LRL was granted an enjoining order against the SLTDA by the District Court on June 16, over the unlawful claim made by the SLTDA on a land handed over to Ascot Leisure Pvt Ltd (now Lanka Realty Leisure Pvt Ltd).
Conflict of interest!
It was reported that SLTDA Chairperson, Kimarli Fernando has tried stalling the development process of the property in question when LRL has a 99 year leasehold right to the 7 acre property in the Palatupana development area in Yala.
It is a well known fact that another property, Wild Coast Tented Lodge, that was developed by Kimarli Fernando's husband Malik Fernando and his family (Dilmah Tea), sits on the immediate neighbouring site to the LRL's proposed development site. Therefore, allegations have been leveled against the SLTDA chairperson Kimarli Fernando for protecting her husband’s family owned business operation, Wild Coast Tented Lodge where Kimali's husband Malik is a director and a major shareholder, by stalling the development process of LRL's property.
State coffers to hire private attorneys!
It is usual practice for the Attorney General to represent a state institution when a case has been filed against a state body. However, when the case in relation to Lanka Realty Leisure (Pvt) Ltd and the Sri Lanka Tourism Development Authority was called on June 30, President's Counsel Romesh De Silva appeared for the SLTDA. It appears that Kimarli Fernando has deviated from standard practice and retained a senior President's Counsel from the private bar, arguably the highest paid attorney in the island, to represent the SLTDA.
The enjoining order granted to Lanka Realty Leisure (Pvt) Ltd against the Sri Lanka Tourism Development Authority (SLTDA) was extended till July 13 by the District Court of Colombo yesterday (30).
Furthermore, it is reported that the SLTDA chairperson had not received approval neither from the SLTDA Board nor the Ministry of Finance in clear violation of the due process. The Board members have expressed their strong reservations over the chairperson's proposal to misappropriate public funds by hiring a member from the private bar instead of seeking the legal counsel from the Attorney General's department, internal sources said.
At a time when the tourism industry has been decimated due the Covid-19 pandemic and in the absence of any support from the government, it is appalling to see public funds to the tune of millions being utilised to hire private counsel to delay much needed tourism development projects of rival companies.
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