The National Audit Office has uncovered a staggering Rs. 2.66 billion loss and significant mismanagement in the former administration’s electric vehicle import scheme for migrant workers, raising serious concerns over transparency and accountability.
The report, submitted to Parliament, scrutinized the issuance of permits under the scheme between May 1, 2022, and September 15, 2023, as well as electric vehicle permits issued between September 22, 2020, and June 30, 2023.
The audit revealed several irregularities, including the financial impact of the Government’s decision to raise the luxury tax exemption limit for 510 imported vehicles from Rs. 6 million to Rs. 12 million. This policy change led to an estimated loss of Rs. 1,380 million in Government revenue.
Furthermore, tax payments of Rs. 1,280 million remain unpaid for six vehicles that were transferred to other parties, violating the scheme’s guidelines.
During the audit period, the Labour and Foreign Employment Ministry issued 1,077 vehicle permits for migrant workers, of which 77 permits were later revoked due to irregularities. The Ministry Secretary also failed to provide 64 essential files for the audit, further undermining accountability.
The audit recommended canceling all permits issued under the scheme and called on the Government to inform stakeholders of the decision. It also urged disciplinary action against officials who issued permits in violation of four key principles outlined in the Cabinet-approved committee report.
These recommendations, including the cancellation of permits and proposed disciplinary measures, are expected to spark intense debate in Parliament.