The Chavakachcheri regional council wrote in early July to Jaffna commander Sarath Fonseka, asking him to permit fishing in the Kilali region in southern Thenmaratchy. This area has also been declared a HSZ. Around 600 families are suffering because of the ban on fishing.
Reports say that the Army also declared the coastal area of Amban, north-west of Nagarkovil, as a HSZ on 6 July. The Army is occupying the local hospital and several government buildings. Apart from Palaly, and Mandaitivu Island, the areas from Columbuthurai in Ariyalai eastwards to Thanankilappu and areas from Eluthumadduval northwards to Nagarkovil are HSZs. The coastline occupied by the Navy also remains a security zone.
Following demonstrations by the people, the Defence Ministry announced that the HSZ will be reduced from 1,000 metres around military camps in western Valikamam to 200 metres. The Navy said in late July that resettlement will be allowed beyond 200 metres from the perimeter of the HSZ on Mandaitivu Island. Fishermen will be allowed to go to Palaitivu and Iranaitivu Islands, south of Jaffna town, after obtaining a permit, but they are prohibited from visiting Kalmunai, south of Jaffna.
Local people demonstrated on 16 July at Velanai demanding opening of roads and submitted a petition to the Sri Lanka Monitoring Mission (SLMM), which is tasked with monitoring ceasefire violations. Thousands of students from 17 schools staged a demonstration on 26 July, demanding the Army to vacate schools occupied in Thenmaratchy.
At a meeting with the Prime Minister on 16 July, the Tamil National Alliance complained about difficulties faced by displaced people in resettling in western Valikamam and southern Thenmaratchy. They claim that the Army is strengthening its structures in Thenmaratchy. The Army says people can farm in some areas of Valikamam but cannot build houses or reside in the areas in the nights.
On the instructions of the Prime Minister, Defence Secretary Fernando visited Jaffna on 20 July to assess the situation. After inspecting Valikamam and Thenmaratchy and holding talks with MPs and local officers, Mr Fernando announced that a final decision regarding resettlement in Valikamam North will be taken by the Prime Minister. The military is occupying an area of 25 sq miles in Valikamam North, which contains Kankesanthurai Army camp and the Airforce base in Palaly.