Sri Lanka has arrested Namal Rajapaksa, son of former President Mahinda Rajapaksa, based on a corruption case linked to a huge deal between SriLankan Airlines and Airbus aircraft sales from 2013. Namal Rajapaksa’s name is well-known and reflects his family’s political influence.
Namal would have benefited by about $800,000 from the aircraft transaction, investigators say. The charges were presented as part of the investigation into the financial transactions surrounding the SriLankan Airlines Airbus agreement.
The total transaction was valued at an estimated $2.3 billion and involved the purchase of 10 Airbus aircraft for SriLankan Airlines. In relation to the money involved and people who might have benefited from it, investigators are examining the movement of the money and who benefited from the deal.
Alleged $800,000 Payment
A key part of the investigation is the alleged movement of money through Singapore-linked bank accounts. In court, investigators said, money related to the aircraft transaction was transferred through overseas accounts before reaching Namal Rajapaksa.
The authorities are investigating whether the payment was an improper benefit related to the aircraft procurement process. The financial trail and case of the alleged payment will be at the heart of the legal proceedings.
The allegations are still subject to judicial examination. An arrest and accusations do not prove guilt, and any criminal liability must be determined through the legal process.
Controversial SriLankan Airlines Deal
The Airbus transaction dates back to 2013 when former President Mahinda Rajapaksa was in power. SriLankan Airlines, the country’s national airline, was at the centre of a huge fleet expansion plan with Airbus aircraft.
The deal had been controversial, and the financing of it had already been questioned. The aircraft acquisitions were cancelled later under the next administration.
The deal also became entangled with wider international investigations into alleged corruption in aircraft sales. That has kept the SriLankan Airlines deal under scrutiny for years.
Rajapaksa family gets renewed attention.
Namal Rajapaksa's arrest has raised the political importance of the Rajapaksa family in Sri Lankan politics.
Mahinda Rajapaksa served as president of Sri Lanka from 2005 to 2015 and then returned to government as prime minister. His family’s political power is still the defining force in the country’s current political history.
Namal Rajapaksa, on the other hand, has pursued his own political career and is one of the younger people associated with the Rajapaksa political camp.
And the latest investigation may also have consequences for the immediate corruption case because it is mainly a state-related transaction and an alleged financial benefit for a powerful political family.
Sri Lankan authorities could use the investigation to determine how the money was moved, who authorised the transactions, and if any improper payments were made while purchasing them.
The alleged $800,000 benefit and the Airbus deal as a whole are likely to be under scrutiny as the case proceeds through the courts.
The proceedings will ultimately decide if Namal Rajapaksa’s allegations can be substantiated. But until then, such accusations should be treated as allegations and not facts.
