|Friday, 6 June 2003|
The total amount of ground rent owed by the Ceylon Petroleum Corporation (CPC) to the Railways Department has exceeded Rs. 60 million.
A spokesman for the Land Management Unit of the Department told the Daily News that the CPC has to pay at least Rs. 60 million this year as rent for Department land rented out to the Corporation.
"Around 38 blocks of land belonging to the Department are being used by the CPC for various purposes. The rent for some of these lands have not been paid for several years. Therefore, we have launched a project to assess the reports of these lands and take necessary steps to ensure the payment of their rent," he said.
The decision to streamline land management was one resolution of the Railway Management Council set up some months back by Transport Minister Tilak Marapana. Accordingly, the Department is currently assessing the irregularities in the use of land by various entities and individuals.
The CPC is among a number of state entities including ministries, banks and corporations that have failed to pay the required rent for land rented out to them by the Railways Department. The Department has decided to initiate legal action against some of these entities which have failed to pay rents for a long time, he said.
Out of the 13,638 acres owned by the Department around 2,616 acres have been rented out to various institutions and sources said that most of these lands were utilised by these entities without paying rent.
Produced by Lake House