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Sri Lanka’s foreign ministry has dismissed social media reports of a recent visit by Indian spiritual leader Mahamandaleshwar Swami Kailashanand Giri Ji as misleading.

In a statement issued on Thursday (22), the ministry said the Swami Ji and his delegation arrived in the country on February 23, 2026, at the invitation of the Sri Lanka Tourism Promotion Bureau.

The posts now circulating online, it said, relate to that earlier visit.

The ministry said the delegation travelled to several religious and historical sites around the island during the trip, among them well-known Shiva temples.

Officials said a central aim was to introduce Indian devotees and tourists to Sri Lanka’s religious and cultural attractions, including the Ramayana Trail.

India remains Sri Lanka’s biggest source of tourist arrivals, and the ministry said such promotion in the Indian market carries particular importance.

The visit also formed part of the Government’s effort to develop the tourism industry and deepen religious and cultural ties between Sri Lanka and India, according to the ministry.

The ministry said that presenting the older visit as a current event was misleading, and it urged the public to check the original date and context of reports before sharing them.

Sri Lanka's state-run retail chain Lanka Sathosa is facing a critical financial emergency after accumulating up to Rs. 24 billion in losses.

Trade, Commerce, Food Security and Cooperative Development Minister Wasantha Samarasinghe revealed the staggering fiscal deficit during parliamentary proceedings in Colombo, warning that years of unviable branch expansion and severe procurement imbalances have pushed the national retail network to the brink of collapse.

Official financial disclosures indicate that Lanka Sathosa owes approximately Rs. 14 billion to its suppliers, whereas physical inventory held across the entire national network is valued at a modest Rs. 5.8 billion.

Operational accounts show that out of an initial 452 retail outlets, 250 were established far from urban commercial centers without sufficient planning, resulting in continuous daily losses that fail to cover basic rental overheads.

Recent consolidation efforts have trimmed the network down to 423 branches, yet 212 locations remain chronically unprofitable.

To restore supply chain stability, authorities have blacklisted more than eight suppliers over the past three months for failing to prioritize the state enterprise.

*Proposed restructuring*

In response to the mounting crisis, the government is planning a transition toward a franchise-based business model.

Under the proposed arrangement, private operators will manage retail storefronts under the established brand, while the state corporation shifts its operational focus primarily toward bulk wholesale procurement and logistics.

The government also plans to open 25 new commercially viable outlets during 2026, alongside targeted refurbishment of key existing locations.

Advocating for a separate state or a federal system of governance as a political stance will not be classified as a terrorist offence under Sri Lanka’s proposed legislation, the Justice Minister said.

Speaking during a television broadcast on the state-owned Independent Television Network, Minister of Justice Harshana Nanayakkara clarified the legal scope of the new Protection of the State from Terrorism Act (PSTA).

The statement was made in response to questions about the legal implications of sharing information related to proscribed organisations under the updated framework.

Political discourse protected under new law

The proposed legislation relies heavily on a precise legal definition of terrorism to determine offences across all its clauses.

While the Liberation Tigers of Tamil Eelam (LTTE) remains a banned group within Sri Lanka, the minister noted that expressing political views remains distinct from terrorist acts.

Illustrating the government position, he explained that if a newly formed group calls for self-determination or federalism, such demands are treated strictly as political opinions.

The draft law safeguards the right to express views, criticism, beliefs, and opposition as part of legitimate political debate.

Holding or voicing these political positions by any party, outside specific existing regulations on the LTTE, will not constitute terrorism, he said.

Sri Lanka's weather agency has issued severe lightning warnings covering 25 districts across the island as intense afternoon thundershowers sweep through multiple provinces.

The Department of Meteorology declared red alerts for 10 districts and amber alerts for 15 others on Thursday morning, warning that hazardous atmospheric conditions accompanied by strong localized winds will persist overnight until early Friday.

Safety guidelines

Forecasters expect heavy thundershowers and widespread lightning across the Central, Eastern, and Uva provinces, as well as the Polonnaruwa and Hambantota districts.

