"As part of implementing the resolutions by the United Nations Human Rights Council (UNHRC), the Cabinet endorsed a Bill to be enacted by Parliament for the payment of reparations in respect of war-affected and missing persons," Senaratne, also the Health Minister, said.
Sri Lanka is under international pressure to set up transitional justice mechanisms for the victims, since the crushing of the separatist campaign in May 2009.
Following the recommendation of the United Nations Human Rights Council (UNHRC), President Maithripala Sirisena had appointed seven members and the Chairperson of the Office of Missing Persons (OMP) in February, but it become operational in March.
The OMP will determine the status of all persons who went "missing" during the brutal civil war against the LTTE.
The Office of Reparations would decide the amount of compensation and aid to the victims of the armed conflict in the country.
"It is proposed to give members of the Office the right to decide on compensation," the Minister said.
Lanka's right record during the final phase of the conflict came under close scrutiny with the UNHRC blaming both the government troops and the LTTE for war crimes.
The Army, however, has denied any wrong doing, also the government is opposed to setting up international courts to probe the allegations.
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