Two Ambassadors, Others Injured In Batticaloa
(Updates with transfer of Italian Amabassador to Colombo, LTTE comment)
The Italian & US ambassadors were slightly injured in motor shells which landed while on a visit to Batticaloa on Tuesday, Minister Mahinda Samarasinghe who was on the visit told JNW. They were getting down from a helicopter at around 8.40 am and about to board vehicles when two mortar shells fell in the Batticaloa Weber stadium.

The Media Centre for National Security said one student, three STF personnel and 4 policemen were also injured due to the mortars and shrapnel.
The ambassadors were evacuated to safety while the Italian ambassador was transferred to Colombo for a CT Scan, the Medial Superintendent at the Batticaloa Hospital said. The Japanese, Canadian and German ambassadors were also in the group.

The LTTE was quoted on Tamilnet as saying that they ceased fire immediately when they were informed by a UN official that there were foreign diplomats present.

Two LTTE Boats Destroyed Off Nagarkovil-Navy

Navy craft destroyed 2 LTTE boats in a sea battle off Nagarkovil, Jaffna, a Navy official said Friday.
In the clash, 20 LTTE cadres were killed and 2 sailors injured, he said.
“Naval sources said that at least 15 LTTE boats were detected and three suicide boats were also among them,” the Ministry of Defence said on its website defence.lk.

Attack On Galle Harbor Repulsed Says Navy
(Update 9, releads, adds comment from resident)

Sri Lanka forces repulsed an LTTE attack on the Galle Harbor Wednesday, a Navy official said. The Media Centre for National Security said 2 LTTE boats exploded at the entrance to the Galle harbor, while Navy destroyed 3 LTTE boats on Wednesday.
The attack started at around 7.45am. Two Navy vessels were damaged in the attack by the LTTE in boats posing as fishing boats, the Navy official said.
“It has been reported that five explosive laden vessels under the guise of fishermen have come for the attack. Three suicide boats were completely destroyed by the Navy whilst the other two exploded themselves at the close proximity to the harbour,” the Ministry of Defence reported on its website defence.lk.
One person was killed and 26 wounded, hospital sources and the Ministry of Defence said. One sailor is still missing. The injured were taken to the General Hospital Karapitiya.
A curfew was imposed in Galle town. SSP Keerthi De Silva said there was no rioting or damages to Tamil property and curfew had been swiftly imposed despite a report by a wire news agency that a riot had resulted in Tamil shops being attacked.
“There may have been some small incidents, but there is no major rioting,” one Sinhalese resident in Galle said.
Forces are also conducting a search operation in the Rumansala Jungle after some firing in the area.
The Galle-Matara main road is to remain closed to facilitate a counter terrorist operation, the Ministry of Defence said.

Explosive Laden Truck Kills 67 Navy Personnel

At least 67 Navy personnel were killed and another 60 wounded on Monday when a truck packed with bombs exploded at a transit point for security personnel close to Habarana, a Navy official said.
“Suicide bombers drove a truck packed with explosives in to the area where there about 15 buses of sailors,” a police official in the nearby Sigiriya town told the AFP news agency.
“We have two helicopters to evacuate the wounded,” the official said.

Supreme Court Rules NE Merger As Invalid

Sri Lanka’s Supreme Court on Monday ruled that the merger of the North and East provinces was invalid. The north and east provinces were merged after the signing of the Indo-Lanka peace accord in 1987.
Chief Justice Sarath Silva made the ruling after a petition by the JVP.
Representatives of the JVP , JHU and Muslim parties support the de-merger of the Northeast province and have argued that the boundaries drawn during the time of British rule have no historical basis. They also argue that the merger prevents the effective functioning of the provincial council.
The TNA, in a statement in August said “a Tamil linguistic region in areas of historical habitation of the Tamil speaking people in the North East constitutes the very foundation of any negotiated solution.”
It said a de-merger of the northeast province would “strike fatally at the very roots of the current peace process.”

Sri Lanka Rupee Falls, CB Comfortable With Level

The Sri Lankan Rupee fell to 105.90 against the US dollar Friday from Thursday’s closing level of 105.50 on the back of increased imports ahead of the December festive period.
The rupee’s fall was also tied to the Central Bank of Sri Lanka holding key interest rates unchanged at a monthly monetary policy meeting this week, and statements to the effect that it was comfortable with the current level of the rupee.
A trader at First Capital said the rupee, at 12.35pm, had found support at the 105.95 level. He added that there could be further support at the 106 level.

President Invites UNP To Join Cabinet

President Rajapakse has invited the opposition United National Party to take cabinet positions as part of an effort to reach consensus on key national issues between government and opposition parties.
Representatives of the Sri Lanka Freedom Party and United National Party met earlier today to discuss a Memorandum of Understanding between the parties.
A statement from the Presidential Secretariat said the MOU was to be expedited, while a source said the MOU may be signed before the end of the month.
“The President also said there was an opportunity for other political parties
to also join with the Government to help overcome the challenges faced by
the country today,” the statement said.
The UNP delegations included Leader of the Opposition and party leader Ranil Wickramasinghe, Deputy Leader Karu Jayasuriya, G. L. Peiris, Milinda Moragoda, Mr. Rukman Senanayake, Mr. John Amaratunga, Ravi Karunanayake and former Chairman Mr. Malik Samarawickrema.
The SLFP delegates were Prime Minister Ratnasiri Wickremanayake, Leader of the House - Minister Nimal Siripala de Silva and Minister Susil Premajayatha.
Separate discussions between Rajapaksa and Wickramasinghe were also held.

Further Military-LTTE Clashes In Jaffna

Sri Lanka’s military said on Wednesday retaliatory strikes had been launched against the LTTE due to further LTTE shelling directed at Muhamalai in Jaffna. The Air force bombed selected targets in Pallai and Nagarkovil, while the Navy set up blockades in the northern seas to prevent the LTTE from sending reinforcements, a military official said.
On its Peace Secretariat website, the LTTE said the military was attempting to move forward into the LTTE area along the northern frontline at Muhamalai, Kilali and Nagarkovil. The report said intense fighting was going on since 6.00am.

Army Takes Control Of Area West Of Muttur

A military official said Sunday the army had taken control of an area west of Muttur in the Trincomalee district, which included Kandalkadu and Manirasakulam.
The official said the area was captured as the Ltte was threatening the Trincomalee port and civilians living in Muttur who wanted to travel from Kinniya to Muttur.

Possibilities And Concerns Over Talks - LTTE’s Ilanthirayan

There are possibilities as well as concerns over the LTTE attending peace talks with the government, LTTE’s Military Spokesperson I. Ilanthirayan said Friday after a high-level meeting held in Kilinochchi.
A letter will be sent to Norway highlighting the LTTE’s concerns, he said. While not being willing to disclose the contents of the letter, Ilanthirayan said allowing access to the Sri Lanka Monitoring Mission to conflict areas would be one issue raised in the letter.

High Level Meeting In Kilinochchi

LTTE spokesman Daya Master said Friday a high-level meeting was being held in Kilinochchi to discuss the military situation and the LTTE’s future course of action.
Norway’s peace envoy Jon Hanssen-Bauer left the island Thursday after failing to get both sides to agree on a venue for peace talks, according to the AFP news agency.
When asked if the LTTE would attend peace talks, Master said, quoting the political-wing head S.P. Thamilchelvan, that the LTTE would pull out of peace talks if the government continued offensives. He said this would be discussed at this meeting.