 Karalasingham stood as the LSSP(R) candidate in Kankesanthurai at the 1965 parliamentary election but was again defeated by Chelvanayakam.Fernando and Samarakkody's action in December 1964 proved controversial within the LSSP(R) as they had in effect supported the capitalist UNP which would go on to win the 1965 parliamentary election.The LSSP(R) supported Fernando and Samarakkody's action but some members who opposed it (Karalasingham and the Sakthi group) left the LSSP(R) and rejoined the LSSP in 1966.