THURSDAY, APRIL 16, 2020Maintain Distance, Stay Safe

SEE FULL STORIES ON PAGE 2

The onset of the inter-monsoon season has resulted in the National Dengue Control Unit (NDCU) urging the public to take necessary precautions to prevent a dengue outbreak in the country.

Dengue threat returns

Chairman of the Election Commission (EC) Mahinda Deshapriya said that although the Janatha Vimukthi Peramuna (JVP) had made a request seeking a meeting to discuss the impending general election, he cannot make a decision on his own.

JVP REQUESTS MEETING

EC yet to receive letter

BY MAHEESHA MUDUGAMUWA

Private retailers have increased the prices of dhal and canned fish claiming that they couldn’t sell them at the government stipulated prices of Rs. 65 per kg of dhal and Rs. 100 per can of fish.

As learnt by The Morning, a subsidy would be provided to Sathosa and Co-operatives, the two state-owned retailers for providing dhal and canned fish at government-controlled price. However, since the private retailers would not be receiving the subsidy,

they have decided to increase the prices, it is learnt.

When contacted, Consumer Affairs Authority (CAA) Director of Consumer Affairs and Information Asela Bandara told The Morning that the CAA is conducting daily raids to monitor the implementation of maximum retail prices (MRP) announced by the Government.

“The raids are being conducted while avoiding any inconvenience to the public as the retailers are busy providing essentials for the public during the non-curfew times and therefore, the CAA was making sure the supplying of necessities to the public and at the same

time the raids are being conducted,” he added.

Meanwhile, a famous supermarket chain has also announced the increase of the prices of dhal and canned fish. Accordingly, the new price of a kilogramme of dhal is Rs 134 and the new price of a tin of canned fish is Rs. 193.

A kilogramme of dhal was usually sold at Rs. 130 before it was reduced to Rs.65. The control price has been in effect for just 20 days.

Sathosa Chairman Nushad Perera noted that all Sathosa outlets countrywide are still selling dhal and canned fish at controlled prices and that there is no change in that.

DHAL AND CANNED FISH

Pvt. retailers hike prices

There have been several reports that the allowance promised by the Government for the elderly, disabled, and kidney patients has not been received by some of the eligible individuals.

Rs. 5,000 allowance will be paid: Govt.

The curfew imposed on 19 districts – excluding the Districts of Colombo, Gampaha, Kalutara, Kandy Jaffna, and Puttalam – will be relaxed from 6 a.m. today (16) and re-imposed at 4 p.m. this evening.

Curfew temporarily lifted in 19 districts

The Criminal Investigation Department (CID) has uncovered links between former Minister Rishad Bathiudeen’s brother Riyad Bathiudeen and the Easter Sunday bomb attacks, Police Spokesperson SP Jaliya Senaratne told The Morning yesterday (15).

He said the CID had uncovered that Riyad Bathiudeen had met one Easter Sunday suicide bomber at a luxury hotel in Colombo and that he had had connections with another suicide bomber as well.

Further investigations are being conducted by the CID, SP Senaratne said, adding that so far 119 suspects in connection with the attacks are in CID custody while another 78 are in the custody of the Terrorism Investigation Division (TID).

Contd. on page 2

2019 EASTER SUNDAY ATTACKS

CID uncovers links with bombersz Attorney-at-Law also arrested

BY AGRA RANASINGHE

The Sri Lanka Navy has brought its offshore patrol vessel (OPV) with a large quantity of drugs along with the suspects in high seas, about 548 nautical miles off the coast of Sri Lanka, to the Dikkowita Harbour last (15) morning.

Navy Commander Vice Admiral Piyal De Silva said this mission was the result of a successful operation carried out by the Navy based on information received from persons aboard the vessel arrested on 28 March.

Navy seizes shipload of narcotics

The Sri Lankan Rupee (LKR) has appreciated to Rs. 195.78 against the US dollar.

The rupee has been under pressure over the last few weeks due to the prevailing Covid-19 pandemic, hitting an all-time low of Rs. 200.46 against the US dollar as at 8 April 2020.

Rupee appreciates to Rs. 195.78

Multi-day fishing boat owners around the country are struggling to sell their catch amid the tough measures implemented by the Government to control the spread of coronavirus.

The fishermen alleged that there was no government mechanism to

enable them to sell their catch or for the Ceylon Fisheries Corporation (CFC) to purchase.

Speaking to The Morning, Trade Union of Owners of Multi-day Trawlers (MDT) Secretary Ruwan Fernando stressed that there are around 3,000 multi-day fishing boat

owners and all of them are in dire straits as they had to incur huge losses in their previous catch due to the current situation of the country where they couldn’t sell the fish at a proper rate.

However, the MDT urged the Government to provide a fuel subsidy

for all these fishermen until the situation returns back to normality. “The cost per a kilogramme is about Rs. 500 and when they have to sell it at Rs. 250, the fishermen cannot run the industry. That’s why they need a fuel subsidy,” he explained.

According to Fernando, there are

around 6,000 multi-day fishing boats in the country. Fernando noted that if the Government could sell a litre of diesel at Rs. 75 since the fuel prices have gone down in the world market, the fishermen would be able to continue fishing,” he stressed.

Contd. on page 2

MULTI-DAY FISHING BOAT OWNERS UNABLE TO SELL CATCH

Fish rotting in boats without buyersz Only high-quality fish purchased, says CFC z MDT urges Government to provide fuel subsidy

Former Prime Minister Ranil Wickremesinghe said Sri Lanka’s lockdown should be partially lifted with rigorous testing.

Wickremesinghe made this statement during an interview with Indian news channel WION.

He said that it was necessary that Sri Lanka partially lifts the lockdown for economic revival and

keep rigorously testing by taking countries such as South Korea and Germany for example.

“This is the most challenging period after World War II; we are going to see a downside in the global economy. Furthermore, there is no visible global leadership in response to the pandemic,” he had noted.

Contd. on page 2

RIGOROUS TESTING REQUIRED

RW calls for partial lifting of lockdown

Easing the minds of those confined to their homes, the Sri Lanka Air Force Band hosted a musical show near the Thotalanga Housing Scheme, Colombo yesterday (15)

PHOTO ESHAN DASANAYAKA

Lifting morale

President Gotabaya Rajapaksa chaired a meeting at the Presidential Secretariat yesterday (15) to explore the possibility of immediate resumption of daily economic activities at provincial levels in order to safeguard the national economy.

The President’s Media Division said several representatives of the health sector, including all the Provincial Directors of Health, briefed the President on the current situation in the country.

Decisions to relax current restrictions will be made

only after taking into consideration the health situation at each province. One of the main objectives is to pay special attention to the livelihood of daily wage workers.

Individuals infected with coronavirus at each province, people they have associated with, and the current quarantine process including the present condition of the quarantine centres were some of the topics discussed. Attention was also paid to the system of identifying infected people on a daily basis.

Contd. on page 2

Prez. considers resuming economic activity

REOPENING UNIS IN MAY

Will reopen if situation continues to improve: UGC

The Federation of University Teachers’ Association (FUTA) has raised concerns over the move by the authorities to reopen universities in May while the University Grants Commission (UGC) says it will go ahead with the partial opening of universities in early May if the Covid-19 situation continues to improve in the country.

