The Hon. Major General (Rtd.) Aruna Jayasekera - Deputy Minister of Defence
The Deputy Minister of Defence provided a detailed reply on the history, assignments and revenue arrangements for maritime security services involving the Sri Lanka Navy, Rakna Arakshaka Lanka Ltd and Avant Garde Maritime Services. He stated that the service began in 2009, shifted between the Navy and the RALL-AGMS joint venture, and that a 2025 Cabinet decision and Extraordinary Gazette authorised the Navy to provide the service independently. He reported JV income of USD 14.12 million from September 2021 to July 2025, with about USD 2.12 million paid to the Navy, while Navy-only operations from October 2025 to February 2026 earned USD 598,250 for the Consolidated Fund. He also said the Navy had received Rs. 2.39 billion in total from earlier arrangements and noted an unpaid Rs. 782 million allegedly due from Avant Garde.
Verbatim record (translated)
Machine-translated from Sinhala / Tamil / English¶ 01 Hon. Speaker, I provide the reply on behalf of the Minister of Defence.
¶ 02 (a) (i) Commenced in 2009. (ii) Sri Lanka Navy.
¶ 03 (b) (i) On 15 October 2012, responsibility was assigned to the RALL-AGMS Joint Venture (JV) established between Avant Garde Maritime Services (Pvt) Ltd and Rakna Arakshaka Lanka Ltd. (ii) From 13 November 2015, it was reassigned to the Sri Lanka Navy. (iii) From 15 September 2021, again assigned to the RALL-AGMS JV. (iv) After we assumed office, as per H.E. the President’s instructions, by Extraordinary Gazette No. 2449/27 dated 13 August 2025 (effective 10 August 2025), approval was granted for the Sri Lanka Navy also to provide these services. (v) Accordingly, both the RALL-AGMS JV and the Sri Lanka Navy have provided these services separately. (vi) By Cabinet decision dated 9 August 2021 pursuant to Cabinet Memorandum 21/1435/303/115 of 3 August 2021, the RALL-AGMS JV was established as a public-private partnership (PPP). (vii) By Cabinet decision dated 7 July 2025 pursuant to Cabinet Memorandum 25/1165/803/031 of 18 June 2025 and Extraordinary Gazette No. 2449/27 of 13 August 2025, approval was granted for the Sri Lanka Navy to provide these services from 10 August 2025.
¶ 04 With respect to income: - For 15 Oct 2012 to 13 Nov 2015, income data are not with the Ministry of Defence as the private company received the revenues. - From 15 Sep 2021 to 31 Jul 2025, total income of the RALL-AGMS JV was USD 14.12 million. Distribution (USD): - 2021 (15 Sep–Dec): Total 1,383,205; Avant Garde share 1,116,937.79; Rakna Arakshaka 58,786.21; to SL Navy 207,481.00 - 2022: Total 3,832,310; Avant Garde 3,094,590.33; Rakna Arakshaka 162,873.18; to SL Navy 574,846.50 - 2023: Total 2,881,680; Avant Garde 2,326,956.60; Rakna Arakshaka 122,471.40; to SL Navy 432,252.00 - 2024: Total 4,394,080; Avant Garde 3,548,219.60; Rakna Arakshaka 186,748.40; to SL Navy 659,112.00 - 2025 (Jan–Jul): Total 1,631,400; Avant Garde 1,317,322.49; Rakna Arakshaka 69,334.51; to SL Navy 244,710.00 - Total: USD 14,122,675; Avant Garde USD 11,404,026.80; Rakna Arakshaka USD 600,213.70; SL Navy USD 2,118,401.50
¶ 05 - From 1 Aug 2025 to 30 Nov 2025, the Ministry does not have confirmed income data for the JV. - After reassignment, the Navy has independently earned USD 598,250 from 3 Oct 2025 to 8 Feb 2026, remitted to the Consolidated Fund. Operations and income by month: - Oct 2025: 31 operations; USD 1,750 - Nov 2025: 7 operations; USD 29,900 - Dec 2025: 126 operations; USD 218,450 - Jan 2026: 147 operations; USD 243,800 - Feb 2026 (1–8): 42 operations; USD 27,050 - Total: 323 operations; USD 598,250
¶ 06 Profit sharing under the JV: - Three parties were involved: Sri Lanka Navy, Rakna Arakshaka Lanka Ltd, and Avant Garde Maritime Services (Pvt) Ltd. - From JV gross income, 15% was paid to the Sri Lanka Navy in Sri Lanka Rupees (not in USD). Of the balance, 5% of gross income (i.e., 4.25% of total gross) went to Rakna Arakshaka Lanka Ltd, and approximately 80% to Avant Garde. - Under Navy-only operations now, 100% of income is received by the Government (Consolidated Fund), in USD.
¶ 07 (c) (i) Total received by the Sri Lanka Navy: Rs. 2.39 billion. Details: - 15 Oct 2012–30 Nov 2014: USD 13,818,761.97 = Rs. 1,757,553,232.18 - Note: Avant Garde Maritime Services (Pvt) Ltd has not paid Rs. 782 million due. - 1 Dec 2014–13 Nov 2015: [No Navy payments recorded here as per the table] - 15 Sep 2021–31 Jul 2025: USD 2,118,401.50 = Rs. 633,639,240.41 - 1 Aug 2025–30 Nov 2025: No payments by Navy (JV phase) - Total: USD 15,937,163.47 = Rs. 2,391,192,472.59
¶ 08 (ii) Under the JV Agreement No. 36 dated 15 Dec 2012 between Rakna Arakshaka Lanka Ltd and Avant Garde Maritime Services (Pvt) Ltd, clause 1.14 authorized Avant Garde to determine charges. Initially, from 15 Dec 2012 to 31 Jan 2013, USD 1,000 per operation was paid to the Navy. Later, Avant Garde unilaterally revised the Navy’s per-operation charge to 28%, 25% and 17% (phased) of an operation, payable in Sri Lanka Rupees. From 15 Sep 2021 to 30 Nov 2025, as per the amended JV Agreement No. 1717 dated 17 Jun 2021 and its 17 Nov 2022 addendum, Avant Garde determined customer charges for services to private maritime security companies.
¶ 09 (iii) The Tri-forces did not provide any firearms; no monies were received for firearms. (iv) Not applicable.
Provenance
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- Hansard, Tuesday, 17 February 2026 ·No. 23279 ·English daily/uncorrected Hansard
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Cite as: The Hon. Major General (Rtd.) Aruna Jayasekera - Deputy Minister of Defence. 10th Parliament, Parliament of Sri Lanka. Hansard, 17 February 2026. No. 23279. Politick, https://staging.politick.io/lk/speeches/5821