Met Department officials warned that severe lightning poses immediate risks to life and infrastructure, urging the public to take preventative safety measures.

Residents in affected areas are advised to remain indoors during storms and explicitly avoid taking refuge under trees.

Outdoor workers, farmers, and fisherfolk have been cautioned against remaining in exposed environments, such as paddy fields, tea estates, or open water bodies.

Authorities also advised against using wired telephones, operating connected electrical appliances, or travelling in open vehicles including bicycles, tractors, and boats.

Hazard risks

The weather advisory highlighted hazards from localized high winds, which could trigger falling trees and down power lines.

Disaster management teams have been placed on standby across the affected districts to respond to severe weather incidents.

Members of the public requiring emergency assistance have been instructed to contact their local disaster management authorities immediately.

School sports are to become a core component of Sri Lanka’s school curriculum under upcoming national education reforms.

Prime Minister Dr. Harini Amarasuriya announced the policy shift during the closing ceremony of the 40th All Island Schools Games held at the Diyagama Mahinda Rajapaksa Stadium on Tuesday.

She explained that the government intends to shift sports away from being treated as a secondary extracurricular option and integrate physical activity as a fundamental pillar of child development.

The strategy focuses on building physical and mental well-being alongside academic learning to cultivate diverse talents across the island.

Highlighting the importance of grass-roots infrastructure, the Prime Minister noted that many young athletes currently excel despite lacking basic training grounds and tracks at their schools.

She pointed out that past international sporting figures including Sriyani Kulawansa and Sugath Thilakaratne first demonstrated their potential at the school level.

According to the Prime Minister, engaging in sports teaches students resilience, teamwork, and how to bounce back from failure rather than focusing solely on winning medals.

The four-day national event brought together more than 3,500 young competitors from across the country, resulting in 23 new meet records.

Western Province secured the overall provincial championship title at the games.

St. Joseph Vaz College in Wennappuwa took the boys’ overall championship, while Lyceum International School in Wattala claimed the girls’ overall title.

The proposed reforms aim to ensure systematically identified sporting talent receives early support and adequate facilities to progress from school competitions to international arenas.

A Gampaha magistrate has asked the President of the Court of Appeal to begin contempt of court proceedings against the Inspector General of Police for failing to obey court orders in two drug-related cases.

Magistrate Bandula Gunaratne referred the file after concluding that the police chief may have committed contempt by ignoring judicial directives that the Magistrate’s Court had issued.

In making the referral, the Magistrate observed that the failure to comply had weakened the authority of the court.

He also indicated that the police chief appeared to be trying to mislead the court.

The referral asks the Court of Appeal to decide whether the IGP should face legal action over the alleged conduct.

The case centres on the two narcotics matters in which the orders were allegedly left unfulfilled.

The development raises questions over accountability within the police service and over the duty of law enforcement authorities to honour the directions of the courts.

A complaint was lodged today (22) with the relevant authorities by the legal team of former Minister Patali Champika Ranawaka, raising concerns over the alleged misuse of provisions of the Assistance to and Protection of Victims of Crime and Witnesses Act, the expenditure of public funds, and possible improper interference in matters relating to witnesses.

The complaint, submitted by Senior Attorney-at-Law Shiral Lakthilaka, is to be handed over by Attorneys-at-Law Rajika Kodithuwakku and Thikshana Gammanpila to the National Authority for the Protection of Victims of Crime and Witnesses and the Attorney General’s Department.

The complaint arises from testimony given in court on 19 October 2026 in connection with case No. HC 1824/20, currently being heard before the Colombo High Court.

According to the complaint, although the witness had previously informed court, through his lawyers, that he was unable to travel to Sri Lanka to testify at the original trial, approximately Rs. 450,000 in air travel and related expenses had reportedly been incurred using public funds to bring him from Germany to Sri Lanka.

The complaint raises questions regarding the expenditure and the arrangements made to facilitate the witness’s journey.