BY SKANDHA GUNASEKARA

The Government asserted that the World Health Organisation (WHO) has given the Government complete discretion when it came to the final rites of an individual deceased due to Covid-19.

Government Spokesperson Minister Keheliya Rambukwella pointed out that it was the WHO that was the premier authority on global health-related matters and not the United Nations (UN).

Contd. on page 2

Individual govts. given full discretionz Govt. responds to UN

BY SARAH HANNAN

With the onset of the monsoon and thunder showers coupled with locaclised strong winds sweeping across at least six provinces, it is reported that houses are being affected by adverse weather.

The most recent incident was reported on Tuesday (14) when 13 estate houses in the Norwood area of the Central Province were damaged by rain.

Disaster Management Centre (DMC) Assistant Director and Spokesperson Pradeep Kodippili, speaking to The Morning, said:

“No person was injured from the rains and families living in all 13 houses have now been sheltered at a safe location. We have made arrangements to provide them with cooked meals. In the meantime, our district disaster management unit along with the divisional secretariat and the grama niladhari will assess the extent of the damages caused by the rain.”

According to Kodippili, based on the damages assessed, the DMC will allocate between Rs. 10,000 and Rs. 2,500,000 to the families to repair/rebuild their houses.

Contd. on page 2

THUNDER SHOWERS AND STRONG WINDS

DMC on standby to assist publicz 13 houses damaged by winds in Norwood

epaper.themorning.lkepaper.aruna.lk

www.themorning.lkwww.aruna.lk

epaper.themorning.lkepaper.aruna.lk

www.themorning.lkwww.aruna.lk

CID uncovers...Two suspects including Riyad

Bathiudeen were arrested on Tuesday (14) following a special operation launched by the CID in connection to the Easter Sunday terror attacks last year.

Following the attacks last year, former Minister Rishad Bathiudeen was among the officials summoned to testify before the Parliamentary Select Committee (PSC) that probed the Easter Sunday attacks in 2019.

The tragic incident of 21 April 2019 left over 250 persons dead as a result of suicide bombings in three churches and three luxury hotels.

Meanwhile, the CID had also arrested an Attorney-at-Law with regard to the investigations into the Easter Sunday attack, SP Senaratne said, adding that the CID is currently conducting further investigations.

DMC on...When asked as to how the DMC is

preparing to face the potential natural disasters caused by the monsoon, Kodippili said the DMC will be co-ordinating with the relevant institutions to ensure the reduction of potential damages for human life, adding that relief measures too are already in place in case of an emergency.

Moreover, with showers experienced in most parts of the island, Kodippili stated that the drought would also be cleared in most parts. He noted that from January up to date, the Government has spent close to Rs. 35 million just on distributing drinking water to areas which required it.

Individual govts...“Well, the UN says something but the

UN is not the key authority on health. WHO is. The WHO has said that a specific country can make a decision on disposing of the bodies of Covid-19-infected patients depending on the conditions, environment, and other background situation. Basically, it’s a debate between the UN and WHO on this,” he said.

He said that Sri Lankan health authorities made the final call. “As far as WHO and local arrangements are concerned, it all depends on the health sector of Sri Lanka.”

Minister Rambukwella then noted that the recently gazetted guideline for disposing of the bodies of Covid-19-infected persons infringed upon the rites of the majority Sinhalese as well as minority groups.

“You must also remember that the 74% majority of the population are Sinhalese and they too will have their rights curtailed as a result of the gazetted cremation guidelines.”

The Minister of Health and Indigenous Medical Services last Saturday (11) issued an Extraordinary Gazette notification announcing the new regulations with regard to the cremation of the corpse of a person who has died of coronavirus.

Four special UN Rapporteurs had written to President Gotabaya Rajapaksa to reconsider his Government’s decision to make it mandatory to cremate the body of a person who died of Covid-19.

In the letter dated 8 April 2020, the Special Rapporteurs raised concerns over the lack of consideration and sensitivity provided in the new gazetted guidelines of the Ministry of Health.

“Indeed, when cultural or religious sensitivities are involved, an inclusive and participatory dialogue or consultation with relevant stakeholders, including the civil society and different ethnic or religious communities, must be conducted before a decision is taken,” the Special Rapporteurs said.

The four Special Rapporteurs who wrote to President Rajapaksa comprised the Special Rapporteur on freedom of religion

or belief; Special Rapporteur on the right of everyone to the enjoyment of the highest attainable standard of physical and mental health; the Special Rapporteur on minority issues, and the Special Rapporteur on the promotion and protection of human rights and fundemental freedoms while countering terrorism.

Fish rotting...MDT Assistant Secretary Tyronne

Mendis noted that the fishermen in the area are now getting ready to go fishing after halting it for the New Year and Easter but are in doubt whether it would be worth catching at this time.

“Before the New Year, we sold a kilogramme of kelawalla fish for Rs. 270, which is way below the market price that was earlier at Rs. 800-900,” he stressed.

He noted that they have requested the CFC to purchase the catch to which they have not yet responded.

However, when The Morning contacted CFC Managing Director Krishantha Rathnaweera, he pointed out that the corporation would only purchase quality fish and it had already purchased fish worth Rs. 100 million.

“So far we were given Rs. 100 million and that is for purchasing fish from fishermen and providing them at a reasonable price for consumers. In addition, the CFC will also increase cooling capacity so as to store large quantities,” he explained.

Rathnaweera alleged that some fishermen were trying to sell their low-quality catch to the CFC, which he said the corporation would not allow. “CFC cannot incur losses and sell rotten fish to consumers. It should look after both the consumers and fishermen,” he added.

He further noted that CFC would continue to purchase catch from fishermen in the future.

– Maheesha Mudugamuwa

Dengue threat...Officials at the NDCU said that as of 11

April, a total of 18,500 dengue cases have been reported, with the highest number of cases being reported in January at 11,595, February at 5,316, March at 1,482, and so far in April at 107. “This year, we have not yet received reports of deaths due to dengue fever. But the coming months are very crucial, as the number of cases could start increasing with the rainy season. We urge the public while they stay safe at their homes to also look at keeping the environment around their houses clean.”

The public is requested to eliminate any areas that water could collect and is required to spend at least 30 minutes a week in activities such as discarding plastic cups, tins, bottles, coconut shells, etc. responsibly; covering water storage tanks, barrels, wells, buckets, and toilet cisterns; cleaning and removing water in roof gutters, flower pots, vases, bird baths, and refrigerator trays; and storing reusable items under a shelter, especially tyres, wheelbarrows, paint buckets, and other receptacles.

– Sarah Hannan

EC yet...When The Morning inquired about the

discussion requested by the JVP, the EC Chairman said he had not yet received the letter the JVP claims to have sent seeking a discussion. He added that since the office of the EC has been closed for a few days, he is likely to receive the letter today (16) since operations resumed from tod

– Agra Ranasinghe

Rs. 5,000...According to Minister of Health and

Indigenous Medical Services, Women and

Child Affairs, and Social Security Pavithra Wanniarachchi, the allowance of Rs. 5,000 has already been paid to persons in the list.

