A sum of Rs. 18.5 billion was invested by the Sri Lanka Insurance Corporation, the Employees Provident Fund and Litro Gas Lanka Ltd in the equity of Canwill Holdings (Pvt) Ltd for the purpose of construction of Grand Hyatt Colombo Hotel through its fully owned subsidiary Sinolanka Hotels and Spa Pvt Ltd and the constructions commenced in 2012.
During its construction it was decided to invest Rs. 4 billion in building another hotel called Hyatt Regency in Hambantota.
Although, Rs. 315 million has been spent, constructions of the Hambantota hotel has not commenced.
Accordingly, a proposal made by Public Enterprise Development Minister Kabir Hashim, to use the funds allocated for Hyatt Regency to complete construction of the Grand Hyatt Colombo Hotel, was approved by the cabinet of Ministers, the Government said today.
It has also been decided to investigate on investing money of public enterprises in commercial ventures which are out of their basic objectives. (Colombo Gazette)