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SC dismisses rights case for broadbasing ANCL

Tuesday Jul 22, 2008
The Supreme Court yesterday refused to inquire into the alleged rights violation of the Lake House Employees Union. The Court having heard the parties decided that there was no basis to proceed with the rights application and dismissed it without costs.

The Bench comprised Justice Dr. (Mrs.) Shirani Bandaranayake, Justice Raja Fernando and Justice Jagath Balapatabendi.

Petitioners Lake House Employees Union and its President Dharmasiri Lankapeli cited Associated Newspapers of Ceylon Ltd. (ANCL), Information and Media Minister Anura Priyadharshana Yapa, ANCL Chairman/Managing Director Bandula Padmakumara, Directors Nihal Ratnaike, Rasanga Harischandra, S. Shanmuganathan, Upul Dissanayake, the Public Trustee and the Attorney General as respondents.

The petitioners sought to enforce the provisions of the ANCL (Special Provisions) Law in order to transform ANCL into a public service media institution by broadbasing its ownership.

The petitioners also sought court orders directing them to implement the provisions of the ANCL law by issuing at least 20 per cent of shares of ANCL to the public including its employees.

Counsel J.C. Weliamuna for petitioners submitted that the original intention of the framers of the ANCL law was to broadbase the ownership of the company thereby preventing it from functioning as a family monopoly.

The Counsel submitted that the aim was to liberate the ANCL from direct political or Government control. The counsel submitted that the eighth respondent public trustee held 87 per cent of the ANCL shares on behalf of the Government.

He submitted that in terms of the law the these shares should be gradually divested to the public and that nobody could hold more than two per cent of the shares.

The petitioners stated that the government is not entitled in law to hold shares of ANCL through the eighth respondent Public Trustee.

C. Weliamuna appeared for the petitioners.

President’s Counsel D.S. Wijesinghe appeared for the ANCL. President’s Counsel Palitha Kumarasinghe appeared for the Board of Directors of the ANCL.

Sanjeewa Jayawardane appeared for the Public Trustee.

Senior State Counsel N. Pulle appeared for the Media Minister and the Attorney General.

Author: Wasantha RAMANAYAKE



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