“We have also made arrangements to pay the Rs. 5,000 allowance to persons who were not listed but have now been referred to us through the village committees. Whoever did not receive the allowance but have qualified to receive the same will be allocated allowances from 15 April onwards. I have been informed by the Presidential Task Force appointed to ensure essential services in the country that directives have been issued to the relevant grama niladharis,” Wanniarachchi stated.

So far, 574,687 elderly persons have qualified to receive the allowance while an additional 61,615 elderly persons were referred to by the village committees to receive the allowance. Moreover, 38,747 kidney patients have been included to receive the allowance and in addition, 5,8884 new kidney patients have been added to the list up on reference, the Minister added.

– Sarah Hannan

Curfew...The decision taken by the Police to relax

the curfew on 14 April at 6 a.m. had later been changed to 16 April.

The President’s Media Division announced in a statement that the curfew will be effective until further notice in the Colombo, Gampaha, Kalutara, Kandy, Jaffna, and Puttalam Districts.

The statement further said that movement between districts and abusing the Government ‘s mechanism is strictly prohibited and that the law would be strictly enforced against those who fail to comply with the mechanism.

– Agra Ranasinghe

Navy seizes...Based on that information, a shipload

of narcotics was found off the coast of Sri Lanka. Immediately responding to the situation, on 30 March, the offshore patrol vessel SLNS was sent to sea for a 14-day mission. Meanwhile, the Navy Commander emphasised that the fishing community should continue their livelihoods so as not to get caught in the drug trade.

The Navy has seized 718 kg of heroin, 797 kg of stalled methamphetamine, 581 kg of ketamine, and 2,475 kg of cannabis in the first three-and-a-half months of 2020 under a record-breaking narcotics operation. These massive drug consignments are worth Rs. 21 billion.

Navy Commander Vice Admiral De Silva and several senior officers of the Police Narcotics Bureau and the Navy participated in the event. Meanwhile, the Police Narcotics Bureau plans to carry out further investigations into the arrested vessel, the suspects, and the drug paraphernalia.

Rupee...The Central Bank of Sri Lanka (CBSL)

last month directed banks to hit the brakes on the importation of vehicles and non-essential goods as well as to suspend the purchase of Sri Lankan International Sovereign Bonds (IBS) in order to ease the exchange rate pressure.

Furthemore, the CBSL requested all Sri Lankans and well-wishers living in Sri Lanka and abroad to consider depositing their savings and other funds in foreign currency in the Sri Lankan banking system during the three-month period commencing from 2 April 2020.

The Government announced the suspension/limitation of the importation of vehicles and non-essential goods, also banning residents from making payments through Outward Investment Accounts (OIAs) for overseas investments for a

period of three months.

Will reopen...UGC Chairman Snr. Prof. Sampath

Amaratunge told The Morning that while it was difficult to determine a definitive date the universities could fully open, limited staff and students could be allowed to restart work in May.

“It’s too early to say whether we should or shouldn’t open universities. But as it stands and if the coronavirus situation continues to stabilise and get better, then I don’t see a problem in opening universities to allow a limited number of faculty members and students to continue their activities, especially if some form of public transport is also allowed to function,” Amaratunge said.

He said that a number of university professors and faculty members had urged the UGC to allow them to continue their research programmes.

“There were a lot of laboratories and such that were being used and academics were carrying out various researches. They pointed out that their peers and partners abroad were continuing research and thus they should too be allowed to do so,” Prof. Amaratunga said, pointing out that only a very small number of staff and students would be allowed to attend initially.

He also noted that only a handful of districts had a high number of Covid-19 cases.

“Only four districts have double digits in confirmed cases of Covid-19. More than 20 districts have only one or two such cases or none at all. Therefore, if the situation continues to improve, then I don’t see why universities too shouldn’t be opened, particularly since industries will also resume functions around the same time,” he said. The UGC announced recently that staff members would be recalled to work on 4 May while second-year students would resume their curriculum from 11 May.

However, FUTA President Prof. Shyama Banneheka said that it was premature of the UGC to announce dates for reopening universities, given the Covid-19 outbreak.

“The Government hasn’t announced a date when the curfews would be lifted. The health services haven’t even announced an end to the lockdown and social distancing protocols. It is too early to guess when universities should do it. I don’t think it is correct of the UGC to take a decision to open universities, even partially,” Prof. Banneheka said.

He went on to say that opening universities would also require some functioning of the public transport system.

“Opening universities and schools would also mean the restarting of the public transport system. This would be detrimental to the efforts of implementing social distancing protocols and reducing the spread of coronavirus. School vans packed with children is one such example of how detrimental it could be,” he pointed out.

– Skandha Gunasekara

RW calls...Speaking of the Government’s response

to the Covid-19 outbreak, Wikremesinghe had said the lockdown has been “successful so far”, adding: “The health sector and the military are doing a wonderful job.”

However, he said the Government had lagged behind in terms of ensuring adequate stocks of testing kits, face masks, and ventilators. “The Government should have arranged these by January,” Wickremesinghe pointed out.

Prez. considers...President Rajapaksa further said that

the prevailing situation also provides an opportunity to pay attention to the steps that should be taken to improve the strategy.

the morningThursday, April 16, 2020

2

NEWS

Contd. from page 1

Cartoon of the day

Sri Lanka was ranked ninth in the world along with Hong Kong, the UAE, Japan, and Taiwan in the Global Response to Infectious Diseases (GRID) index, with Australia and its Prime Minister Scott Morrison taking the top spot.

The other leader who is doing exceptionally well is New Zealand’s Jacinta Arden.

The US led by President Donald Trump, in its Covid-19 responses, fares abysmally in the rankings.

The results are published in a paper titled “GRID Index: Tracking the Global Leadership Response in the Covid-19 Crisis by the Institute of Certified Management Accountants (Australia) (ICMA)”. The GRID index is designed to rank how efficiently and effectively the leadership of the country and the preparedness of its health system are in tackling the Covid-19 pandemic. The ICMA was of the view that a country’s ranking on the index could be a motivator to a country in terms of being prepared for the next global pandemic or crisis.

Dr. Chris D’Souza, the Principal Developer of the GRID index, observed that “in times of crisis, good leaders rally to nurture and protect their flock. Great leaders with vision go beyond their own national boundaries and unite the world fostering global partnerships to work towards the common good”.

Dr. D’Souza recognises that questions have been raised as to the reliability of data on each country with regard to its reporting of tests, cases, and deaths relating to Covid-19. Some countries have been accused of underreporting the actual impact for various reasons: Economic, religious, scientific, national security, lack of transparency, and sheer negligence, amongst others. Some leaders have tried to shift the blame and even conveyed misinformation to their citizens. Misinformation in some countries rises to the level of information warfare tactics with characteristics of psychological operations (PSYOPS) to build morale among their citizens and image projection to the world at large.

As such, Dr. D’Souza said that in developing the GRID index, it was important to ascertain if there was a relationship between the level of Covid-19 information coming from a country and the transparency of the country providing the information. He used a

country’s ranking on the 2019 Corruption Perception Index (CP Index) published by Transparency International as a surrogate for the level of information transparency in each country. Countries high on the list are perceived as being less corrupt and more transparent, and thus the Covid-19 information from them could be assumed to be more reliable.

Dr. D’Souza further said that it is interesting to note that apart from a few outliers, there seems to be a positive co-relationship between the transparency CP Index and the global leadership GRID Index.

