COLOMBO (News 1st) - The Attorney General informed the Supreme Court today that the licenses of five liquor companies will be revoked if they fail to pay their tax arrears before November 30.
The Attorney General made this statement when a fundamental rights petition filed by social activist Sanjaya Mahawatta and others was called up by the Supreme Court today (13).
The petition was called up before a supreme court bench comprising justices Preethi Padman Surasena, Yasantha Kodagoda and Priyantha Fernando.
Additional Solicitor General Nerin Pulle said that the five companies including W. M. Mendis, Royal Distilleries, Finlay Distilleries, Synergy Distilleries, Hingurana Distilleries and Royal Distilleries who are named as the respondents in the petition, have been informed to take steps to pay the outstanding tax arrears by November 30.
The Additional Solicitor General also said before the court that the licenses of these companies will be suspended, if they fail to settle the arrears.
After considering the facts, the bench fixed a date for calling the petition on the 22nd of January next year and ordered the respondents to inform the progress of the process on that day.
Petitioners said that the value of taxes evaded by the five respondent liquor production companies is close to Rs. 6 billion. They also pointed out that the continuous evasion of tax payments has caused significant detriment to the national economy.
The petitioners requested for an order from the courts to the Commissioner General of Excise to collect the relevant taxes.
The petitioners have also requested the Supreme Court to issue an order for the cancellation of licenses of companies that evade tax payment.