India will help Sri Lanka set up a finance intelligence unit (FIU)-like entity in the island nation at Colombo's request to trace more than $5 billion allegedly stashed overseas by the erstwhile Rajapaksa regime.

The Commonwealth on Tuesday welcomed Sri Lanka's plans to establish a "credible" inquiry into war crimes allegations, after talks with new President Maithripala Sirisena and the former British colony's other leaders.

Former Minister and leader of the National Patriotic Front Wimal Weerawansa has charged that the government's 100-day program is paying the way for a Federal State in the country.

The Central Environment Authority has appealed to President Maithripala Sirisena to stop a 2000-room hotel and golf complex that is being constructed in a restricted nature reserve at Haldamulla in the Badulla district.

Justice Minister Wijedasa Rajapaksa has warned that the government will waste no time in reintroducing the death penalty to eradicate or fight a deadly crime wave in the country if it became inevitable.

The Omanthai checkpoint which served as a border crossing from the south to the north, has been stripped of military restrictions and handed over to civilian authorities for a more free passage to travelers from February 2.

The government is set to prepare a report on what is said to be war crimes to be handed over the International Human Rights Commission in March with a view to leave no room for further sanctions against Sri Lanka.