Parliament

'HDFC was set up to assist in house constructions'

Sandasen MARASINGHE and Irangika RANGE

Speaker Chamal Rajapaksa presided when Parliament met at 1 p.m. yesterday.

After the presentation of papers and oral questions, the House took up the second reading of the Housing Development Finance Corporation Bank of Sri Lanka (Amendment) Bill and Orders under the Excise Ordinance.

International Monetary Co-operation Minister Sarath Amunugama: The Housing Development Finance Corporation was set up to provide financial facilities for housing constructions. Thereafter, it was transferred to the Bank - the HDFC. Later, it issued shares to the public as well under the Housing Development Finance Corporation Bank of Sri Lanka (Amendment) Bill. This bank will be able to carry on such forms of business as are specified in the Banking Act, subject to such restrictions as may be expressly stipulated in the licence issued by the Monetary Board.

Through this amendment, the number of 20 million shares of Rs. 100, will be made 200 million shares of Rs. 10.

Under the orders of the Excise Ordinance, it is expected to reduce the consumption of liquor. The taxes on the import of spirits to produce liquor will be increased. So far a guarantor was needed to export liquor and through these orders the condition has been lifted. It was done to encourage the local industries.

I like to submit some statistics to say that our government has taken stern action to prevent the production of illegal liquor. We have conducted many raids on illegal liquor dens.

The tax on arrack has been increased by 126 percent since 2005. The tax on arrack in 2005 was Rs. 381, but it had been increased to Rs. 863. We are conducting many educational programmes to educate the bad effects of liquor consumption and smoking.

We have established a separate institution for that purpose. But we have to accept that the population has increased from 8 million to 20 million since independence was achieved.

The consumption pattern is also changed. Whatever we say, people consume liquor. There is a request from illegal liquor producers to legalize their product by imposing a tax on them.

Ravi Karunanayake (UNP): The government is not taking proper measures to collect due taxes and it has resulted in other areas where taxes had not being collected.

Deputy Chairman of Committees Murugesu Chandrakumar takes the chair:

The ministers are not working hard. They are also slack in attending Parliament. There is no financial discipline. During the elections, you said there was gas in Mannar.

But where is the gas now? You can now reduce the price of gas. The HDFC Bank is useless if houses are not constructed.

Prime Minister D.M. Jayaratne: We expect fair criticism from the opposition. If they make such criticisms we will consider them.

The opposition members talk of lands. Should we keep barren land for people to construct shanties?. The other matter is we have lands of economical value from which massive foreign exchange could be earned.

The land where the Defence Ministry is located, was given to Shangilla Company which will bring in foreign exchange. I don't like selling land to other countries but it's not wrong to lease them. It is practised in all other countries.

The other problem is the use of liquor. There are around 8,000 politicians in the country. If they lend their support to bring down the consumption of liquor it will be easy.

There are four main religions in the country and if the priests take measures to bring down the consumption of liquor, it will be easy for the government to continue with the programme.

We can't put a fullstop to the consumption liquor. India tried to do so by imposing laws, but they couldn't do so. They later had to change the laws.

We have to demolish all the shanties and make Colombo a beautiful city. We have to give the foreigners a good impression, when they arrive in our country.

We have to reconstruct the former Colombo.

The UNP could not win Colombo. We also did not win Colombo. If the UNP says that they won, it is wrong. I suggests the opposition will work together and develop the city and the country.

Dayasiri Jayasekera (UNP): The Stock Exchange has today collapsed due to the government's unnecessary interference. Today the Stock Exchange is experiencing a downward trend.

The government has appointed several of its henchmen to high positions in companies and run these companies according to their whims and fancies.

Construction Engineering Services, Housing and Common Amenities Deputy Minister Lasantha Alagiyawanna:

The use of illicit liquor and illegal drugs should be eradicated from the country. The population growth and increasing of tourist arrivals may be the reason for the increase in the use of drugs and consuming of liquor. But awareness programmes are essential to be created among the public to eliminate this menace. It is reported that the consuming of liquor among the youth has been reduced in the recent past compared to previous years.

Fines imposed on illegal drugs and illicit liquor should be increased in order to eliminate this problem.

Sunil Hadunnetti (DNA): The Financial controlling power which belonged to Parliament has been today taken over by Chief Executive Officers of several companies. They run their companies according to the government's wishes.

Deputy Health Minister Lalith Dissanayake: This amendment will allow the common people to buy shares at a low cost. The minimum cost of a share has been reduced to Rs 10.

The country's economy has improved today under the UPFA government.

Poverty has been reduced. The GDP rate has been increased upto 8.7 percent. The unemployment rate has been reduced to 4.9 percent.

