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SriLankan Airlines Leadership Crisis Deepens Amid Ministerial Power Struggle

An acute administrative crisis has emerged within the Ministry of Ports and Civil Aviation that is directly undermining the governance of SriLankan Airlines.

A deep policy and operational rift between Cabinet Minister Anura Karunathilake and Deputy Minister Janitha Kodithuwakku has stalled the appointment of interim leadership, leaving the national carrier in a destabilizing year-long executive vacuum informed official sources and several top level officers of the National carrier confirmed .

Following the departure of former CEO Richard Nuttall, the airline’s board sought to fill the vacuum by selecting an interim chief from internal ranks.

The selection narrowed to two individuals: the Head of Commercial and the Head of IT, Chamara Perera they alleged. .

Minister Karunathilake unilaterally selected IT Chief Chamara Perera without consulting his deputy, a trade union leader disclosed. .

This triggered a sharp institutional backlash from Deputy Minister Janitha Kodithuwakku, who refuses to sign off on the promotion until serious transparency concerns are cleared, he said. .

Minister Anura Karunathilake: has previously highlighted the heavy financial historical baggage of the airline, noting, “We had to pay 115 million dollars as penalties for cancelling contracts due to not having proper negotiations.

SriLankan Airlines had to bear a cost of 400 million dollars.” He maintains that internal technical appointments are necessary for immediate corporate survival.

JVP-affiliated unions were locked out of meetings, leading to threats of imminent industrial strike action if the appointment is pushed forward through political pressure.

The planned elevation of Chamara Perera was abruptly frozen due to a public whistleblower campaign exposing severe operational vulnerabilities inside the airline’s IT department. A formal grievance filed with state authorities explicitly cautions:

“There is a serious escalation of mismanagement in the IT division under the stewardship of Mr. Chamara Perera. He has become a serious threat to the future of the Airlines Business and caused serious damage to the professional outlook of the organisation and its culture.

“The complaints cite unchecked technical procurement pipelines and a compromised organisational culture, making a promotion without a thorough independent probe a major risk to state assets.

The long-term search for a permanent Chief Executive Officer attracted 210 global applications. While the National People’s Power (NPP) administration initially leaned toward choosing a local candidate to respect domestic policy preferences, the final shortlisting phase remains deadlocked.

The top-tier candidates currently under consideration include :Internal Oversight: Yasantha Dissanayake (Current Acting CEO).Aviation & Flight Operations: Captain Navin De Silva, Captain Anupama Pathirana, and Captain Themiya Abeywickrama.Corporate & Turnaround Experts: Wasantha Kumarasiri (Former Air Niugini CEO) and Sanjana Fernando (Financial Expert).Global Technical Contenders: Paul Carroll and Captain George Kamal.

Former Emirates-era CEO Peter Hill was informally approached to take the helm, but he politely declined the request, citing alternative start-up airline commitments within the region.

The airline continues to carry an accumulated debt burden of Rs. 596 billion. To ensure the airline survives without an outright sell-off, a Strategy and Restructuring Committee chaired by Dr. Hans Wijayasuriya and advised by the International Finance Corporation (IFC) has designed a strict multi-tier fiscal framework

Regarding this structural pivot away from total privatisation, former Transport and Civil Aviation Minister Bimal Rathnayake confirmed the state’s long-term operational objective:”SriLankan Airlines was closed, sold, and destroyed [by previous strategies]… efforts have been made to secure the necessary funds. One of the grounded aircraft is already back in operation.

This is why they are now planning to move forward without selling SriLankan Airlines.”6. Strategic Recommendations have been made for Immediate Action

Freeze Interim Appointments: Order an immediate freeze on the interim CEO appointment of Chamara Perera pending a full, independent forensic audit of the IT department’s procurement logs.

Appoint a Merit-Based Permanent CEO: Instruct the Ministry to bypass the internal political gridlock and immediately select a permanent leader from the top three shortlisted candidates based strictly on merit.

Establish a Shared Leadership Structure: Ensure clear boundaries between operational management and state governance to prevent unilateral ministerial appointments in the future.

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