The Edition


Mega Maldives to start liquidation

01 March 2018, MVT 13:40
MEGA Maldives aircrafts pictured at the airport. PHOTO/MALDIVES TRAVELLER
01 March 2018, MVT 13:40

Mega Maldives has decided to enter into voluntary liquidation after the company temporarily suspended operations last may in a move to restructure the company and its shareholder configuration to salvage it from bankruptcy.

According to website Mega Maldives decided to liquidate the company after it failed to secure an investor or finances to restart operations. The shareholders chose local firm Wisham & Co, to act as liquidator in accordance with the Maldivian law.

The website also reported that the company plans to settle all debts it owed to the government and employees. But did not disclose the debt figure.

Under the Maldivian law a company can only be dissolved after making public announcements regarding debts and is also required to clear all existing debts.

According information Mihaaru obtained Mega Maldives is facing problems paying about 150 of the company’s staff, which amounts to MVR 6.17 million. Apart from this the company owes a large figure to the airport. Maldives Inland Revenue Authority, guesthouses/hotels used by crew and other creditors.

The company had made an announcement last October about restarting its operations but due to several complications it did not materialise.   

Mega Maldives first started its operations in 2010, while travelling to 50 destinations the airline had carried 1.1 million passengers.