Today the entire nation is enjoying the benefits of the dawn of peace.

P Ariyanethran (TNA): A number of people in the Eastern Province have been displaced due to the recent floods. But the government has still failed in constructing their damaged houses and they are in greater difficulties.

Though the government said it will not issue liquor permits, there are 85 newly opened bars in the Eastern Province.

Ports and Highways Deputy Minister Rohitha Abeygunawardene:

We brought forward these amendments today, with the aim of creating a society which respects the law.

It was the UNP which issued a number of licences to open liquor shops across the country.

We have only issued a limited number of liquor licences after we came into power in 2005. Today the government under the Mathata Thitha programme, has been able to eradicate the use of illegal drugs to a certain extent.

Finance and Planning Deputy Minister Geethanjana Gunawardene:

These amendments were brought considering the future of the youth. We will provide our maximum support to the Excise Department to implement these new rules and regulations.

Finance and Planning Deputy Minister Geethanjana Gunawardena:

The raids on illegal liquor producers had successfully increased to 47,252 in 2010. The raids made in 2006 had been only 2,583, as a result of the 'Mathata Thitha' programme.

The Housing Development Financial Corporation Bank has given housing loans to the tune of Rs 10,000 million. It is making an appreciable contribution to fulfill the housing needs of the country.

The Bill was passed without amendments.

At adjournment

Prime Minister D M Jayaratne yesterday said that one can't come to conclusions that there is a breakdown in law and order in the country just by looking at one incident. He made this observation in Parliament in response to the Adjournment motion moved by Chief Opposition Whip John Amaratunga.

John Amaratunga (UNP): Recent events have shown that there was an alarming breakdown in law and order in the country. Gun toting gangs are running around intimidating the populace and in several instances resulting in deaths. Apart from anything else, this is threatening the democratic process in the country.

It appears that very many of these unlawful gangs enjoy political patronage and law enforcement authorities are helpless. Will the Prime Minister inform us what steps the government was taking to arrest this situation.

There is an involvement in underworld activities and drug trade of politicians. It was clear by the incident that took place at Kolonnawa on the Local Government election day. The police is not taking proper measures in these incidents. So the police is responsible for these incidents. Measures are not being taken by the police, as the 17th Amendment to the Constitution was not enacted. We request the government to solve these problems.

Opposition Leader Ranil Wickremesinghe: This situation was created due to the 17th Amendment to the Constitution not being enacted. The people are taking the law into their hands. It happened in Jaffna, Puttalam, Dompe, etc. Law and order is not prevailing in the country. Take the incident in Moratuwa for consideration. The police and people both are taking the law into their hands which is wrong.

Now Baratha is no more and Duminda Silva is in a critical situation. This situation would not have become so severe, if the Wellampitiya and Kolonnawa police performed their duties properly.

If you don't like the 17th Amendment to the Constitution, suggest another proper mechanism.

Prime Minister D M Jayaratne: By these acts you mentioned, we cannot say that law and order is not prevailing in the country. As this incident involved two prominent persons, people talk of it much. We have ended terrorism and the people are living without fear.

But it is a common scenario where such crimes occur here and there in a country that ended a war which prevailed for a long period. It is because that some people have no proper mental condition.

The government led by the President has directed to take all unauthorized weapons into custody. It is in progress.

The other matter is that although no member can make incorrect statement in Parliament, opposition members talk of 'hearsays'. We too do the same. So we have directed the authorities to investigate the truth.

On the other hand, authorities have shown that 0.225 percent of the population are criminals. It is difficult to spot them and the government is striving to find them out. There are 8,225 active politicians in the country. They have a responsibility to take measures to control this menace.

For 10 long years, the Opposition could not appoint one member to the committee to enact the 17th Amendment to the Constitution. So we had to introduce the 18th Amendment to the Constitution.

The Opposition has failed to select even one member to the committee for 10 years. We were unable to enact the 17th Amendment to the Constitution because of the Opposition.

The Opposition says there is no media freedom. But the media carries everything they want. There's enough media freedom in the country today.

The Opposition criticized the police. But the police is not corrupt. It is good. Only a few in the police may do mistakes.

The scenario is same with the Opposition, only few of the Opposition is bad. You should not condemn the police and security forces. Today Sri Lanka is far better compared to other countries in the world.

A H M Azwer takes the Chair.

Petroleum Industries Minister Susil Premajayantha:

We know that during the last 30 years, law and order had been severely threatened. During the 1989 period, 6 lawyers left the country finding it difficult to engage in their profession. Shops in towns closed instantly due to a short message which came on a small piece of paper. Law and order was threatened severely in such a way.

