RTI Inquiry Exposes Major Accountability Gap
Election Finance Regulation Act Put to the Test After Three National Polls
In a democratic system of governance, sovereign power ultimately rests with the people. The primary instrument through which this power is exercised is the election. It is essential that elections are conducted in a free and fair manner. While a legal framework and enforcement mechanisms have gradually evolved to support this, they have not fully succeeded in creating a level playing field.
Over time, it became commonplace for candidates with significant financial resources to exploit their monetary strength, thereby gaining an undue advantage in the electoral arena. In contrast, candidates lacking such financial power were often sidelined from meaningful competition. As a response, the demand for legal regulation of election expenditure gained momentum.
The passing of legislation to regulate election spending, following persistent advocacy by election monitoring bodies such as Transparency International, PAFFREL, the Centre for Monitoring Election Violence (CMEV), and Community Action for Free and Fair Elections (CaFFE), as well as academics and civil society groups, represents a significant democratic milestone.
Implementation of the new Act
This milestone was realised through the enactment of the Election Expenditure Regulation Act, No. 3 of 2023. Under this Act, candidates contesting elections are required to submit a report to the Election Commission detailing their campaign expenditure, including the sources of their funding. Since its enforcement, three major elections have been held: the 2024 Presidential Election, the subsequent General Election, and the Local Government Election.
This article seeks to assess the practicality of regulating election expenditure. To do so, it draws on information obtained from the Election Commission under the Right to Information Act, No. 12 of 2016. Notably, the 2024 Presidential Election was the first poll held under the new regulatory framework.
In accordance with the Act, a ceiling is placed on the amount a candidate may spend per voter, specific to each election. Every candidate is obliged to comply with this limit and to submit a report within a stipulated timeframe, outlining their expenditure and the sources of their campaign funds.
Non-submission of Income and Expenditure Reports
According to information received from the Election Commission, during the 2024 Presidential Election, 35 candidates submitted their income and expenditure reports within the required timeframe. However, three candidates, including Venerable Battaramulle Seelarathana Thera of the Janasetha Peramuna, failed to do so.
In the November 2024 General Election, out of 8,888 candidates, 7,988 submitted their reports on time, leaving 900 candidates in breach of the requirement.
In the Local Government Election, a total of 75,775 candidates contested. Of these, 74,275 submitted their income and expenditure reports on time, while 1,500 failed to do so.
Below is a district-wise breakdown of candidates who did not submit income and expenditure reports for the General Election:
| District | Candidates who submitted | Candidates who did not submit |
| Colombo | 996 | 123 |
| Gampaha | 902 | 76 |
| Kalutara | 392 | 26 |
| Kandy | 510 | 32 |
| Matale | 184 | 02 |
| Nuwara Eliya | 308 | 34 |
| Galle | 264 | 07 |
| Jaffna | 396 | 35 |
| Wanni | 432 | 83 |
| Batticaloa | 392 | 50 |
| Digamadulla | 640 | 166 |
| Trincomalee | 217 | 17 |
| Kurunegala | 486 | 53 |
| Puttalam | 429 | 52 |
| Anuradhapura | 312 | 27 |
| Badulla | 240 | 27 |
| Moneragala | 135 | 05 |
| Rathnapura | 08 | |
| Kegalle | 216 | 03 |
| National List | 527 |
In the 2024 Parliamentary Election, it is noteworthy that all candidates from the Matara, Hambantota, and Polonnaruwa districts submitted their income and expenditure reports on time, in compliance with the Election Expenditure Regulation Act, No. 3 of 2023.
However, compliance in the Local Government Election presents a more complex picture. According to data provided by the Election Commission, 1,500 candidates failed to submit their income and expenditure reports within the stipulated deadline. A district-wise breakdown of non-compliant candidates is as follows:
- Colombo – 172
- Gampaha – 60
- Kalutara – 137
- Kandy – 47
- Galle – 27
- Matara – 28
- Jaffna – 204
- Kilinochchi – 77
- Vavuniya – 29
- Mullaitivu – 46
- Trincomalee – 86
- Puttalam – 144
- Anuradhapura – 111
- Polonnaruwa – 142
- Badulla – 166
- Ratnapura – 10
- Kegalle – 12
- Batticaloa – 1
- Ampara – 1
In contrast, the Commission confirms that all candidates from the Matale, Nuwara Eliya, Hambantota, Kurunegala, and Moneragala districts successfully submitted their reports for the Local Government Election.
In total, across the three elections held since the enactment of the legislation, 2,403 candidates have failed to comply with the reporting requirements. This figure includes:
- Three (3) candidates from the Presidential Election
- 900 candidates from the Parliamentary Election
- 1,500 candidates from the Local Government Election
What happens to those who fail to submit reports?
Given these numbers, questions arise regarding the practicality and enforcement of the Election Expenditure Regulation Act, No. 3 of 2023.
According to the Election Commission, action is currently underway against those who failed to comply. Files are being submitted to the Sri Lanka Police to initiate investigations and take appropriate legal action under Section 8 of the Act. This applies to all candidates from the Presidential, Parliamentary, and Local Government Elections who either failed to submit their income and expenditure reports or submitted them late.
The Commission further states that file referrals for the Presidential and Parliamentary Elections have already been completed, with legal proceedings expected to follow accordingly.
The Election Expenditure Regulation Act represents a significant legislative step towards safeguarding the transparency and fairness of Sri Lanka’s electoral process. By imposing spending limits and requiring financial disclosures, it aims to curb the undue influence of wealth in politics and create a more equitable electoral environment.
However, the considerable number of non-compliant candidates highlights the challenges of enforcement and the need for stronger institutional mechanisms. While the Act provides a vital framework for ensuring electoral integrity, its effective implementation remains an ongoing struggle–one that demands continued vigilance, political will, and civic engagement.
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