Transparency International Sri Lanka filed a petition with the Supreme Court challenging the Colombo Port City Economic Commission bill, highlighting three key corruption concerns.
TISL urges that the bill is in violation of several key articles of the Constitution and that it creates pathways for corruption, by facilitating or enabling illicit financial flows, and money laundering.
First, TISL draws attention to the lack of transparency in ownership of the ‘offshore’ businesses that will be set up at the Port City, since ultimate owners of businesses registered need not be disclosed. Access to such information by law enforcement is crucial to ensure the prevention of corruption.
Furthermore, TISL is concerned about the lack of transparency in relation to the operations of offshore banks in the Port City, that could be free from the purview of the regulatory framework applicable to local banks, posing a risk of turning the Port City into a secrecy jurisdiction.
TISL is deeply concerned also, that the bill leads to the evading of parliamentary oversight on public funds and matters within the port city, thereby creating a serious gap in public accountability.