Opposition MP Eran Wickramaratne has questioned the denial of access to Puttalam Ilmenite Limited (PIL) by Sri Lanka Cement Corporation (SLCC) jeopardising its mineral sands project.
Raising his concerns in writing with the Parliament, MP Wickramaratne questioned why Puttalam Ilmenite Limited which has spent over USD 20 million on the project over the last 10 years, has been denied entry to Sri Lanka Cement Corporation land hindering the project realisation.
MP Wickramaratne said the envisaged investment is USD 100 million which is the largest ever mineral sector investment in the country, and a significant contribution to the FDI flow at this critical juncture.
The MP’s question which anticipates written answers this week (Aug 07) from the Minister of Industries inter alia about the manner and methods in which Sri Lanka Cement Corporation(SLCC) entered into an agreement with an entity called Asha Minerals (Pvt) ltd.
MP Wickramaratne points out that the agreement has been made violating the Mines and Mineral Act, and Intellectual Property Act and depriving the investment rights of the PIL which already possessed required licences long before the agreement with Asha.
The following is the Parliamentary query by MP Eran Wickramaratne from the minister of Industries;
- Reason for not taking action for the letter dated 23.05.2023 of the Ministry of Industries
- Outcome of the appeal of PIL, forwarded to the Ministry of Finance on 19.10.2023
- Reasons for not following instructions given to the SLCC by the Ministry of Finance on 30.01.2024 and 11.03.2024 respectively and,
- Manner in which the compliance is enforced on SLCC by the line Ministry of Finance now.
Providing details on the Sri Lanka Cement Corp (SLCC), MP Wickramaratne said the entity was under the purview of the State Ministry of Primary Industries which was under the Line Ministry of Industries. “As there was no progress or remedy in this case later the Cement Corporation was brought under the purview of the Ministry of Finance.
“But despite the instruction by the Treasury, the members of the SLCC Board of Directors have so far not complied with the Treasury instructions, while the SLCC board members appointed by ex-State Minister Chamara Sampath Dassanayake continue to occupy the hot seat.
“It is reported that Asha Minerals is a company with a share capital of Rs 1000 as per its Form 15 Annual Return. On paper, Asha is owned by one individual Tushan Fernando, believed to be the brother-in-law of ex-MP Susantha Punchinilame. The CEO of Asha is Rasika Attapattu who appears to have no mineral sector experience whatsoever but has managed to short-circuit the normal approvals and ignore others. Most importantly, Asha does not have any licence from GSMB (mines Bureau) but is supposedly still engaged in construction work on the site under the facilitation of SLCC,” he said.
MP Eran Wickramaratne further said the Puttalam Ilmenite Limited (PIL) including their reputed joint venture partners such as Dilmah, has already spent around USD 20 million, and their BOI investment proposal with blue chip Australian & Chinese partners on 27th of January 2022 was granted approval.
He added that PIL also possesses licences from the GSMB for many years, and has exclusive rights to the mineral sands, however, PIL is denied site entry by SLCC. (Newswire)