Saturday, February 20, 2016

Carlton Caught Up In Damage Control

From The Sunday Leader - By Ashanthi Warunasuriya and Hafsa Sabry
Controversy once again surrounds Carlton Sports Network (CSN) with allegations that an attempt is being made to change the CSN management despite an ongoing court case.
Apart from the CSN TV channel, Singhe FM, Red FM and a Tamil radio station were managed by CSN. With the fall of the Rajapaksa regime and after CSN came under the scrutiny of the Financial Crimes Investigation Division (FCID) on money laundering charges, many attempts were made by CSN to change the TV and radio station administrations. While this was the plan, questions were raised as to how this could be done when there is an ongoing court case against the CSN management.
Minister of Parliamentary Reforms and Mass Media, Gayantha Karunathilake when contacted, confirmed to The Sunday Leader that Red FM had been sold to another party and that investigations were carried out to ascertain how this happened as there is a court order to the effect that no changes can be made to CSN TV or its subsidiary radio stations.
“Investigations were carried out with regard to the management change of Red FM. These reports have now been sent to the Attorney General’s Department (AG) seeking their recommendations to take further action,” Minister Karunathilake said.
CSN obtained the licence to run TV and radio channels on March 3, 2011 and began broadcasting their programmes on March 7, 2011. It is alleged that they obtained TV and radio frequencies from the Independent Television Network (ITN).
“Investigations are taking place to ascertain how CSN obtained ITN frequencies to operate a private channel,” Minister Karunathilaka said.
When asked whether the management of CSN TV too had been changed following the Criminal Investigation Department (CID) and FCID initiated investigations into its funds, Minister Karunathilake said he was unaware of it.“The ministry is unaware of any change in the CSN management or whether they made any attempt to do so. Since there is an ongoing court case against CSN they cannot make any changes. In the event they do so, the ministry will take strict action against them for blatantly violating the court order,” Minister Karunathilake added.
CSN is also accused of taking over the broadcasting rights of international cricket matches arbitrarily and for misusing state-owned transmission towers to broadcast CSN programmes causing huge losses to the state. They are also accused of not paying broadcasting fees to the state and spending money instead on developing the Carlton Sports Network.
After the initial investigations, it has now come to light that CSN is owned by the Rajapaksa family although they claimed otherwise when allegations of corruption were levelled against them.
On January 30, Yoshitha Rajapaksa, Rohan Weliwita, Nishantha Ranatunga and two others were arrested on money laundering charges.Meanwhile, a reliable CSN source told The Sunday Leader that due to the troubled situation in the channel during the past few months, Rohan Weliwita took steps to restructure the television channel in December 2015. Accordingly he had started several new programmes with certain modifications with the help of media colleagues attached to other media institutions. Since the CSN was facing financial losses, those who stepped in to help Weliwita had done so on freelance basis.
Director General, Telecommunications Regulatory Commission (TRC) Sunil S. Sirisena said Carlton Sports Network launched Wish Radio last year and added that he is not aware of whether there was a change in the management.
“All CSN FM channels now come under Wish Radio after the re-launch of CSN Radio,” Sirisena said.
Meanwhile Deputy Minister of Mass Media, Karunasena Paranavithana said the government is closely monitoring CSN to find out whether a management change will take place.
“The court has given orders to CSN not to make any changes to the organisation as it is under scrutiny for money laundering. Five members of their management are now in remand custody for failing to explain how they received the US$ 2.3 million invested in CSN. If they could show the accounts for Rs. 7 million, why couldn’t they show accounts for US$ 2.3 million? Since the matter in now in courts, CSN cannot make any changes and in the event they ignore the court ruling, they can be charged with contempt of court,” he added.All attempts to obtain an official comment from CSN failed as no one at CSN wished to make any comment.
Despite the CSN claim that Rajapaksa family does not own the CSN network nor has invested money in it, questions have been raised as to why Mahinda Rajapaksa allowed CSN to maintain an office at the Presidential Secretariat during his time.
Highly reliable sources from the Presidential Secretariat confirmed to The Sunday Leader that CSN was given a separate spacious room to do their work with all the security provided and that the office was not used by any other CSN staffer but only by Namal Rajapaksa and some of his closest allies.
According to the sources, most of CSN important CDs had been kept in their office at the Presidential Secretariat and sources added that Rajapaksas had forgotten to take them back when they were clearing their belongings at the Presidential Secretariat following Mahinda Rajapaksa’s unexpected defeat on January 8.
“We believe Rajapaksas have forgotten and had left the Presidential Secretariat without taking any CSN files and CDs. There are more than 1,000 CDs left behind together with important CSN documents. Although the CSN Management denied its involvement with the Rajapaksas, it is now up to the Carlton Network to come and explain as to how an outside company was given permission to have one of their officers at the Presidential Secretariat which is the office of the President of this country. Even those who now criticize the FCID for arresting Yoshitha Rajapaksa for a crime he has not committed, it is up to Mahinda Rajapaksa to come and tell as to why he allowed the CSN to operate an office within the Presidential Secretariat where it is not bound to have any outside offices within the secretariat.
“It is only the President that can give permission to allow to have any office in this building and as claimed by the CSN management, if they do not have any involvement with Rajapaksas, then it is up to the CID to find out as to how a private company was allowed to have their office at the Presidential Secretariat which was a security threat,” sources said.
However when this matter was exposed last year, Rohan Weliwita, the Media Coordinator to Kurunegala District MP Mahinda Rajapaksa, who is now in remand custody over money laundering charges, denied of operating a CSN office at the Presidential Secretariat.

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