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Sri Lankan Government to 'takeover 36 private companies'

A new bill, allowing the takeover of 36 private companies is due to be presented in parliament on the 9th of November, the Daily Mirror reports.

The bill, called ‘The Revival of Underperforming Enterprises and Underutilized Assets’, will allow the state to take over the companies and their assets.

The institutions marked for takeovers, include Sevanagala Sugar Industries Ltd, a company owned by Ampara district UNP organizer Daya Gamage, says the Daily Mirror.

The government will also gain powers to appoint a new board to manage the institutions.

An unnamed UNP MP has criticised the bill, claiming that the government could now takeover any institution through amending the bill. He also expressed concerns that potential investors would be put off from investing in Sri Lanka, once the bill is passed.

UNP Chief Whip JohnAmaratunge has slammed the government's attempt to 'rush' through the bill in a letter to Parliamentary Speaker, Chamal Rajapakse, warning that the move will have an adverse effect on the economy.