The Front Line Socialist Party (FLSP) is gearing up for legal action over the Sri Lankan government’s controversial decision to sell a 51% stake in the Colombo Dockyard to India’s Mazagon Dock Shipbuilders Ltd. While officials claim transparency, the FLSP argues the deal jeopardizes national security and undervalues a key strategic asset.
The Front Line Socialist Party (FLSP) has announced plans to initiate legal action against the Sri Lankan government over the controversial sale of a majority stake in Colombo Dockyard to an Indian defense manufacturer. The move has sparked political uproar over national security and economic transparency.
FLSP Secretary for Education Affairs, Pubudu Jagoda, said the party will soon petition the Supreme Court of Sri Lanka in a bid to nullify the agreement signed between the government and India-based Mazagon Dock Shipbuilders Ltd., a company known for producing naval combat vessels.
“We have received credible information that a 51% stake in Colombo Dockyard is being sold to this Indian firm. We strongly oppose this transaction, as it would strip the government of majority control over a strategically vital maritime institution,” Jagoda told
The FLSP also raised questions about the valuation of the deal, alleging that the stake is being sold for just USD 50 million, despite the Dockyard’s assets being valued at over USD 130 million. “This is not just a financial concern—it’s a national security issue,” Jagoda emphasized.
In response, Deputy Minister Eranga Gunasekara assured the public that the Colombo Dockyard stake sale would be carried out with full transparency. “We will not let the people down,” he said, dismissing fears of backdoor dealings or lack of oversight.
As the debate intensifies, the case could become a flashpoint in Sri Lanka’s foreign investment policy, especially concerning deals involving strategic national assets and Indian defense interests.
