IN THE SUPREME COURT OF THE DEMOCRATIC SOCIALIST REPUBLIC OF SRI LANKA In the matter of an Appeal against the Judgement of the Commercial High Court of the Western Province (Holden in Colombo)

Acland Insurance Services Limited, No. 65/5, Ward Place, Colombo 07.

SC CHC Appeal No. 44/2012 Plaintiff H.C. (Civil) No 152/2003 (1)

D.C. Colombo Case No. 5788/Spl Vs.

(Transferred to Commercial High Court)

1. Dr. P.B. Jayasundara, Secretary to the Ministry of Finance and Planning and the Secretary to the Treasury, The Secretariat, Colombo 01.

2. National Insurance Corporation Limited, No.01, Muttaiah Road, Colombo 02.

3. Public Enterprises Reform Commission, No. 11-01, West Tower, World Trade Centre, Echelon Square, Colombo 01.

4. The Hon. Attorney General, Attorney General’s Department, Colombo 12.

5. Jayampathi Charitha Ratwatte, Former Secretary, Ministry of Finance, The Secretariat, Colombo 01. Defendants AND NOW BETWEEN 1. Dr. P.B. Jayasundara, Secretary to the Ministry of Finance and Planning and the Secretary to the Treasury, The Secretariat, Colombo 01.

1A. Dr. Ranepura Hewage Samantha Samarathunga, Secretary to the Ministry of Finance and Planning and the Secretary to the Treasury, The Secretariat, Colombo 01.

1B. K.M.Mahinda Siriwardana, Secretary to the Ministry of Finance and Planning and the Secretary to the Treasury, The Secretariat, Colombo 01.

2. Public Enterprises Reform Commission, No. 11-01, West Tower, World Trade Centre, Echelon Square, Colombo 01.

3. The Hon. Attorney General, Attorney General’s Department, Colombo 12.

Defendant- Appellants Vs.

1. Acland Insurance Services Limited, No. 65/5, Ward Place, Colombo 07.

Plaintiff-Respondent

2. National Insurance Corporation Limited, No.01, Muttaiah Road, Colombo 02.

2A.Janashakthi Insurance Company Limited, No.24, Staples Street, Colombo 02.

3. Jayampathi Charitha Ratwatte, Former Secretary, Ministry of Finance, The Secretariat, Colombo 01.

Defendant-Respondents Before: Murdu N.B. Fernando, PC. CJ., K.K. Wickremasinghe, J and K.Priyantha Fernando, J.

Counsel: Susantha Balapatabendi PC ASG with Milinda Pathirana SDSG for the Defendant-

Appellants Harsha Soza PC with N. Kandeepan for Plaintiff-Respondent Heshan Mamuhewa for the 2A Defendant-Respondent Argued on: 09.03.2023, 27.10.2023, 20.02.2024 and 19.06.2024 Decided on: 07.07.2025 Murdu N.B. Fernando, PC. CJ., This is an Appeal against the Judgement of the Commercial High Court of the Western Province, Holden in Colombo (“the High Court”) dated the 09^th of March, 2012.

Introduction

01. The Plaintiff- Respondent Acland Insurance Services Limited, (“the Plaintiff”/ “Acland Insurance”) instituted an action in the District Court of Colombo in November 2000 against four Defendants.

02. This case was thereafter transferred to the Commercial High Court. The 1^st, 3^rd and 4^th Defendants, the Secretary to the Treasury, Public Enterprises Reform Commission (PERC) and the Hon. Attorney General respectively, were represented by the Attorney General’s Department. The said parties are the Appellants before this Court and for ease of reference, I will refer to the said parties represented by the State as the “Appellants”/

“Secretary to the Treasury”/ “1^st Defendant”)

03. The 2^nd Defendant was National Insurance Corporation Limited (“NIC Limited”). The docket bears out that in the year 2001, after filing of this action, Janashakthi Insurance Company Ltd., had taken over the functions of the 2^nd Defendant, National Insurance Corporation Limited.

04. The Plaintiff by the instant action sought inter-alia, (a) a declaration that the Plaintiff Acland Insurance is entitled to 6% of the share capital of the 2^nd Defendant, NIC Limited;

(b) a declaration that the 1^st Defendant, Secretary to the Treasury and the State are holding

6% of the share capital of the NIC Limited in trust for the benefit of the Plaintiff Acland Insurance;

(e) an Order directing the Secretary to the Treasury and/or the State, to transfer 6% of the share capital of the NIC Limited to the Plaintiff;

(f)