Former members of the Sri Lanka Rugby (SLR) Council have raised serious concerns about rumors circulating around Director General Dr. Shemal Fernando’s apparent inclination to promote Sri Lions Sports Club for participation in the proposed ‘A’ Division rugby league tournament. They worry that Dr. Fernando may have been misinformed regarding the club’s eligibility and the rationale behind its promotion.
A former SLR Council member emphasized, “Decisions concerning the upgrade of any team fall exclusively under the jurisdiction of the SLR Council and are not the responsibility of Director General Dr. Fernando.”
These concerns stem from the fact that, according to a gazette issued by former Sports Minister Harin Fernando on May 29, 2024, Dr. Fernando’s authority is strictly limited to overseeing the administrative functions of SLR. The former SLR Council members are particularly troubled by the involvement of former SLR President-Elect Nalin De Silva, who personally recommended the club’s promotion. They believe that this recommendation may have influenced Dr. Fernando to act beyond his designated responsibilities.
Further controversy surrounds the Sri Lions Sports Club’s participation in the recently concluded ‘B’ Division League Tournament. The former SLR Council officials assert that the club’s involvement was not approved by the Council, as mandated by SLR constitution 2.6.3, adding to the growing concerns and disputes regarding governance and procedural adherence.
Despite multiple complaints from clubs alleging that Sri Lions fielded ineligible players, the former SLR President-Elect Nalin De Silva, Tournament Chairman Udaya Hettiarachchi, and Tournament Director Shamrath Fernando decided to award the championship title to Sri Lions after their final league game was played against Police Griffins. This decision was made while investigations were still pending, and to date, no official resolution has been announced. Critics argue that even the ‘B’ Division trophy should be rightfully awarded to Police Griffins if in the event Sri Lions is found guilty in the inquiry report.
The concerned former SLR Council officials highlighted that, in order to achieve the status of a fully-fledged club and qualify as a voting member, specific obligations must be met. They raised questions about whether these requirements had been fulfilled, referencing clause 23.15, which states that a club is entitled to voting rights only if it meets outlined criteria.
A) has actively participated in two (2) seven’s tournament conducted by the SLR, any Union or Association in the preceding year;
B) has registered itself with the relevant Union or Association and the Local Authority;
C) has a Constitution, Rules or Regulations approved by the respective Union or Association;
D) has records of its preceding year’s Annual General Meeting, Special General Meeting, and the annual accounts audited by a Chartered Accountant who is a Member of the Sri Lanka Institute of Chartered Accountants; and
E) has a Bank Account maintained in the name of the Club.
23.16 All Clubs are required to send to the SLR through their respective Unions or Associations any information or documents referred to in Article 23.15 above when requested to do so by the SLR.
The former SLR Council officials also have emphasized the importance of conducting thorough background checks to ensure the sustainability of new clubs. They express concern that clubs like Kurunegala Rugby Football Club, Hambantota Sharks, and Nawalapitiya Lions emerged rapidly but dissolved after a few seasons. Unlike traditional clubs with over a century of history, these transient entities, often driven by individual financiers, have disrupted players’ careers and livelihoods by luring talent from established ‘A’ Division clubs and then ceasing operations. The officials urge Director General Dr. Shemal Fernando to implement stringent evaluations to prevent such occurrences and maintain the integrity of Sri Lankan rugby.
“As much as we would love to see more clubs joining the fray, it is important that these aspects are scrutinized and discussed prior to making any decision to endorse new clubs into the system.” said a former SLR Council Member.
But what was more alarming to them was the fact that the Sri Lions Sports Club and Academy (PVT) Ltd is registered company under the Company Act Section 4 (1) of Companies Act No 7 of 2007 (the ‘Act’) with one Director by the name of Wedikkara Arachchige Kelum Sujith Perera holding one share and its registered address being 291/39 Mandawila Road Piliyandala.
They raised further concerns regarding the compliance of Sri Lions Sports Club with essential regulatory requirements. They question whether the club, structured as a private liability company, meets the fundamental criteria set by SLR. Specifically, they inquire about the status of players, whether they are employees, shareholders, or directors. If players are classified as employees, the club is obligated to register under the Labour Act, ensuring contributions to the Employees’ Provident Fund (EPF), Employees’ Trust Fund (ETF), and other statutory payments. The Council’s findings indicate that, to date, no Sri Lions player is registered with the Ministry of Labour. Additionally, there are claims that Sri Lions has not registered with the Inland Revenue Department, raising further compliance concerns.
They are of the belief that DG Dr. Fernando should have thoroughly verified the club’s compliance with regulatory requirements before making such a decision, emphasizing that the SLR Council comprises seasoned professionals adept at evaluating these critical details. Additionally, they also highlighted the substantial financial commitment required for a season, estimated between Rs. 50 to 75 million. Given that Sri Lions’ headquarters are reportedly in the United Arab Emirates, there are concerns about the legitimacy of fund transfers to Sri Lanka. The Council urges Dr. Fernando, as the current competent authority of SLR, to either personally investigate these matters or appoint a dedicated committee to ensure due diligence is conducted.
Suppressed details regarding Sri Lions Rugby’s sponsorship deal
Glaring concerns have also emerged within the Sri Lanka Rugby (SLR) community regarding potential conflicts of interest involving the Ministry of Sports and Nalin De Silva, the appointed point of contact for SLR. It is believed that they may have sought sponsorship funds from Sri Lions Sports Club to support the Sri Lanka Under-18 Youth Team’s participation in the Asian Youth Sevens Tournament held in Malaysia. This situation has raised questions about the impartiality of decisions related to Sri Lions’ promotion to the ‘A’ Division, as financial contributions from the club could influence official actions. The rugby community emphasizes the need for transparency and adherence to proper procedures to maintain the sport’s integrity.
The sponsorship arrangement between Sri Lions Sports Club and the Ministry of Sports, intended to support the Sri Lanka Under-18 Youth Team’s participation in the Asian Youth Sevens Tournament in Malaysia, has raised the following concerns:
- Existence of a Formal Agreement: It is unclear whether a formal sponsorship contract was established between Sri Lions and the Ministry of Sports.
- Terms and Conditions: The specific terms of the sponsorship, including any conditions tied to the funding, have not been disclosed.
- Financial Transparency: Questions remain about the amount contributed by Sri Lions, whether these funds were deposited into the official Sri Lanka Rugby (SLR) bank account, and if proper financial protocols were followed.
- Involvement of Sri Lions Officials: The rationale behind sending Sri Lions Executive Committee members on overseas tours as officials, possibly linked to the sponsorship, has not been clarified.
The lack of transparency surrounding the sponsorship deal between Sri Lions Sports Club and the Ministry of Sports has raised significant concerns within the Sri Lankan rugby community. Sports Director I.P. Wijeratne’s silence on these matters has further fueled allegations that the sponsorship may have been used to influence Sri Lions’ promotion to the ‘A’ Division. This situation underscores the need for greater transparency and adherence to governance standards within Sri Lankan rugby.
Concerns have emerged regarding Director General Dr. Shemal Fernando’s commitment to good governance and transparency in his oversight of Sri Lanka Rugby (SLR). Despite his distinguished background as a former naval officer, stakeholders are questioning his recent decisions, particularly his endorsement provided to promote Sri Lions Sports Club to the ‘A’ Division. Critics argue that this move may not align with established protocols and could undermine the integrity of the sport’s administration.
These developments have led to a decline in confidence among rugby officials and enthusiasts, who are calling for a reaffirmation of ethical standards and transparent practices within SLR’s governance at least for now under the DG Dr.Fernando, the current competent authority.
