According to the Customs Ordinance only the government has the authority to operate a public warehouse.

It is the Finance Minister who has the authority to approve the operation of a public warehouse and approval for the public warehouse operated by Global Transportation was given by the State Minister of Finance Lakshman Yapa when Karunanayake was overseas.

According to Samarasinghe, instead of a bank guarantee the said company had pledged a Rs. 400 million personal guarantee for the warehouse.

He further pointed out that a case was filed in court against Ravi Karunanayake, for not honouring a cheque issued for a million rupees, before he became the finance minister. Karunanayake had agreed to settle the dues in four monthly instalments of Rs. 250,000. This clearly indicated that Karunanayake was facing financial restrictions prior to assuming his position as the finance minister, said Samarasinghe.

He had made a comment in this regard at a public platform.

JVP parliamentarian Nalinda Jayatissa had made reference to this issue during the parliamentary session when the Special Commodity Levy Act was presented to parliament on August 24.

He said;

“During the previous Rajapaksa regime, ministers of that government used their political clout to develop their business activities. The business activities conducted under the Mahinda Rajapaksa government is being carried out by the current government members under the Good Governance banner. Under the Customs Ordinance, importers of goods are permitted to operate a warehouse by paying the relevant charges. However public warehouses can be operated only by the government, as they earn from it.
However now what is taking place is that a private company, owned by the finance minister is profiting by maintaining a public warehouse using his political powers. Through this the profits that should go to the government is being siphoned to the Finance Minister’s company. This is a shameful act. Currently the directors of this company are the finance minister’s wife and daughter. However, the finance minister himself was a director of this company until January 12, 2015,” said Jayatissa.