COPE Flags Major State Ownership Dilution & Audit Evasion at LTL Holdings (CEB Link) ⚡

The Committee on Public Enterprises (COPE) has raised serious concerns over ownership changes, governance, and audit practices at LTL Holdings, a key company partly owned by the Ceylon Electricity Board (CEB). • Ownership Dilution: State ownership (CEB's stake) has been sharply diluted from an initial 70% to the current 35%. • Transfer Mechanism: This drop largely resulted from the transfer of 28% of CEB's shares to West Coast Power Ltd. (operator of the Yugadanavi Power Plant) to offset Rs. 26 Billion of the Rs. 79.4 Billion debt the CEB owed for electricity purchases. • Current Shareholding: Now stands at: CEB (35%), West Coast Power (28%), Peradiv Ltd. (27%), and Tepro Investments (10%). • Audit Evasion: LTL Holdings has avoided examination by the Auditor General’s Department since 2015, prompting COPE to demand immediate measures to enforce a State audit, given its establishment with public funds. • Governance Concerns: Issues were raised over conflicts of interest, as both the Founder and current CEO are former CEB officials, potentially influencing power procurement. COPE also demanded a full report on the conversion of a 10% employee trust into Tepro Investments and alleged non-payment of dividends to CEB employees.