The Committee on Public Finance chaired by MP Harsha De Silva has commended the swift action taken by the Port City Economic Commission following the previous meeting, to give redress to the online presence of the Commission and the submission of audited accounts for 2021 which were key issues raised by the Committee.
The Port City Economic Commission was summoned by the Committee on Public Finance recently (19).
Initially having established that, per the Act, the Port City Economic Commission is a body corporate established under the ordinances that govern a Commercial entity in Sri Lanka and is wholly owned by the State, discussion centred around the legality of enterprises incorporated in the territory and their scope therein.
With CoPF raising some technical prerequisites for the validity of issued licenses, it was agreed that the burden of proof would lay with the applicant when the Port City Economic Commission was queried about its capacity and capability to check the validity of the information provided in the application.
It was confirmed that a register of all companies within the territory designate will be maintained electronically – accessible to the general public.
The Committee raised concerns about the privilege of applicants who have freedom to choose to conduct business outside of the Colombo Port City citing the varying tax policies.
The Port City Economic Commission responded that corporates will be imbued with the power to formulate their own Human Resources policies with regards to salary structures.
The Chairman of the Finance Committee stressed that this would need to be strictly monitored in the future and possibly revisited as it leaves room for malpractice.
Additionally, on an interim basis, if the Minister in charge authorises and nominates a location, companies can, for an interim period of no longer than 05 years, open an enterprise outside of the Port City.
When the Committee queried the mention of surcharges and fines, the Port City Economic Commission confirmed that they are working with the Attorney General’s department and respective regulators to confirm the parameters of penalties.
Dr. Harsha reiterated that The Port City Economic Commission cannot take on the job of multiple regulators when governing the Colombo Port City.
He directed them to work closely with the Finance Ministry who are already under instructions by the Finance Committee to finalise a gaming regulator by the end of 2023 for Sri Lanka.
Dispute Resolution was addressed, and it was confirmed that as per the act, the arbitrary body within the Port City will only provide a space for conflict resolution, however all judicial matters will be taken up on a priority basis at Magistrate and Civil courts within the borders of Sri Lanka.
The Attorney General’s office confirmed that this will be reviewed in the future.
All Gazettes submitted for review were approved conditional to further redress to provide more clarity to the process of renewing licenses and ensure that the Port City Economic Commission regularly meet to ensure future avoidance of delays for the submission of audits and other legally required queries.
