29 November, 2021

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SLIIT Should Remain Non-State & Non-Profit Institution

By R.P. Gunawardane

Prof R.P. Gunawardane

Sri Lanka Institute of Information Technology (SLIIT), one of the best and most popular non-state higher education institutions in this country is in news these days. It was established in 1998 with a support from the Mahapola Trust Fund and its current status has been challenged by the Committee on Public Enterprises (COPE) of the Parliament of Sri Lanka.

Mahapola Trust Fund (MTF) was established by the late minister Mr. Lalith Athulathmudali in 1981to grant scholarships for needy undergraduates in the Sri Lankan university system. The chairman of the MTF has always been the Chief Justice of the country by statute, which in fact gives its stature. Nearly half a million of our deserving undergraduates have so far benefitted from the Mahapola Scholarship Scheme. The MTF is certainly a noble organization established for a noble purpose by a great visionary, late Lalith Athulathmudali who was one of the best politicians and a very intelligent and energetic minister ever produced by this country. If he was alive today, he would have been extremely happy about this investment by his Mahapola Trust Fund for the creation of the SLIIT and its exemplary achievements in two decades of its existence.

The SLIIT offers a novel model of non-state and non-profit fee-levying university for Sri Lanka, although such institutions are very common in the developed world. All top universities in the world including Harvard, Princeton, MIT, Stanford and all Ivy League universities in USA and even Oxford, Cambridge and London universities in the UK are of this type. Although they receive some funding from the government for specific teaching and research projects none of them are state controlled.

Almost all the top universities in the world are located in USA, UK, Europe, Australia and Canada. None of these countries have a University Grants Commission (UGC) or an equivalent organization or a Universities Act to govern higher education institutions. All universities are completely independent and managed by their boards of management without any interference from the government. All appointments including the post of Vice-Chancellors are done independently by the board of management. It is recognized all over the world that this type of independence is required for a university to carry out its duties and functions effectively maintaining the highest standards.

History of SLIIT

Sri Lanka Institute of Information Technology (SLIIT) commenced its operations in 1999 as a non-state and non-profit higher education institution to train manpower in the field of Computer Science and particularly in the broad field of Information Technology. The development with rapid expansion was possible because of a strong commitment by the Mahapola Trust Fund (MTF) to provide a loan of Rs. 500 million and a lease of a land extending 25 acres in Malabe owned by the Mahapola Trust Fund. However, only Rs. 373 million was released by the Mahapola Trust Fund as a loan for this purpose.

It started functioning at the Bank of Ceylon Merchant Tower, Colombo 3 now called the Metropolitan Campus of the SLIIT. After almost 22 years of its existence and rapid development, it has now become a fully-fledged higher education institution at national university level with wide national and international recognition.

I served the Board of Management of the SLIIT for nearly 4 years in the initial stages from the year 2000. I was nominated to the Board of Management by then Minister of Education and Higher Education, Mr. Richard Pathirana. At the same time, I also served as a member of the Board of Governors of the Mahapola Trust Fund for a period in my capacity as the Secretary to the Ministry of Education and Higher Education.

In my tenure in the initial stages of the establishment of this institute, I noticed the tremendous potential it has in the higher education sector in this country and the effort, dedication, commitment, perseverance and continuous hard work by a group of academics lead by Professor Lalith Gamage to bring this institution to the present level. Whatever the mistakes made in the process of developing this institute, this achievement should be recognized and preserved. This institution should not be destroyed like what happened in the case of NCMC or SAITEM. Sri Lanka Institute of Information Technology is a national asset that must be retained and further developed as a non-state sector institution with a framework for checks and balances with regard to the broad national policy.

Current Status of the Institute

Currently SLIIT has two campuses and four regional centers. The main campus with all the laboratory, library, auditorium and all other facilities is located in a 25-acre premises in Malabe. It’s original location at the BoC Merchant building, Colombo 3 is continued as the Metropolitan Campus. Its Regional Centers are spreading throughout the island in the major cities of Sri Lanka in Matara, Kandy, Kurunegala and Jaffna. Currently about 12,000 students are enrolled in this institution with about 400 highly qualified academic staff and 200 administrative and supporting staff. It has a large number of links and joint degree programs with prestigious universities in Australia, USA, UK and Canada.

