TISL challenges Public Finance Management Bill in Supreme Court

June 8, 2024 at 1:30 AM

Transparency International Sri Lanka (TISL) has challenged the government’s Public Finance Management Bill in the Supreme Court of Sri Lanka, citing concerns over public procurement.

TISL which filed legal action against the Bill this week stated that it “seriously weakens the controls on public procurement, thereby enhancing the corruption risk and weakening the level playing field.”

According to TISL, the bill grants the Finance Minister the discretion to exempt State-Owned Enterprises (SOEs) from complying with the National Procurement Guidelines and allows Provincial Councils to adopt their own procurement guidelines.

The petition (SC SD 77/2024) points out that Clause 32 of the Bill seriously weakens the controls on public procurement, thereby enhancing the corruption risk and weakening the level playing field.

The Bill was published in the Gazette on May 10 and presented to Parliament for the first reading on May 22. Clause 32 (3) grants the Finance Minister the discretion to exempt State Owned Enterprises (SOEs) from compliance with the National Procurement Guidelines, while Clause 32 (4) permits Provincial Councils to adopt their own procurement guidelines.

TISL seeks a Supreme Court determination that these provisions related to procurement violate Article 3 (Sovereignty of the people) and Article 12 (Right to equal protection of the law) of the Constitution.

The petition, filed in the public interest, names the Attorney General as the respondent. (Newswire)