The President’s Fund, The Development Lottery & Mahapola

By Wickrema Weerasooria –January 10, 2017

Dr. Wickrema Weerasooria

In this article I place on record for future reference some significant facts and events about three institutions which have over the years become household names amongst our people. Firstly, I speak of the President’s Fund, next the Development Lottery and third the Mahapola Higher Educational Scholarship Scheme. Financially, all three are closely connected to each other.

During the ten year period 1977 to 1986 I was the Secretary to the Ministry of Plan Implementation. That Ministry came directly under the Executive President Mr. JR Jayewardene and it was the only Ministry that the President kept under him. As the Secretary of that Ministry I was privileged to work towards the development of all the three institutions referred to above.

As regards the President Fund, with my endeavours I was able to augment its funds considerably. As regards the Development Lottery, it was I who started the lottery and developed it to be the success it is today. As regards Mahapola it was also I who spoke to Mr Lalith Athulathmudali who was then the Minister of Trade and Shipping and the founder of Mahapola and persuaded him to take a fifty percent share in the Development Lottery. Now I turn in greater detail to my involvement in the three institutions referred to above.

The President’s Fund

The President’s Fund as we know it today was created by President JR Jayewardene. It was established by an Act of Parliament entitled the President’s Fund Act No. 7 of 1978 and came into operation on 24 November 1978. As the number of the statute indicates, it was one of the first pieces of legislation to be enacted by the Jayewardene government which won the General Elections of July 1977. Prior to this there appears to have been an informal President’s Fund and all monies credited to that Fund were with the Central Bank. That amount was small. The new President’s Fund created in November 1978 is under the control of a Board which comprises of the President, the Prime Minister, the Speaker, the Leader of the Opposition, Secretary to the President and two others appointed by the President.

Photo – Dr. Wickrema Weerasooria selling the first Development Lottery Ticket in January 1983 to President JR Jayewardene in the presence of Mahapola Minster Lalith Athulathmudali and Menikdiwela, Secretary to the President

Under the statute establishing it, the President’s Fund can give monies for (i) relief of poverty (ii) advancement of knowledge or education (iii) advancement of religion (iv) making of awards to persons who have served the nation and (v) any other purpose of benefit to the public as decided by its Board.

The statute establishing the President’s Fund also provides that its accounts be audited by the Auditor General and tabled in Parliament through the Finance Minister. Today, it is well-known that many Sri Lankans get financial assistance from the President’s Fund for medical operations. The President’s Fund Board is entitled to so decide as long as the amounts given for medical assistance are not large in individual cases. From Questions raised in Parliament we are aware that during the previous regime the President’s Fund had granted large sums to assist a few individual politicians (Ministers) but thankfully that unsavoury practice has been abandoned by the new President.

My Contribution to the President’s Fund

The President’s Fund established by Mr. JR Jayewardene had little money. The monies lying at the Central Bank were very little. Also, the Parliamentary statute establishing it mode no provision for the Treasury to give any monies to the President’s Fund through the Consolidated Fund. Thus the President’s Fund as established by Mr. Jayawardene depended solely on donations and grants made to it by the public to carry out the objectives which I set out above. As the Secretary of the Ministry of Plan Implementation I soon realized that it was a Fund without any money. Then an event occurred which enabled me to get money into the President’s Fund.

The Batticaloa Cyclone of November 1978

On 23rd November 1978 a cyclone hit the sea coast of Batticaloa. It was no way like the Tsunami that hit Sri Lanka in December 2004. The “Batticaloa Cyclone” as it was called only devastated property (coconut trees) and some houses and buildings in that area. However, it was the first natural disaster to affect the country after the new government was elected in July 1977.

Many foreign diplomats, NGOs, businessmen and individuals contacted me as Secretary Ministry of Plan Implementation and wanted to assist in relief. They knew I was close to the President. They also wanted to donate money to the government to help those affected by the cyclone. However, they all wanted to give their donations to the President. I immediately thought of the President’s Fund. It had never accepted donations before. So I contacted the President by telephone and asked for his approval to open the President’s Fund for relief donations.

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