At yesterday’s Committee on Public Enterprises (COPE) meeting, it was revealed that shares intended for employee welfare at Lanka Transformers Limited (LTL) had been distributed among senior officials.
LTL was summoned to clarify the matter following questions raised about the Ceylon Electricity Board (CEB) during the COPE session on September 25. The company, established in 1980, is a private entity initially owned 70% by the CEB and 30% by a Scottish firm, and is not subject to government audits.
During the session, COPE questioned how 76% of shares held under a trust were distributed among 15 individuals. CEO Nuhuman Marikkar explained that the shares were legally allocated when the company was formed, and employees—including Chief Technology Officer H.D. Chaminda—have received dividends over the years.
COPE expressed concerns that dividends from certain shares do not return to the public, raising transparency and auditing issues, particularly given LTL’s investments exceeding Rs. 10 billion.
A tense exchange occurred when MP Chaminda Wijesiri questioned COPE’s authority to summon a private company. COPE Chairman Dr. Nishantha Samaraweera clarified that scrutiny was warranted due to the involvement of public funds and that LTL was brought in to assist with the ongoing investigation into CEB operations.