During his testimony, the witness reportedly stated that he had not personally borne the cost of travelling from Germany to Sri Lanka to testify in the case.

Instead, he identified the person who had paid the expenses as “Mr. Indika, the Director of the CCD.”

The complaint calls for a formal investigation into whether the legally prescribed procedures for obtaining testimony from witnesses residing overseas were followed, whether the relevant legal and financial regulations governing the use of public funds were complied with, and whether any aspect of the process affected the independence of the witness or the fairness of the judicial proceedings.

It further requests an independent inquiry into the circumstances surrounding the matter, an audit of the use of public funds, and appropriate legal action against any individuals found responsible for violations of the law.

The position set out in the complaint is that the rule of law, the accountable use of public funds, and the independence of the judicial process must be safeguarded when dealing with witnesses in criminal proceedings.

The allegations and concerns raised in the complaint should not be treated as established facts before a proper investigation is conducted and the relevant evidence is examined.

Accordingly, the relevant authorities are being urged to investigate the matters impartially and take any necessary action in accordance with the law.

Sri Lankans have pawned more than Rs. 1,200 billion in gold jewellery to commercial banks as household debt and living costs continue to mount across the island.

Samagi Jana Balawegaya (SJB) parliamentarian Sujeewa Senasinghe disclosed the figure in Parliament yesterday (21), pointing to widespread financial strain among lower and middle income families following the severe economic disruptions triggered by the 2022 currency devaluation.

He said that the agriculture sector has experienced significant downturns, with overall sector output contracting by 2.3 per cent in the second quarter of 2026 and rice cultivation dropping by 15.1 per cent compared to previous strong harvests.

Farmers are facing severe financial desperation after failing to sell their paddy yields over two consecutive seasons, adding further pressure to rural livelihoods, he said.

The broader economic expansion has also slowed, slipping from the 5 per cent recorded at the conclusion of the previous administration in late 2024 to 4 per cent.

Persistent rises in utility tariffs, basic household expenses, and essential food commodities have systematically depleted family savings, forcing citizens to relinquish heirloom jewellery as an ultimate financial resort.

Leader of the House Bimal Rathnayake has expressed regret in parliament for mistakenly including former officials on a list of individuals facing corruption investigations or court cases.

He was speaking in Parliament on Thursday to clarify details in a 50-name document he tabled earlier this month.

The minister identified the three individuals as former Northern Province Governor Rupavathi Kethiswaran, former Board of Investment Chairman Thilan Wijesinghe, and former Ministry Additional Secretary Jayantha Fernando.

Clarifying the oversight, the Leader of the House admitted that the names of the three state officers were unnecessary to establish his argument regarding ongoing legal actions.

He offered a formal apology for any harm or reputational damage caused to the trio as a consequence of their inclusion in the parliamentary record.

The minister stressed that the compiled list was intended to show that state probes into past events were conducted strictly without political vendettas.

He reiterated that the government remains focused on pursuing legitimate inquiries into historical allegations rather than targeting individuals out of malice.

Opposition Leader Sajith Premadasa challenged Sports Minister Sunil Kumara Gamage in Parliament on Wednesday (21) regarding the non-payment of a Rs. 50 million financial reward to Sri Lankan javelin star Rumesha Tharanga.

Premadasa pressed the government on why the decorated international athlete had not received the funds, while also pointing out that an announced allocation of Rs. 800,000 to construct an access road to the athlete's residence had failed to materialise.

He further expressed concern over reports that the government intended to revise the existing scheme to reduce prize money for successful sports personalities.

Responding to the allegations, Minister Gamage denied that any standing official circular entitled the athlete to Rs. 50 million, clarifying that the previous payout arrangement was a one-off Cabinet approval tied to a specific year following a Sports Council recommendation.

The Minister said that a new cabinet-approved framework had been established to handle monetary rewards for achievements in 2024 and 2025, with a separate proposal currently being drafted for 2026 honors.

