the nomination of a beneficiary by a Bank Account holder to receive the entire funds to his credit in a deposit account on his or her demise.

Thus any person can nominate a beneficiary by filling the necessary forms, so that the beneficiary can withdraw the entire amount after the demise of the account holder. The amount can be less or more than Rs. 500,000. There is no ceiling.

If a deposit holder dies without nominating any beneficiary, the next of kin or legal heirs can claim the amount subject to the Bank formalities and declaration, Affidavit etc.

However, the deposit including all other assets of the deceased person should be less than Rs. 500,000. Should the deposit or deposit value including all other assets exceed Rs. 500,000, then there has to be a testamentary case.