Although the PSB, established by an Act of Parliament in 2002, hadn’t functioned for almost four years, it had continued to receive Rs 20 million annually.

Well informed sources said that despite the government and the Opposition being aware of the non-performing organization, both parties had conveniently forgotten the issue.

Sources said that UNP leader Ranil Wickremesinghe, who proposed the setting up of the PSB during his tenure as the Prime Minister, had turned a blind eye.

During the first term of its operation, the PSB had given three scholarships whereas none was given since August 2005. The bottom line was that just three scholarships had been provided since its inception at a tremendous cost to the taxpayer.

Sources said that the total amount spent on the PSB was much more than the amount spent on scholarships. Nothing could be as wasteful as this, an official told The Island, asserting that those in power seemed to be determined to continue with the operation. Some of the funds allocated to the PSB had been spent by Parliament for other purposes including foreign travel, the sources said.

Secretary to the PSB and its Chief Administrative Officer Ms Priyanee Wijesekera said that it could be reactivated once the Constitutional Council came into operation. Responding to The Island queries, the former Secretary General of Parliament said that the PSB shouldn’t be blamed for the delay in appointing the Constitutional Council. Declining to comment on the number of scholarships provided by the PSB, she emphasised that she would quit once a new board took over the operation. She asserted that the PSB offices at the BMICH had to be maintained irrespective of the situation which she said was not the fault of the organisation. She acknowledged the possibility of a cut in the next year’s allocation.

Ms Wijesekera defended her decision to occupy a government bungalow even after her retirement from Parliament. "I have to have time to vacate the bungalow," she said.

Although Parliament envisaged providing scholarships to foreigners to pursue higher education in institutes of higher education in Sri Lanka it hadn’t materialised, sources said.

It also said that the Prime Minister in consultation with the Speaker, Leader of the Opposition and the Chairman/Chairperson of the PSB would determine the number of scholarships to be awarded annually. The board comprises three members, including one woman appointed by the Speaker on the recommendation of the Constitutional Council, one nominated by the Vice Chancellors and the Secretary to the Ministry of Higher Education. The appointment of Chairman/Chairperson was the Prime Minister’s prerogative, the sources said.

Meanwhile, the Acting Secretary General of Parliament Dhammika Kitulegoda who also functions as Secretary to the Constitutional Council had moved to Pamankada from Mumtaz Mahal, formerly the official residence of the Speaker. Sources said that the Pamankada bungalow cum CC office cost the taxpayer Rs 80,000 a month.

Recently, The Sunday Island revealed a controversial scheme which allowed 40 ministers, deputy ministers and non-Cabinet ministers to receive Rs. 100,000 house rent per month despite almost all of them having their own houses in the Western Province.