Both the indices have a common leader – New Zealand. Australia ranks fourth in the GRID index, which is better than its ranking of 12th on the CP Index.

A stark contrast can be seen in the leadership responses of South Korea and the US; both countries had their first case of Covid-19 on 20 January, and the US ranks 23rd on the transparency index and South Korea ranks 39th. On the GRID index, South Korea ranks eighth in its efficiency and effectiveness in its response, and the US ranks a poor 70th mainly because of President Trump’s abject failure and inability to protect his people.

The result was that lives were saved in South Korea and lives were tragically lost in the US. The death toll in the US is currently 23,644 (as of 14 April 2020) and was growing by 2,000 a day, whereas the death toll in South Korea is 222.

Other countries that did well in the GRID index were Singapore, Iceland, Finland, Norway, Canada, South Korea, Hong Kong, Sri Lanka, the UAE, Japan, and Taiwan.

Countries that ranked low in the leadership response rankings were India, Russia, China, Indonesia, the Philippines, and Brazil. The US ranked even lower than these countries in its leadership response to the Covid-19 pandemic.

(Mirage News)

United Nations (UN) Secretary General António Guterres has said that it is “not the time” to cut World Health Organisation (WHO) resources.

His statement comes after US President Donald Trump announced that he has instructed his administration to halt funding to the WHO.

Trump said the WHO had “failed in its basic duty” in its response to the coronavirus outbreak. He accused the UN body of mismanaging and covering up the spread of the virus after it emerged in China, and said it must be held accountable.

Trump has previously accused the WHO of being biased towards China.

The US President himself has come under criticism at home over his handling of the outbreak.

“I am directing my administration to halt funding while a review is conducted to assess the World Health Organisation’s role in severely mismanaging and covering up the spread of the coronavirus,” Trump told at a news conference at the White House.

“The WHO failed in its basic duty and it must be held accountable,” he added.

Reacting to Trump’s remarks, UN Secretary General Guterres said now

was “not the time” to be cutting resources for the WHO.

The US is WHO’s biggest single funder, providing $ 400 million (£ 316 million) last year – just under 15% of its total budget. China’s contribution in 2018-19 was almost $ 76 million in assessed contributions and about $ 10 million in voluntary funding, according to the WHO website.

The organisation launched an appeal in March for $ 675 million to help fight the pandemic and is reported to be planning a fresh appeal for at least $ 1 billion.

“With the outbreak of the Covid-19 pandemic, we have deep concerns whether America’s generosity has been put to the best use possible,” the US President said.

The US is the worst-affected country in the coronavirus pandemic with 608,377 cases and 25,981 deaths.

(BBC)

UN says ‘not the time’ to cut WHO resources midst US pull out

UN Secretary General António Guterres

SL ranked 9th in Covid-19 Global Leadership Response index

The Center for SMEs of the Ceylon Chamber of Commerce will hold a webinar tomorrow (17) from 3:30 p.m. to 5 p.m. to discuss the Financial Assistance Package (FAP) offered by the Government for businesses affected by Covid-19.

The Chamber said the key areas of the webinar will cover the overview of the stimulus package and modalities of implementing the stimulus packages by representatives of Sri

Lanka’s banking and financial sectors.

Panellists for the webinar are:

y Central Bank of Sri Lanka (CBSL) Asst. Governor Yvette Fernando

y People’s Bank and People’s Leasing and Finance PLC Chairman Sujeewa Rajapakse

y Cargills Bank Ltd. Managing Director/CEO Rajendra Theagarajah

y DFCC Bank PLC CEO Lakshman Silva

y People’s Merchant Finance PLC Chairman Chandula Abeywickrema

The session will be followed by a trilingual Q&A session moderated by Ceylon Chamber of Commerce Economist Jayani Ratnayake.

For registrations, kindly email yasura@

chamber.lk or inshaf@chamber.lk.

Webinar on financial assistance for businesses tomorrow

Central Depository Systems (Pvt.) Ltd. (CDS) urged accountholders to switch to e-statements to continue to receive its annual statements due to the unavailability of regular postal services.

“CDS urges all accountholders who have not subscribed for the email version of the statement to do so immediately in order to continue to receive account statements,” it said in a press release.

Accountholders who have subscribed for the e-statement facility will continue to receive an uninterrupted service

in receiving the CDS annual statements as at 31 March 2020.

The CDS said it is not in a position to dispatch CDS statements for those who have not subscribed for the e-statement facility due to the unavailability of regular postal services in light of the current Covid-19 pandemic.

CDS accountholders can register for e-statements via email. The e-statement facility can be enabled by emailing the completed registration form to your registered stockbroker/participant. The e-statement

registration form can be downloaded via www.cds.lk and the completed form should be emailed to the accountholder’s registered stockbroker/participant.

CDS is a wholly owned subsidiary of the Colombo Stock Exchange (CSE) and is licensed as a Market Intermediary and Clearing House by the Securities and Exchange Commission of Sri Lanka (SEC). It acts as a depository in respect of securities traded on the CSE and holds the securities in custody on behalf of shareholders of the listed companies.

CSE urges accountholders to convert to e-statements

the morningThursday, April 16, 2020 BUSINESS

3

Fitch Ratings has revised conglomerate Abans PLC’s National Long-Term Rating Outlook to Negative and affirmed the National Long-Term Rating at ‘BBB+(lka), the ‘BBB+(lka) rating on Abans’ outstanding senior unsecured debentures and the F2(lka) National Short-Term Rating, on its commercial paper.

Fitch said the Negative Outlook, which has been revised downward from its previous rating of Stable assigned in November 2019, reflects the significant business interruption from the coronavirus pandemic and the implications of a downturn in discretionary spending that it expects could extend well into 2021.

“We expect Abans’ leverage to weaken to 7.8x in the financial year ending March 2021 (FY21) from 4.1x in the last 12 months to 9MFY20 – materially above 5.5x, the level at which we would consider negative rating action. We expect net leverage to fall below 5.0x by FY22, but the risks to our forecast are high, including a prolonged continuation of the pandemic, an extended ban on product importation, and potential cash flow requirements for its real estate project,” Fitch said in a media statement.

Fitch said the Negative Outlook also reflects Abans’ tight liquidity in the next few quarters, which is contingent on banks’ willingness to refinance maturing debt, thereby maintaining exposure to Abans amid the current downturn.

“The company has a track record of accessing domestic banks through all points in the cycle. As an additional measure, the company has arranged for extended payment terms with their global vendors who supply most of their products, which should also help near-term liquidity. However, we may take further negative rating action if Abans’ liquidity weakens further.”

Key rating drivers y Covid-19 to impair cash flows

Fitch noted that it expects Abans’ revenue to decline by almost 40% in FY21 as indefinite islandwide lockdowns have closed its more than 380-store retail network.

“We do not expect lockdowns to be completely lifted at least till May, leading to a significant revenue hit in 1QFY21. We expect weak sales to continue for the rest of FY21, albeit at a moderate pace as It will take time for footfall and discretionary spending to normalise, even if the lockdowns are lifted, amid economic hardship, leaving little room for non-essential purchases. We also do not expect a meaningful earnings improvement from the agricultural sector, which forms a large portion of Abans’ customer base, despite a recent improvement in harvests, due to lower overall demand.”

