Sri Lankan Activists Allege Biometric Data Risks in Controversial ID Deal

Activists in Sri Lanka have raised urgent concerns over government plans to transfer sensitive biometric data to a foreign firm, alleging that a company previously blacklisted for fraud is being positioned to handle the national identity card system. According to a report by The Island, members of the Jana Aragalaya Movement, affiliated with the Frontline Socialist Party (FSP), claim the move undermines national sovereignty and data security.

Background and Context

The electronic identity card project was launched in 2012 but has faced significant delays and rising costs. According to public statements, approximately Rs. 5.6 billion has already been spent on software development, with a further Rs. 600 million required for completion. Activists allege that the project’s trajectory shifted in 2021 under the administration of then-President Gotabaya Rajapaksa, when the government moved to integrate the system with India despite substantial existing local investment.

Key Figures and Entities

Wasantha Mudalige, a National Operational Committee Member of the Jana Aragalaya Movement, alleged during a media briefing that decision-making authority over the project is being ceded to India. He specifically criticized the potential involvement of Madras Security Printers, a firm he claims was blacklisted due to an excise-related fraud case. Mudalige stated that while five Indian companies were initially registered for the tender, a sixth entity—Madras Security Printers—was added by March 2026, raising suspicions about the procurement process.

Legal and Financial Mechanisms

The allegations highlight a series of stalled and restarted tender processes. Activists claim that in 2023, the administration of President Ranil Wickremesinghe attempted to award the contract to Madras Security Printers, but the move was halted following public opposition. More recently, in January 2025, President Anura Kumara Dissanayake’s government reportedly signed an agreement with India that transferred tendering authority. Critics argue that the opaque nature of these negotiations and the inclusion of a legally contested firm pose severe risks to the privacy of Sri Lankan citizens.

International Implications and Policy Response

The controversy touches on broader geopolitical tensions in the region. Mudalige warned that granting India access to Sri Lanka’s national data systems could reduce the country to a "puppet state" and compromise its sovereignty. The situation highlights ongoing challenges for the Sri Lankan government in balancing technological modernization with data protection and maintaining independence in cross-border security agreements.

Sources

This report draws on reporting by The Island and public statements made by the Frontline Socialist Party and the Jana Aragalaya Movement in May 2026.