Lankapage Logo Recent Top Stories
CP 14 YEARS
Go Home Home Serving the Sri Lankan community globally since 2000
go to LankaPage.com

Leading News from Sri Lanka::

* Losses at Sri Lanka Urban Development Authority since 2006 exceeds Rs. 1 billion
Sun, Apr 27, 2014, 06:36 pm SL Time, ColomboPage News Desk, Sri Lanka.

Apr 27, Colombo: The Auditor General of Sri Lanka has said that the accumulated losses of the Urban Development Authority (UDA) since 2006 till 2011 amounted to over Rs. 1 billion.

A report submitted by the Auditor General on the authority responsible for urban development in the country to parliament has revealed the accumulated losses amounted to Rs 1.23 billion during the five year period.

The report has stated that even though the UDA had realized a profit before tax of Rs. 242 million in 2011, the profit was due to a receipt of Rs. 532 million from the General Treasury.

The UDA Chairman in response to this observation has said that despite the continuous losses incurred by the UDA from 2006, it has been able to minimize the net loss in 2010 in comparison to 2006, and to reduce the Administration and Operational cost by a large amount, and generate a profit at the end of 2011, by improving the income through the implementation of proper Administration in the Authority within 2011.

The Auditor General has also noted of several other financial losses running into millions of rupees incurred by the UDA over the years.

In one instance, the UDA had issued debentures amounting to Rs. 10 billion redeemable in five years, in October 2010, with a view to obtaining funds for the national programme, on the construction of 60,000 permanent houses for shanty dwellers in Colombo City, local newspaper Sunday Times reported.

The Auditor General has added that even though the Authority had been informed by the Attorney General in writing, that the UDA was not authorized to establish a company for managing rest houses. The Authority had established a company named UDA Rest House, exceeding its legal powers.

The Auditor General has also said that no action had been taken to pay Rs. 406,483,000 to a Company on behalf of the "Waters Edge Hotel", which was vested in the Authority in 2008, according to a Court decision.

ColomboPage - Recent 10 Stories
World Bank lending US$ 165 million to Sri Lanka to provide safe drinking water and improved sanitation
-- [31 minutes ago]
Qatar Airways to fly Dreamliner to Colombo from September 1
-- [8 hours ago]
Sri Lankan President talks of raising per capita income to US$ 6000
-- [9 hours ago]
Sri Lanka initiates collaboration with CERN
-- [9 hours ago]
Sri Lanka Parliament dissolved due to inability to get 20A passed, not to cover up COPE report on bond issue - Deputy Minister
Sri Lanka Tamil party asks government to release Tamil political prisoners before diaspora festival
Extreme Sri Lankan Buddhist organization forms a political party to contest general election
Heavy industry sector still plays a critical role in Sri Lanka economy - Minister
President commends decades long service of retiring Sri Lankan consul in Hong Kong
Sri Lanka signs Article of Agreement of the Asian Infrastructure Investment Bank

Copyright © 2000, 2014 by LankaPage.com (LLC) :
The news and other contents on ColomboPage are copyrighted property of LankaPage.com, LLC. Any unauthorized use of any information on ColomboPage may constitute a violation of copyright laws. You need written permission to reproduce, republish, post, transmit, broadcast or distribute, material from this site from LankaPage.com, LLC. However, news organizations or broadcasters in Sri Lanka may republish the news items in ColomboPage with proper acknowledgment to ColomboPage.