The Retired Parliamentarians’ Association states that nearly fifty former parliamentarians have received red notices from banks after failing to pay their loan installments following the abolition of their pensions.
Threat of Legal Action
According to the association, banks have warned that legal action will be initiated if the outstanding loan installments are not settled within seven days.
Former parliamentarians Samansiri Herath, S. K. Subhasinghe, and Padma Udayashantha Gunasekara are among those who have received red notices, according to the association’s secretary, Premasiri Manage.
Loans Obtained Based on Pension Income
The association further stated that most of the affected former MPs had obtained bank loans on the basis that repayments would be recovered through their parliamentary pensions. However, with the pensions being abolished, many have now fallen into serious financial difficulty, as they have no other sources of income to continue repayments.
Request for Government Relief
The Former MPs’ Association has submitted a written request to the Secretary to the Ministry of Finance seeking relief regarding the loan installments.
However, the Ministry of Finance has reportedly informed the association that Cabinet approval is required before any such relief can be granted.
