Wednesday 7 May 2008

Mihin Lanka bankrupt; loss Rs. 3.2 billion

Much hyped Mihin Lanka launched by the Rajapakse regime has become a bankrupt company with no assets and a loss of Rs. 3.2 billion.

Addressing a press briefing held in the official residence of the Opposition Leader, UNP MP Ravi Karunanayaka said that the budget airline had lost Rs. 3.2 billion by March and was with no assets.
Mihin Lanka has an overdraft of Rs. 1.2 billion. It is in debt of Rs. 210 million to Sri Lankan, Rs. 688 million for fuel suppliers and Rs. 350 million to Lankaputhra Bank. The Ministry of Finance invested Rs. 500 million for Mihin Lanka.

MP Karunanayaka accused that CEO of Mihin Lanka Sachin Vass Gunawardhana who is responsible for this massive loss has now been appointed to a development project in Hambanthota.

Mr. Karunanayaka questioned how many flyovers, roads and other development projects could be constructed with the money wasted in this way.
Meanwhile, the inflation has risen to 29.9% while a kilo of dhal was increased by Rs. 24 and a can of tinned fish was raised by Rs. 28, said the MP.

The price of a barrel of crude oil had gone up to $ 116.18. Ceylon Petroleum Corporation Chairman Ashantha deMel said that the Corporation needed to raise the price of a liter of diesel by Rs. 40 and a liter of kerosene by Rs. 35. MP Karunanayaka questioned from Minister Bandula Gunaardhana why fuel prices were not decreased in relation to the gas prices decreased by Rs. 20.

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