SLIIT being a non-state non-profit institution, it does not come under the purview of the UGC and not abide by the Universities Act No. 16 of 1978 which has centralized powers and decision making at the UGC. Thus, SLIIT has a tremendous advantage and full freedom to expand and diversify programs with innovative approaches without any clearance or approval from any authorities.

This freedom is lacking in the state universities and as such clearances and approvals have to be obtained from the UGC and other relevant ministries and agencies to commence new programs. In recent years, the UGC has taken over more powers outside the Universities Act with regard to introduction of new courses and novel projects requiring to obtain prior approval from the UGC. Sometimes it takes up to one year or more to obtain necessary approvals or clearances. By the time approval is obtained the program may be outdated or if it is a joint project with foreign university or international organization, the other party is no longer interested.

This kind of freedom available to the SLIIT should be retained for further development and implementation of novel and innovative programs. Our national universities do not have the kind of freedom presently available to SLIIT. That is why our universities cannot compete with other similar institutions in Sri Lanka and abroad although the state universities have sufficient expertise but with limited resources.

It is important to note that the SLIIT (1999) achieved the current status only in about 22 years of its existence while our oldest universities, Colombo (1942) and Peradeniya (1952), existed for about 70-80 years. It is remarkable that this institution is elevated to a level of a vibrant national university beating most of our state universities except perhaps a few universities like Peradeniya and Colombo.

SLIIT may be considered as a new experiment and a new approach to higher education in Sri Lanka. Thus, this approach should be further explored for the expansion and diversification of higher education sector in Sri Lanka.

Issues and Concerns

SLIIT administration claims that the loan of Rs.373 million obtained by them from the Mahapola Trust Fund (MTF) to establish the SLIIT is fully paid with interest totaling Rs.408 million. In addition, they also make the annual lease payment of Rs. 25 million per year for the land in Malabe regularly as agreed. However, it should be noted that MTF is not a commercial bank or money lending organization and it does not give loans to others. It has not given loans to any other organization. It is believed that the MTF at the time wanted to make a long-term investment in the field of higher education in line with the philosophy of its founder Mr. Lalith Athulathmudali. The intention would have been to generate additional funding to support the scholarship funding for rapidly increasing number of needy undergraduates. Thus, the support for the establishment of the SLIIT is an investment the MTF made for the future.

I consider the severing of SLIIT’s connection to the MTF is a grave and unforgivable mistake done by the SLIIT administration. SLIIT would not have come up to the present position within two decades if not for the original support of MTF through a loan of a huge sum and a 60 yr.-lease agreement for the land at a prime location in Malabe. Furthermore, the refusal of the SLIIT management to appear before the COPE Committee is very unfortunate although they may not have to do so legally due to their current status. However, this act by the SLIIT which was created by a noble organization such as Mahapola Trust Fund is highly unethical and needs condemnation. It was also a missed opportunity for the SLIIT management to explain their side of the story to the COPE members in order to get some concessions.

Although they developed innovative and popular academic programs rapidly attracting a large number of students, there were number of unresolved and troubling issues within the Institute. Some of them are:

1. Insufficient emphasis for high quality research and lack of an initiative to develop a much-needed research culture in the institute are clearly seen.

2. In the past there were some news reports pertaining to irregularities in the financial administration of the institute by some higher officials. Truthfulness of these complains is unknown until an investigation is done. It was also reported that there was no properly qualified and experienced accountant or Bursar to handle financial matters and there is no Internal Audit in the institute for a long period of time.

Way Forward

It is essential that the SLIIT should not be taken over by the government. If it does, it will certainly do much more harm than good to the higher education sector. First of all, its connection to Mahapola Trust Fund, which may be considered as the mother institution, must be fully restored. It is also necessary to reconstitute a fully independent Board of Management consisting of highly qualified and eminent professionals with no prior record of any misdeeds. It also should include one representation of the Mahapola Trust fund as well. This institution should continue to run as a non-state and non-profit higher education institution with the fee-levying status. Appointments at all the levels should be made by the Board of Management without any external or government involvement.