The Asian Development Bank (ADB) has approved $100 million in financing to strengthen social protection, expand economic opportunities and improve care services for vulnerable communities in Sri Lanka.

The financing comprises a $50 million policy-based loan and a $50 million project loan under the Promoting Resilience and Opportunity for Inclusive Recovery Sector Development Program.

According to the ADB, the programme will support government efforts to improve livelihood and employment opportunities for low-income households, enhance eldercare services and strengthen the effectiveness of the country’s social protection system.

“Sri Lanka’s economic recovery must translate into meaningful improvements in the lives and livelihoods of vulnerable people,” said ADB Country Director for Sri Lanka Shannon Cowlin.

She added that the programme would help expand economic opportunities for poor households, improve social care services for an ageing population and establish a more inclusive and resilient social protection system.

30,000 Households to Receive Livelihood Support

Despite Sri Lanka’s continued economic recovery, poverty and vulnerability to economic and other shocks remain significant challenges, particularly for women, young people, older persons, persons with disabilities and communities in rural and disadvantaged areas.

The programme will address these issues through policy reforms, institutional improvements and investments in livelihood development and care services.

As part of the initiative, 30,000 households identified through the Aswesuma social registry across six districts will receive support under the government’s National Empowerment Program.

The assistance will include livelihood grants, employment and business development support, skills training, financial literacy programmes and improved access to reliable markets. Women and young people will be among the targeted beneficiaries.

Five Elderly Day Care Centres Planned

The programme will also focus on improving care services for Sri Lanka’s ageing population by strengthening the policy and regulatory framework for eldercare.

Five model elderly day care centres will be established in poorer districts to provide integrated care and support services.

The centres will also serve as demonstration sites to develop and refine eldercare models that could be expanded across the country.

Digital Improvements to Strengthen Social Protection

Further measures will focus on improving the delivery of social protection services through stronger monitoring and evaluation systems, digital platforms, case management processes and data governance.

The ADB said the programme would also strengthen the country's ability to respond to emergencies and other unexpected shocks, including those associated with climate change.

Institutional arrangements and coordination mechanisms will be improved to help ensure that assistance reaches vulnerable communities in a timely and effective manner during emergencies.

The initiative aims to make Sri Lanka’s social protection system more responsive to the needs of vulnerable groups while supporting inclusive economic recovery and long-term resilience.

Sri Lankan taxpayers will be forced to absorb a USD 2.5 million loss resulting from a fraudulent overseas Treasury transfer, following failure by authorities to trace or recover the stolen public funds.

Speaking in Parliament on Wednesday, Chairman of the Committee on Public Finance (CoPF) Dr. Harsha de Silva said that the public would bear the ultimate financial burden of the cyber theft alongside their existing tax obligations, after millions were diverted from the Finance Ministry to foreign accounts.

The fraud occurred between December 2025 and January 2026, when cyber criminals compromised payment instructions using a lookalike email domain to intercept funds intended for Export Finance Australia.

Following the exposure of the theft, Assistant Director Ranga Nishantha Rajapaksha of the External Resources Department was interdicted and subsequently found dead at his home in Kuliyapitiya on April 30, 2026, with a four-member Judicial Medical Officer panel ruling the death a suicide.

Although the parliamentary finance committee published its final investigation report in July 2026, Dr de Silva noted that law enforcement agencies and state officials had failed to deliver any progress or submit formal updates to Parliament regarding recovery efforts.

The Treasury is expected to re-issue the full 2.5 million dollars to the legitimate foreign creditor using existing exchange-rate contingency buffers already allocated within last year's national budget, thereby avoiding the immediate need for new parliamentary funding allocations.

The committee chairman also expressed sharp disappointment with Speaker Dr Jagath Wickremaratne for declining a legislative recommendation to order a forensic audit through the Auditor General, opting instead to direct the findings back to the Finance Ministry where no visible action has since been taken.

The unresolved financial breach highlights severe ongoing vulnerabilities within Sri Lanka's central fiscal management systems and raises serious questions regarding executive accountability for public debt repayments.