A full recovery of the sector may only materialise well into 2021 even if the pandemic is contained over the next few quarters, as consumers will likely defer discretionary purchases until economic activity and income levels normalise, Fitch said. It expects demand to recover to levels seen in FY20, starting in 2HFY22, helped by the pent-up demand from almost nine to 12 months and the prevailing low interest rate environment continuing into FY21. However, continuation of the pandemic beyond 1HFY21, resulting in extended restrictions on consumer movement and earnings capacity, could cause cash flows to fall further in FY22.

y Leverage to weakenFitch expects Abans’ leverage

– defined as net lease adjusted debt/operating EBITDAR excluding its finance subsidiary – to worsen to 7.8x in FY21 amid weaker EBITDAR generation. It also expects EBIT margins to contract around

300 bp in FY21 due to lower volume, higher discount sales to counter weak demand, and a substantial fixed cost base despite management’s efforts to operate on a bare-minimum cost structure. The company expects to cut down on all its promotional activities and other discretionary expenses until recovery prospects improve, which Fitch says will save around Rs. 2 billion, or 10% of revenue, in FY21. Inability to execute these cost-saving measures could further weaken leverage expectations for FY21 and beyond.

y Supply disruptionsThe Central Bank of Sri

Lanka (CBSL) has imposed restrictions on the importation of non-essential goods to the country till end-June 2020 to control currency depreciation and avert a balance of payment crisis. Consumer durable retailers, which import 90-95% of the products they sell, will face sourcing difficulties. However, Abans holds around five months of inventory, which should be sufficient to meet sales to beyond mid-FY21 due to the lower demand outlook, Fitch said. However, the ban continuing into FY22 could materially constrain Abans’ ability to raise sales to historical levels as we expect.

y Continued pressure from real estate

“Construction on its $ 184 million real estate joint venture, Colombo City Center (CCC), will be delayed by 12-24 months amid delays in selling the remaining apartments,” Fitch anticipated.

CCC has completed the construction of the presold apartments, enabling it to collect the outstanding receivables. Fitch believes these collections will be sufficient to construct the unsold apartments in FY21, which have to be sold in the next couple of years for CCC to be able to service its debt repayments starting from FY23 onwards. Fitch has not factored any capital injections into CCC in the next two years, but a prolonged delay in selling additional units could increase capital requirements at the project.

Fitch said it believes CCC has sufficient cash until end-FY22 based on cash at hand, an undrawn portion of the project loan, and the remaining presale collection, even if they do not sell any apartments in FY21 and hotel construction is delayed further. CCC also received a moratorium on interest payments for six months driven by government regulations, which should help ease the pressure stemming from possible delays

in rent collection from the mall that is primarily used to service the interest.

y Strong market positionAbans’ strong brand portfolio,

extensive dealer network, and well-managed in-house hire-purchase book will help support the company’s market position through the cycle, Fitch said. Abans has also widened its product portfolio to include low-priced, Abans-branded products, which has made its business model more resilient.

y Weaker parentFitch rates Abans based on the

consolidated profile of its weaker parent, Abans Retail Holdings (Pvt.) Ltd. (ARH), due to strong operational linkages between the two. ARH has full ownership and control of Abans, the main contributor to group consolidated EBITDAR. Fitch expects Abans to contribute more than 90% of the group’s EBITDAR over the medium term.

Liquidity and debt structure

Abans’ liquidity position is tight with Rs. 540 million cash compared with Rs. 8.5 billion debt due in the next 12 months. Around Rs. 7.2 billion of this debt consists of working capital facilities, the repayment of which is subject to banks’ willingness to refinance in the current distressed environment. Additionally, Abans is negotiating with banks to extend contractual maturities falling due in the next 12 months.

Fitch believes the company can also refinance them by drawing down on uncommitted but unutilised credit lines of Rs. 9 billion available as of end-March 2020. The rating agency’s current expectation is that banks will not materially cut down on the uncommitted credit lines to Abans, given it is a leading consumer durables retailer domestically and because it believes the height of the current economic disruption will be contained mostly to the next few quarters.

Outlook revision possibilities

Fitch listed a few factors that could individually or collectively lead to the outlook being revised to Stable:- Adjusted net debt/EBITDAR

falling below 5.5x by FY22- Fixed-charge coverage (ratio

of EBITDAR to gross interest + rent excluding Abans Finance) increasing to more than 1.3x by FY22 (LTM 9MFY20:1.8x and FY21F:0.9x)

Factors that could individually or collectively lead to negative rating action/

downgrade:- Sustained increase in Abans’

adjusted net debt/operating EBITDAR to over 5.5x

- Fixed-charge coverage declining below 1.3x on a sustained basis

- A significant weakening in the company’s liquidity position in the next few quarters

- Significant investments in non-core operations or large cash outflows to companies

outside of ARH- Sustained weakening in ARH’s

credit profile

Derivation summaryAbans is rated one notch

below Sunshine Holdings PLC (A-(lka)/Stable) as Abans has higher net leverage and more volatile cash flows due to the higher discretionary demand for consumer durables than for Sunshine’s products.

Abans is rated one notch above DSI Samson Group (BBB(lka)/Positive) to reflect its more robust business profile, while DSI’s sales remain under pressure from increasing competition in its core businesses. DSI’s Positive Outlook reflects its improving financial risk profile, which is in line with that of Abans.

Key assumptionsFitch listed its key assumptions

in this rating outlook revision:- Severe pandemic during most

of 1QFY21 and gradual ease between 2QFY21 and 1QFY22

- Footfall at retail business to fall by 75% YoY in 1QFY21 and gradually increase to historical levels by mid-FY22

- A 70% revenue decline in 1QFY21 easing off to a reduction of around 30% YoY for the rest of FY21. A 40% YoY revenue growth in FY22 reflecting almost full recovery to FY20 levels

- FY21 EBIT margin to contract 300 bp to 3.5%, owing to lower sales and higher fixed costs, and recover to 6% by FY22

- Working capital inflows in FY21 amidst ban on importation of consumer durables and extended supplier credit which will be offset to an extent by higher receivables outstanding from its hire-purchase book

- Equity injections of Rs. 600 million and Rs. 250 million in FY21 and FY22, respectively, to help finance subsidiary Abans Finance PLC meet its minimum capital requirements

- Capex to be limited to maintenance capex over the next two years

- No dividend payments till FY23

Construction on its $184 million real-estate joint venture, Colombo City Center (CCC), will be delayed by 12-24 months amid delays in selling the remaining apartments

Fitch revises Abans’ outlook from Stable to Negative

The mobile ATM allows any consumer with a Visa, Master or Lanka Pay card to withdraw cash

Seylan Bank introduces mobile ATMs and revamped digital platform

Seylan Bank PLC introduced a mobile ATM service to the public on 31 March, bringing basic banking transactions to customers’ doorsteps amidst the prevailing curfew. The mobile ATM allows any consumer with a Visa, Master, or LankaPay card to withdraw cash to support their day-to-day financial needs with ease, avoiding the clutter and long queues during the curtailment of temporary curfews.

