Vasudeva Nanayakkara v. Choksy and Others (John Keells Case) – sllr 2008 volume 1 page 134

In Vasudeva Nanayakkara (Plaintiff) v. Choksy and Others (Defendants), the Supreme Court addressed the legality of the privatization of Lanka Marine Services Ltd (LMSL) by the Public Enterprise Reform Commission (PERC) and its Chairman. The main issue concerned whether the process was ultra vires, arbitrary, and in violation of Article 12(1) of the Constitution, which guarantees equal protection of the law. The findings established that the privatization was effected without proper Cabinet authority, involved unauthorized valuations and agreements, and deviated from approved procedures, resulting in select advantage to a private entity. The decision reaffirmed the principle that public assets and processes must be managed with transparency, legality, and adherence to established procedures