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IBIS travelling sans bus fare
By Nilika Kasturisinghe
Despite the government's agreement with IBIS lapsing tomorrow due to non-payment of dues amounting to more than Rs. 840 mllion, the government was set to grant further time to the company.

PERC Director General Deepal Guneratne said last night that the bid bond would be renewed, giving IBIS a further extension to finalise the deal. Several earlier deadlines and extensions given to IBIS had not been honoured, but the agreement to hand over the management of six state-owned cluster bus companies still remains in tact.

A bid bond amounting to 5 percent of the total value of the six bus companies was provided and Rs. 70 million paid. The Lanka Private Bus Owners Association charged that from February 13 todate the interest on this money should have come to the country, at the rate of Rs. 25,000 a day if it had been put into the Treasury.

The LPBOA has threatened legal action if the management of the state-owned cluster bus companies is given to IBIS with the full payment being made.
"We have learnt that there is an attempt to proceed with the agreement with the IBIS company, and that a cabinet paper has been submitted for continuation of this deal," LPBOA President Gemunu Wijeratne said.

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