The key locations covered by the mobile ATM service thus far include Havelock City, Soysapura, Torrington Flats, Rajagiriya, Peliyagoda, Maharagama, Kottawa, Halpita, SOS Village, Gorakapitiya, Arawwala, Dehiwala, Jampettah Street, Chetty Street, Kotahena, Thelawala, Nelumpura, Borupana, and Kandawala. The bank said it hopes to expand this service across the island in the days to come.

Understanding the increased customer desire to switch to digital platforms during these times of a global health pandemic and increasing economic

uncertainty, Seylan Bank also encourages all customers to utilise their digital banking service platforms to minimise any casualties while also confirming that their regular call centre operations are currently active along with a digital communication platform via WhatsApp (077 2008888) to further enhance customer experiences during these decisive times.

Seylan Bank’s online banking facility at www.seylan.lk includes a host of services such as online fund transfers, online utility bill payments, and online purchases. The bank has pledged to continue to fast-track its digital innovation efforts with uninterrupted banking and financial services

to support the national efforts currently in place.

Seylan Bank’s islandwide network of 217 ATMs, 70 cash deposit machines, and 49 cheque deposit machines are active 24/7 for customers with any urgent financial service requirement. All ATMs and CDMs are equipped with hand sanitizers and all customers are encouraged to use these services while adhering to the rules and regulations set in place to ensure maximum safety of all customers and staff.

The bank said it will continue to upgrade and implement improved services, honouring customer needs to the utmost while ensuring customer satisfaction and safety during these times of uncertainty.

The banks regular call centre operations are active along with a digital communication platform via WhatsApp

the morningThursday, April 16, 2020FEATURES

4

Dr. Dineshani Hettiarachchi MBBS, MSc Regenerative Medicine, MCGP, SEDA (UK). Dr. Hettiarachchi is a family physician and a lecturer at the Department of Anatomy and Human Genetics Unit, Faculty of Medicine at the University of Colombo. Email Dr. Hettiarachchi on dineshani@anat.cmb.ac.lk if you have any more questions you’d like answered here.

ANSWERED BY

aASKa doctor

Can someone have Covid-19 and also have gastrointestinal (GI) symptoms?

Yes. Even though the most common symptoms of Covid-19 are fever, dry cough, and even dyspnea (difficulty to breath), there are reports of people only

experiencing less common features like diarrhea, nausea, vomiting, and abdominal discomfort along with an early and mild onset of typical respiratory symptoms. In a new study, about one-quarter of patients showed diarrhea and other digestive symptoms and they were the only symptoms seen in mild Covid-19 cases. Those patients sought medical care later than those with respiratory symptoms.

Data from Sri Lanka is still very limited. However, researchers in Hong Kong assessed clinical data from a cohort of patients with Covid-19 and conducted a systematic review and meta-analysis of 60 studies with data on GI symptoms (4,243 patients) and 11 studies that looked at data on viral RNA in the stool. Among them, 25% had GI symptoms – most commonly diarrhea and abdominal pain. Although all patients with GI symptoms had a fever, 54% did not have a cough. Stool viral RNA was positive in 15% of all 59 patients at presentation and in 9% of the 44 without GI symptoms.

Hence, there is a possibility of showing GI symptoms along with respiratory symptoms or in isolation in Covid-19.

Q

A

BY DIMITHRI WIJESINGHE

The world is currently undergoing a transitional period of adjusting to the new order where many businesses are facing unbearable financial detriments and millions are facing potential unemployment.

The global pandemic has left no industry untouched and most are gearing up for harder times ahead; while there is never a good time to be faced with a global crisis, unfortunately for Sri Lanka, the situation could not have been worse, considering we as an island were just recovering from the repercussions of the devastating Easter Sunday bombings of 2019.

Speaking to The Sunday Morning Brunch, Colombo City Restaurant Collective (CCRC) President Harpo Gooneratne shared the sentiment, stating that while they as an industry were harbouring expectations of considerable growth and stability in the sector in 2020, the Covid-19

pandemic hit at a time while they were still in recovery.

He shared that the restaurant sector – a highly labour intensive industry that directly employs over 30,000 people while indirectly providing employment to many others such as delivery persons, suppliers,etc. – is most concerned about the impact the current situation would have on the ecosystem that was once established and strengthened over the years with diligence and dedication.

The ground situationThe restaurant industry is known

to have their finger on the pulse, with real-time responses to the trends and

movements of the world. Therefore, it comes with no surprise that it would be one of the hardest-hit industries from a global shift of this calibre.

“Our industry has currently ground to a near-standstill and seems like it will continue to have an adverse impact on the restaurant industry for at least a period of one year,” Gooneratne said, adding that the decline in tourist arrivals and related businesses as well as the expected downturn in the overall economic condition are further expected to have a seriously negative impact on the industry, thus impacting the balance of payments of the whole restaurant industry.

The Founder and CEO of Harpo’s Hotels, Cafes, and Restaurants, Gooneratne noted that on a personal front the operations have largely been shut down as they are unable to operate on a daily basis in a majority of his establishments, with the exception of The Commons Coffee House which

continues to provide delivery services through the company’s own delivery service.

Regardless, he mentioned such examples are inconsequential in the long run as about 80% of the workforce are low wage earners from rural areas; the labour force consists of a combination of a few specialised but

mainly semi and unskilled employees whose sole livelihood is the income generated from their jobs in the restaurant industry, according to Gooneratne.

Looking forward to a helping handConsidering these circumstances,

the CCRC, as the only organisation registered with the Sri Lanka Tourism Development Authority (SLTDA) representing all the restaurateurs and the industry in general, has collectively made an appeal to the Government for support on a number of areas.

While commending the Government on behalf of all the restaurant operators in the country for the exemplary measures taken so far to curb the pandemic, the collective conveys that any assistance from the Government would be of immense support to tide over the present crisis and humbly requests the authorities to kindly offer a reasonable solution to uplift the industry.

The collective appeal consists of a number of areas seeking assistance from the Government, such as proposals for amendments of proposed government action plans that are currently underway including the working capital loans programme already announced by the Government,

requesting it not be subjected to any collateral guarantees but be based on a feasible business plan.

Additionally, there had been a request for a government or banking sector-supported wage assistance programme, as it is difficult for the collective to handle it on their own, so as to allow those in the industry to safeguard the jobs of all the employed in the restaurant sector until they are able and allowed to resume business operations. Similarly, there had been a request for a government-backed rent assistance programme that would ensure they would have premises to resume business once conditions allow it, thereby also requesting an exemption from rates and utilities for the non-operational period.

As has been proposed by many other industries along with the general public as a necessity, the collective has requested a suspension on all existing debts inclusive of loans, leases, and any outstanding operational debt and cumulative interest for a suitably proposed period as well as a restructure of loans repayment periods.

On a final note, the CCRC has also made requests for the introduction of reasonable local government and national-level tax concessions for the current fiscal year, a moratorium on late payment penalties on EPF/ETF payments until April 2021, and a reduction of taxes on imported food items so that prices could be made affordable to the consumer.

The current crisis has all the global industries into an unfortunate standstill and Sri Lanka in particular is bearing the brunt of it considering its circumstances. As the island’s industries inclusive of the business communities that rely on the leisure and tourism industry gear up to face the oncoming difficult times, it is commendable to see communities taking a stand and further assistance given by the authorities as they would go a long way.

