Visa scandal exposed after airport chaos
A foreign company that has secured the exclusive right to process applications for Sri Lankan visas stands to earn at least 12.76 billion rupees ($42.5 million) for the same service that a local company had offered virtually free.
Chaos broke out at the Bandaranaike International Airport on May Day when VFS Global set up an operation at the arrival terminal to process incoming foreigners. The company was completely overwhelmed, resulting in hours-long queues.
A Sri Lankan national openly criticized the expensive yet incompetent operation of VFS Global, and a video of the man raising the issue was widely shared on social media.
The Immigration department said they took over the operation when the crowds turned hostile, and the police had to be called in to ensure there was no violence.
The cabinet of ministers had approved an unsolicited offer from VFS based on a proposal by Public Security Minister Tiran Alles. The original offer was made by GBS Technology Services and IVS Global – FZCO, but it was later changed to “GBS Technology Services and IVS Global – FZCO and VFS VF Worldwide Holdings Ltd.”
Based on the government’s projection of 2.3 million foreign visitors entering the island this year, VFS stands to gain $42.5 million within a 12-month period in addition to another $17.25 million by way of “convenience fees.” VFS could end up the largest single beneficiary of a tourism boom in Sri Lanka.
There was no comment from VFS Global. The Sri Lankan visa processing was previously done through an Immigration department-run platform eta.gov.lk, and the online system was user-friendly, with online payments accruing to the government without anyone taking a commission.
Mobitel, a subsidiary of Sri Lanka Telecom, was behind the technology and was committed to further upgrading the multi-language platform.
Official sources said the cabinet of ministers had ignored a 2021 decision to grant Mobitel authority to upgrade the system and charge a technical fee of just one dollar per application, compared to the 18.5 dollars currently charged by the VFS Global operation.
There had been no transparent procurement procedure before allowing VFS Global to charge fees from Sri Lankan visa applicants, who are also asked to pay another 7.5 dollars as a “convenience fee” if they use a credit or a debit card to make the payment.
Sri Lanka has granted visa fee waivers to nationals of China, India, Indonesia, Russia, Thailand, Malaysia, and Japan in a bid to woo tourists from those countries, but under the VFS scheme, they will still have to pay $25 each as VFS processing fees.
Tourism minister Harin Fernando told parliament last week that he was against the new visa system which added VFS fees on top of increased visa charges. However, he said he had to defend the government’s decision due to collective cabinet responsibility, but he would campaign to have it changed.