But the situation has changed today. There are a few isolated incidents taking place and we cannot come to a conclusion that the situation in the country is worse.

When a crime is committed, politicians do not get involved in investigations. There is a mechanism for that. The government and politicians create a conducive environment for them to maintain law and order.

Karu Jayasuriya (UNP): We have submitted a name for the committee in the 17th Amendment to the Constitution. We went before courts in that regards as well. We don't accept the 18th Amendment to the Constitution.

A former Member of Parliament was killed recently. An independent investigation should be conducted in that connection.

Health Deputy Minister Lalith Dissanayake: It is ridiculous that the UNP speak of law and order. When the UNP won in 1977, JR granted a two week leave for the police and they committed criminal acts. Today the Opposition can speak of law and order. But when LTTE terrorism existed, there were LTTE police and courts in the North. But they are no more, thanks to this government led by President Mahinda Rajapaksa. Law and order was severely threatened those days, not today.

Dayasiri Jayasekera (UNP): Gun toting gangs are running around the country. The destruction caused to society due to these illegal activities are untold. The underworld should be suppressed.

Thousands of complaints were lodged to the police by the ordinary people with regard to criminal activities. But no action has been taken so far to bring the culprits to book.

Public Administration and Home Affairs Minister W.D.J. Seneviratne: It was the UNP who misused power during its regime. The violent political culture was created in Sri Lanka during the UNP regime.

Thugs were linked to the political culture during the UNP era. It resulted in destroying of law and order in Sri Lanka. The UNP called thugs as the people who render a great service to the country.

The government is fully committed to implement law and order in this country. The culprits who were responsible for the murder of two youth in Angulana were sentenced to death within a very short period.

Sports Minister Mahindananda Aluthgamage: The UNP has collapsed today. The UNP was able to win only one local body while being defeated in all 22 local bodies. Today the UNP cannot go to villages. They are trying to cover up their weaknesses by highlighting Bharatha Premachandra's death. It was the present government which suppressed underworld activities. There is no underworld today.

The UNP has no moral right of talking about killings. We are worried about the unfortunate death of Bharatha Premachandra. We will do everything possible to identify the culprits of the incident and bring them to book.

S. Vino (DNA): A number of unlawful activities are being taking place in the North. The government should take measures to prevent such violences.

Harin Fernando (UNP): The main reason for the unfortunate death of Bharatha Premachandra was a strong link between politicians and the underworld. The government today protects the underworld. The police have no power today. Politicians are controlling the police. There should be discipline in this country. Then only can we create our country as the 'Wonder of Asia'.

Port and Highways Deputy Minister Rohitha Abeygunawardena: JR created the underworld in 1977.

There we heard of Soththi Upali and Gonawala Sunil. We were afraid to hear even their names. That underworld culture existed until 1994. We could not come to Parliament to talk of them. It was President Mahinda Rajapaksa who changed this culture.

When I visited prison to see D.M. Dassanayake, I was arrested as I parked my vehicle opposite the prison, though I was a Member of Parliament. That was the democracy that prevailed during the UNP regime.

The House adjourned until 1 pm today.

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[Govt presents Parliament details of supplementary estimates]

The government yesterday, presented to Parliament details of supplementary estimates running into millions of rupees that were granted in the month of July, mainly to the Defence Ministry and the Army, Navy and Air Force for various expenses, including purchase of vehicles.

The money had been allocated in the month of July under the Budgetary support services and contingency liabilities project of the Treasury.

More than Rs 18 million has been allocated to meet the shortfall of provision for rent charges of the Office of the Chief of Defence staff while Rs 100 million has been provided to the Air Force to implement a Runways Project.

Another Rs 302 million had been granted to the Defence Ministry to settle the outstanding loan balance amount and interest for the Ipologama Housing project while Rs 331 million had been given to the Army to meet the increased estimated cost of construction of prefabricated buildings in the north for army personnel.

Meanwhile the Navy had been given over Rs 3.3 billion to settle outstanding fuel bills related to 2010, while the Air Force got around Rs 624 million for the same purpose. The Air Force also received an additional Rs 280 million to settle electricity and water bills as other services.

The Defence Ministry also received Rs 6.5 million to meet the shortfall of provisions on domestic travelling and other recurrent expenditure.

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[Supplementary estimate of Rs 5,300 m for fertilizer subsidies]

The government submitted a supplementary estimate of Rs 5,300 million in Parliament yesterday to meet the expenditure of fertilizer subsidies. This allocation is being made to the Agrarian Services and Wildlife Ministry.

This estimate is included in the Supplementary Allocations from the Budgetary Support Services and Contingency Liabilities Project submitted by Prime Minister D M Jayaratne.