Amidst all the sorrow and suffering, you may have heard:

“Mother Earth is healing.”“Neighbours and strangers are helping

each other.”“We are celebrating professionals/

people who are protecting and keeping human civilisation safe and healthy.”

Seeing and hearing so many positive things happening around the world might give you hope for a better future; it might give you a sense that a post-pandemic “silver lining” is inevitable.

But wait! Those of you who subscribe to similar stories as I have should not let our guard down and be c`omplacent. We can be hopeful and optimistic about a brighter future, but cannot forget that only positive, meaningful actions done consistently will give us the desired outcomes*.

Before Covid-19 emerged:

y The world was already seeing a surge in authoritarian leaders/governments across the world

y Misinformation, conspiracy theories, and fake news were rampant

y The flat earth movement was growing in huge numbers and having conventions (yes, massive conventions!) in many countries

y Thousands (or possibly millions) of people were believing the “opinions” of social media personalities over thousands of scientists

y Income inequalities were widening, and social injustices were growing due to greed

y The frequency of natural and human-made disasters was escalating and contributing towards inequalities, violence, wars, etc. It has also resulted in mass migration and a growing refugee crisis

y Many organisations were exploring options to automate many human functions. The decision to automate certain aspects of a business/service is usually driven due to capital efficiency, faster service, and safety reasons (in some cases), among other reasons. However, most governments and communities were/are not having meaningful discussions and/or are planning on how to help citizens face this transition and possible mass unemployment. Most businesses and services are now accelerating their automation plans (which is useful during this time, but how

will it impact employees in the aftermath of the pandemic?)

On the flipside, before Covid-19 started, we witnessed:

y A surge in citizens rising against their authoritarian governments (e.g. Arab spring)

y Survivors of abuse, sexual assaults, and harassment increasingly speaking out against the people who committed those acts (e.g. #MeToo movement)

y A growing number of movements were fighting for gender equality, climate justice, reproductive justice, destigmatising mental health issues, and many more noble causes to create a fairer society

y Sustainable businesses with a core purpose to make a positive impact both socially and environmentally (social entrepreneurship) were becoming more popular. In August 2019 at the Business Roundtable meeting, Jamie Dimon and several high-profile CEOs announced corporations have a purpose that is more than just to make money for shareholders. In the 1970’s, Milton Friedman argued that a company has no “social responsibility” to the public or society; its only responsibility is to its shareholders. In the last few decades, this was the story many corporate leaders subscribed to, so the announcement in 2019 was considered as a game

changer. However, some of these corporations were directly and indirectly responsible for many of the issues people faced and are facing today (e.g. 2009 financial crisis, multiple health/food/ecosystem crises, etc.). Due to this, some are questioning the motives behind this epiphany and/or are debating whether these corporates deserve to lead this new human-centered economy.

So how will these tensions in beliefs, decisions, and actions shape our communities post-Covid-19?

It is not clear in what ways and to what extent the pandemic will impact communities, nation-states, and global dynamics; we are still only three months into this pandemic. There are many unanswered/partially answered questions about the virus. It is likely various inequalities will drastically widen in many communities. In some scenarios, people may take actions that will reverse all the healing Mother Earth had during this time and/or bring out the worst in people. Many will suffer from compassion or donor fatigue. Some governments, businesses, and people may have a change of heart while others might double down on the stories to which they’ve subscribed.

There is a lot of uncertainty because everything will depend on how governments, international organisations, businesses, and people respond to the novel coronavirus and all the amplified

social calamities. Therefore, we need to be agile, work even harder now to promote our story, and transform goodwill into well-thought-out and sustained action.

If you believe in making a positive impact in the world but haven’t started yet, the time has come for you to be involved and start. Find others who have subscribed to similar stories as you and connect with them. Because there is no cavalry coming – we are the cavalry! Instead of competing or duplicating, let’s collaborate and complement to amplify the positive impact.

Together we can bring out the good in people and show the best of humanity.

(Article by Harinda

Fonseka, the Founder and

CEO of gudppl, a social network

for volunteers, donors,

charities, NGOs, businesses, associations, schools,

and community groups to connect and collaborate to do good. You

can contact the writer at harinda@gudppl.com)

*Disclaimer: These are the stories the writer subscribes to: “I believe

socially conscious, responsible citizens who are committed to building

compassionate communities can improve our world. I envision humans

across the globe collaborating to build fairer, inclusive societies and

healthy ecosystems.”

WE MUST WORK FOR IT

A POST-PANDEMIC ‘SILVER LINING’ IS NOT INEVITABLE:

PHOT

O KR

ISHA

N KA

RIYA

WAS

AM

‘OUR INDUSTRY

HAS GROUND TO A NEAR

STANDSTILL’Harpo Gooneratne talks about ground situation and support from Govt.

the morning

sportsSL women receive pointsSL women’s cricket team received five points in the ongoing world ODI c’ship as the International Cricket Council (ICC) yesterday (15) decided to share points for three cancelled series, including SL vs. NZ, due to the Covid-19 pandemic. Yet, SL will still have to fight to enter the top three in this June’s qualifiers here to enter next year’s World Cup in NZ.

Tour de France set for AugustThe 2020 Tour de France will now start on 29 August, following the French Government’s extension of a ban on mass gatherings to mid-July due to the coronavirus pandemic. It was originally scheduled to be held from 27 June to 19 July.

Money mattersEhsan Mani, the Pakistan Cricket Board Chairman, has warned of a financial fallout to world cricket if the T20 World Cup, scheduled to be held later this year, is impacted by the coronavirus pandemic.

BY HAFIZ MARIKAR IN KANDY

Former St. Anthony’s College cricketer Merryl Dunuwille is no more. He was a stylish opening bat and wicketkeeper. He passed away last Friday, 10 April in Los Angeles, California, aged 67.

Dunuwille played for the Antonians in the 1970s. He was the first to score a century at the newly laid turf wicket in Katugastota in 1970.

He also played for the Central Province school team in the two-day match against Australian schoolboys in January 1972 in

Asgiriya. And in 1973, he was the Vice Captain of the Antonians. That year, they were unbeaten, overpowering St. Benedict’s and Vidyartha outright while claiming first-innings wins over Ananda, Nalanda, St. Peter’s, Prince of Wales, St. Sylvester’s, and Trinity.

After his school career, he played for Old Antonians SC, Kandy CC, and Central Province before crossing over

to Colombo to play for Saracens CC and BRC. Later, he became a reputed coach at St. Anthony’s as well as Trinity College.

Anthony’s stalwart Merryl Dunuwille ends life’s innings!

Merryl Dunuwille

The Board of Control for Cricket in India (BCCI) yesterday (15) suspended the 2020 IPL until further notice due to the Covid-19 pandemic, Indo media reported.

But the BCCI has not set a new window yet for the tournament, which was originally to be held between 29 March and 24 May.

All the eight franchises were informed of the decision yesterday by IPL Chief Operating Officer Hemang Amin. Amin told the franchises that there was no possibility of hosting the event in the regular

summer window following the extension of the nationwide lockdown till 3

May by the Indian Government.The decision had been taken

by BCCI President Saurav Ganguly, its Secretary Jay Shah, IPL Chairman Brijesh Patel, and BCCI Treasurer Arun Dhumal via video conferencing Tuesday (14) afternoon.

