Colombo, September 4 (HS):

The Sri Lankan government has approved the termination of the special concessional payment scheme that allowed former Members of Parliament to purchase housing units at discounted rates in the viyathpura Housing Complex.

In July 2022, the Cabinet had approved the allocation of 101 housing units on a one-year rental basis to legislators who lost their residences during the violence of May 9, 2022. Later, in July 2024, following requests from former MPs, the Cabinet permitted the sale of these housing units to them at significantly reduced prices.

For the general public, the cost of these houses ranged between 15.5 million and 22 million rupees, whereas former MPs were allowed to purchase them at concessionary rates ranging from 13.34 million to 18.21 million rupees. Under the scheme, buyers were required to make a 25% down payment, with the remaining balance payable over 15 years at an annual interest rate of 10%.

According to reports, by December 31, 2024, a total of 29 former MPs had already deposited the 25% advance payment. However, the Urban Development Authority reported an estimated financial loss of 92.126 million rupees due to the scheme.

In response, the Cabinet has now decided to abolish the concessional payment arrangement with immediate effect.

—————

Hindusthan Samachar / Jun Sarkar