The Hon. Chandana Sooriyaarachchi

¶ 01 Hon. Deputy Speaker, today we debate important matters: the Samurdhi (Amendment) Bill; the Rubber Control (Amendment) Bill; regulations under the Sports Law; and regulations under the Judicature Act.

¶ 02 I wish to address the Bill to amend the Samurdhi Act, No. 1 of 2013, to bring Samurdhi Community-Based Banks and their Unions under government audit. Since 1989—with Janasaviya, then the Samurdhi Authority from February 1, 1996, and later “Divi Neguma” in 2017—successive governments sought to alleviate poverty. Yet decades later, we have failed to meet the original objective.

¶ 03 The present National People’s Power (NPP) government is putting in place practical measures, rectifying problems and ensuring acceptance and proper audit. There are 1,097 Samurdhi Community-Based Banks and 335 Unions; their funds have not been under state audit. This amendment strengthens financial oversight, transparency, and accountability in managing state funds under Samurdhi.

¶ 04 The 2023 audit report states: the Department could not include these funds in annual financial statements; no annual statements were prepared or submitted to the Auditor General; even ten years after establishing the Department of Samurdhi Development, the funds were not brought under audit; therefore, possible misuse could not be examined and these funds remained outside state control. Historically, some rulers used these institutions for political ends. This amendment will subject the banks’ and unions’ funds to audit. Management Boards of eight members have decided the use of funds without adequate accountability.

¶ 05 We also know of abuses under “Divi Neguma”: Rs. 1.17 billion from its fund used for compensations and rewards without Treasury approval; Rs. 2.99 billion drawn without Treasury approval to pay Rs. 2,500 each to Samurdhi beneficiaries targeting the 2015 Presidential Election. There were also purchases like GI pipes worth Rs. 6.75 million for Divisional Secretariats. Under the Rajapaksa family rule, unchecked funds were used for political publicity. Even under the “Yahapalana” government, then-Minister Daya Gamage used funds for T‑shirts and promotions. Hence the urgent need for audit.

¶ 06 This NPP government is acting against fraud, waste and corruption, and instituting proper financial and state management. We will close legal and technical loopholes that allowed misuse.

¶ 07 Further, the Department has a large cadre and many functions that need re-organization. At the same time, while the Leader of the Opposition may raise the smallest matter with Standing Order 27(2), there are pressing national issues like the ongoing postal strike that have not been so raised. The NPP government has strengthened the public service: increased salaries by 66%; ensured back payments from 31 March 2025 to be paid as per the 2027 scale; raised disaster loans from Rs. 250,000 to Rs. 400,000; and is creating a new national salary structure via a commission to enhance professionalism.

¶ 08 Hon. Deputy Speaker, with that, I conclude by reiterating that this amendment will bring Samurdhi banks under proper audit.

¶ 09 Thank you.