Last month, just before the Government of India put the country in a three-week lockdown, the Board had pushed the start of the tournament back to 15 April.

As of Wednesday, over 11,000 people have tested positive in India with deaths inching towards the 400 mark.

At the auction last December,

a total of 62 players were bought by the eight franchises who spent Indian Rs. 140.30 crore (approx. SL Rs. 352 million) overall.

None of the IPL players will receive any money until the tournament actually takes place. As per the norm, franchises make payments in two instalments: The first a week before the tournament begins and the rest after the season is over.

The franchises too will feel the pinch as they rely heavily on the IPL’s commercial revenue, which also includes broadcast rights bought by Star India for a record sum for a five-year period in 2017.

IPL 2020 suspended indefinitely

Thursday, April 16, 2020

BY REVATHA S. SILVA

Suresh Subramaniam was elected President of the National Olympic Council (NOC) in February 2018. After over two years, he is now facing the task of spearheading the country’s preparation for the 2020 Summer Olympics in Japan.

This is not the best time for any kind of preparation for any kind of sport; the world is stunned amid the worst pandemic it experiences after a century. The world of sport is at a standstill and the Japan 2020 has been postponed to 23 July 2021.

It was in such a turbulent situation that Subramaniam spoke to The Morning yesterday (15).

Below are excerpt of the interview:

What are your major achievements during the last two years as the Head of the NOC?

Though I was involved in tennis before, I was never involved with the Olympic movement in any way. Firstly, I had to rectify some of the problems that were there when I started. Those had not been done deliberately, but a lot of things had been overlooked. I made

certain that those minor matters were not taken for granted. For instance, our accounts were audited by the Auditor General. In addition, I assigned two more private auditors – KPMG and Ernst & Young – but they found that there was no wrongdoing. There were only some mistakes. Last year, we had our AGM (annual general meeting) and everything was cleared.

The other thing we did was to identify some athletes and find them sponsors so that they can carry on without having to earn a living themselves. Ten, twelve athletes are now sponsored by big companies. They are paid a good salary, but they don’t have to come to

work. Now they are assured of a job even after retirement. Our High Performance Committee headed by Asanga Seneviratne overlooks this area. Its Director is Susanthika Jayasinghe. It’s going on well.

While we’re locked down now and all the

athletes have gone home, the Committee is monitoring everything needed for their wellbeing. We started publishing the magazine Goodsport with the intention of popularising those athletes. With that, we could reach big companies, some of which are now using the

athletes in their campaigns during the Covid-19 pandemic. We now have over 30 athletes altogether under our monitoring system, all of whom are medal prospects from various sporting disciplines.

Your thought on the results thus far at the international stage?

Last year, we convinced the Ministry of Sports, which was at the time under Faiszer Musthapha, to give every sport the opportunity to send their athletes to represent the country. Before the 2018 Asian Games in Indonesia, we told him that it is the ultimate goal of anyone who starts taking up a sport seriously and he took that proposal very positively. The practice earlier was to send only those who could win a medal. In that Asiad, we didn’t win any medals but it created a benchmark. The federation of every sport came to know where to start and we as the NOC could press them to work hard with an aim for future international events.

We were also able to interfere into the unwritten law here that it’s only the athletics that can win medals for us. After Susanthika and (Damayanthi) Darsha, we had a sort of an overemphasis on athletics and we began changing that. In fact, athletics didn’t fare well after those greats. Furthermore, we cannot deprive the opportunity of other sports because

only one sport has won medals. The kids taking to other sports also should have the motivation that they can represent the country if they do well.

What about funds to send them all?

You can’t wait until funds come your way. The federations must be ready to

work with the Ministry to find money. That’s basically why we began the Prime Minister’s

Fund to make use of it in such a situation. In last year’s budget, I got an allocation of Rs. 100 million for our High Performance body.

Unfortunately, that has still not reached us. It’s still lying in the Treasury. There is no mechanism to send the money directly from the Treasury to the NOC; it has to come through the Ministry of Sports and for that, there should be a Cabinet approval. Anyway, the money is stuck there.

Here I’m looking at an example provided by the Hong Kong and Singapore Olympics Committees. Their Governments provided them 200 million each in their respective currencies and requested them to invest and multiply the fund. Singapore invested it wisely and tripled the amount of money. Swimmer Joseph Schooling who won two gold medals in Indonesia was one who was sent for training to the US by the Singapore NOC by utilising that money.

We need to update our sports law which is the oldest in the world. Previously, North Korea had the oldest sports law and even they changed it recently.

What is happening at present with the preparation for Japan 2020?

I’m still not sure how the pandemic could affect Japan. They have already postponed it till July next year. There is going to be a massive loss of money due to the postponement mainly through sponsorships and TV rights.

We recently had a meeting via tele conferencing. The NOCs that already earned an Olympic qualification quota place will retain it. In all, 57% of the total athlete quota places have already been allocated. I pointed out that the situation may change after a year.

The organisers are facing a huge logistical problem at the moment, but I’m sure they will overcome that.

Suresh Subramaniam

PHOTO ISHAN WANNIARACHCHI

The revised qualifications principles for Tokyo 2020The “Here We Go” Task Force

has started its work, tackling the questions raised by the postponement of the Tokyo 2020 Olympic Games, and the IOC Qualification Task Force already has approved a series of amendments.

The revision addresses the impact of the Covid-19 pandemic, which led to the rescheduling of the Tokyo 2020 Olympic Games. The qualification system consists of rules, procedures, and criteria for participation in the Olympic Games in line with the Olympic charter and are approved by the IOC Executive Board.What are the key points of the revised Tokyo 2020 qualification system?

Firstly, the qualification period is extended. The deadline is now 29 June 2021. But international federations can define their own deadlines before this date. And

the final sport entries deadline is 5 July 2021.

Secondly, the athletes and National Olympic Committees (NOCs) that already earned an Olympic qualification quota place will retain it. In all, 57% of the total athlete quota places have already been allocated. And there are about 5,000 athlete quota places still to be assigned.

The task force said “the priority remains to reflect, where possible, the allocation method/pathway of the original qualification systems for each sport”.

For some sports, however, the quota allocation was originally based on ranking. In such cases, the IFs retain full discretion to define the new ranking deadline and pathway.

“The IOC recognises the sensitivity of such decisions. A sport-specific balance needs to be found between protecting

those athletes who were close to qualifying based on the previous 2020 deadlines and ensuring the participation of the best athletes at the Olympic Games Tokyo 2020 by allowing the top performers of the 2021 season to qualify,” noted the task force.

Finally, the task force also addressed the eligibility criteria, saying: “It is possible for IFs to extend the age eligibility criteria, if such exist, and allow athletes who are eligible in 2020 to remain eligible to compete at the Olympic Games Tokyo 2020 from 23 July to 8 August 2021.” As an example, the men’s football tournament is based on aged criteria (U-23), which could be modified for Tokyo 2020.

Similarly, the IFs could re-assess the eligibility of those athletes who are not eligible in July 2020 but will meet the lower age limit in 2021.

(Courtesy tokyo2020.org)

Pandemic and ‘oldest’ sports lawz Suresh Subramaniam on NOC and SL’s challenges at Olympics