The matters raised above and any audit reports should be investigated thoroughly and appropriate action be taken in order to improve the image of the institution. As   stated in the original agreement of the SLIIT with MTF and also as a gesture of goodwill, the SLIIT should pay 20% of its profit annually to the MTF to strengthen the Mahapola Scholarship Scheme. This should be done even if the MTF’s ownership of the Institute is not legally established. This is in addition to the annual lease payment to Mahapola Trust Fund for its use of 25-acre land at Malabe where its main campus is located.

Furthermore, SLIIT should establish a scholarship scheme by contributing sufficient funds to provide partial scholarships to needy students covering at least 10% of total student population in the Institute. This aspect is extremely important for the survival of a non-state fee-levying institution in a country where state universities provide free education.

Restructuring the institute may also be required avoiding unnecessary and irrelevant structures, units and subject areas and strengthening the teaching, research and consultancy functions in the core area of information technology. It is vital that the non-state and non-profit status of the SLIIT should be retained in order for this institution to develop rapidly to become one of the most prestigious higher education institutions in Asia attracting a considerable number of foreign students. In this attempt, it would be the best for the SLIIT if Professor Lalith Gamage, the live wire of this institution who is mainly responsible for its tremendous success should continue as the Vice-Chancellor/ CEO for a longer period to see the best results.

*The author is a Professor Emeritus, University of Peradeniya, formerly Secretary, Ministry of Education and Higher Education and Chairman, National Education Commission, Sri Lanka

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Latest comments

  • 3
    1

    I wouldn’t advise readers to hold their breath trying to guess which monk will be appointed Chancellor of SLIIT. Of course the front runner is Ratana.

  • 1
    0

    SLITT web page says that, ”SLIIT is a non-state, degree awarding institute approved by the University Grants Commission (UGC) and Ministry of Higher Education under the Universities Act”.

    Does it means that it is private?

    Who appoints the Chancellor, Vice Chancellor and the Board of Management?

    Then, How you could say that it is an independent institute. Independent? .

    Other than the Mahapola Trust Fund, how the SLITT is financed?

    If the Auditor General is not auditing the funds, then why should COPE be interested in inviting SLITT to appear before COPE.?
    .,
    Is SLITT is not answerable to anybody, at least to the people of the country?

    Are they not answerable even to the people?

    There seems to be much more than that has been disclosed by Prof R.P Gunewardene.

    Let us be transparent and accountable !

  • 0
    0

    Perhaps what the learned Prof. Gunawardena attempts to state is his wish. But that is not the factual position. According to SLIIT’s statement in a recent newspaper it is a private guaranteed company registered under the existing laws. It entered into a transaction with a governmental body, but not as a part of the governmental institution. There are many private sector institutions which are entering into contractual relations with many governmental institutions. One, example is the Board of Investment which enters into contractual transactions with many private sector bodies. Do these transactions make the private sector institutions to be considered as government institutions? Transparency and accountability are norms to be practised and followed by government sector institutions as they exist and are maintained on taxes and levies given by the public. Private sector bodies are not expected to be transparent and accountable the way the public sector bodies are expected to be. They have to abide by the rules laid down in the companies law and other relevant laws.

  • 0
    0

    Prof R.P Gunawardana in his article claims,

    ” I was nominated to the Board of Management by then Minister of Education and Higher Education, Mr. Richard Pathirana. At the same time,

    I also served as a member of the Board of Governors of the Mahapola Trust Fund for a period in my capacity as the Secretary to the Ministry of Education and Higher Education”
    .
    So, at least one member of the Board of Management was appointed by the Minister of Education.How many more, we don’t know, may be others appointed by some other ministers!

    Nevertheless, the question remains, how independent it is ?.

    If it was registered as a nonprofit making Guarantee Company how could COPE intervene ?

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