Investigation into LECO, CEB financial irregularities

The services of LECO General Manager Susantha Perera were terminated on May 3 according to a joint decision of the CEB director board. The reason for his dismissal was that financial discrepancies were discovered in the financial reports of 2008.

According to the instructions of President Mahinda Rajapaksa the then power and energy minister had instructed his secretary M M C Fernando to appoint a five member committee to investigate the matter.

The committee submitted their report on October 12, 3which reported several financial irregularities within LECO amounting to Rs 620 million. Due to the investigations regarding the findings being postponed without a valid reason, the investigation was handed over to the CID. Accordingly, Perera's services was terminated. While the CID has commenced investigations, the passports of Dr Perera, Badra Jayaweera and five others have been confiscated by the CID. Badra Jayaweera had recruited Perera to the CEB as chief engineer, disregarding all formalities when Perera's services were suspended due to inquiries.

An internal investigation had been launched into this matter with the intervention of the CEB director board. It was proven that Jayaweera had acted against company policy according to her own whims. However the Unions have urged the director board to withdraw the letter of termination of service handed over to Jayaweera regarding her dismissal within 14 days.

The CEB director board have stressed that they will not reverse their decisions regarding the terminations where financial misappropriations have been proven.

The CEB unions have stated that they will resort to strike action regarding this matter. However the CEB director board says that they stand by their decisions, as there is no room within the CEB for fraud and theft.

This was revealed during a press briefing at the Power and Energy Ministry. CEB Chairman Widya Amarapala, LECO Chairman Chandana Haputhanthri and CEB Operation Director Roshan Gunawardena presided.