Housing Development Corporation (HDC)'s Managing Director Ibrahim Fazul Rasheed has said that numerous illicit activities were carried out in the company by its previous management.
He said that an internal audit into these issues are being conducted now, on the completion of which, the cases will be submitted to the Anti Corruption Commission for investigation and action.
In the meeting held last night for President Dr Mohamed Muizzu and his delegation to meet with residents of Vaavu atoll Felidhoo, Fazul said that HDC had not been in optimum condition when this government had assumed office, saying that the company's debt alone reached MVR 10 billion.
"There are those responsible for having brought the debt up to this amount. There are persons that must take responsibility for taking things to this status. Our audit reports are being compiled. We are sharing some of the audit reports with the relevant authorities. Even if our reputations face harm as a result of this work, we will continue to reveal this in the best interests of the people," Fazul said.
According to Fazul, the previous management had wrongfully issued land from Hulhumale' Phase 1, Hulhumale' Phase 2, and Thilafushi. While Fazul has earlier revealed that approximately 50 lands have been issued wrongfully from Hulhumale', he said last night that another 35 plots of land were issued from Thilafushi under the pretext of it being a temporary arrangement.
Fazul maintains that the 35 landplots in Thilafushi were given to persons entirely not entitled to them. He said that while the land plots are said to have been given for one year, this is not standard procedure at HDC.
Fazul said that the permissions had only been granted verbally. Hence, now that the interests of the businesses are also involved in the matter, HDC is working to align the issue along the boundaries of the law.
"However, this has taken away the rights of all businesses, and general public, from applying for these 35 land plots. In reality, this has caused HDC a huge loss of revenue it could otherwise have generated," Fazul said.
"I announce that an audit of this must be done and the former management must bear responsibility for this. And, god willing, we will submit all these related issues to ACC and other relevant institutions in the future."
Fazul went on to say that as a result of 50 land plots in Hulhumale' being granted to entities outside of policies, HDC has faced immense loss and failed to receive revenues it could otherwise have earned. Fazul assured the people that HDC will repossess these lands and return the people's property.
Fazul estimates that HDC could have generated an income of MVR 800 million in the past five years, but added that the management at the time had made no efforts to achieve this.
He went on to assure that all those who were awarded land plots under the former administration's 'Binveriya' housing scheme will be given their lands 'without the omission of even a single grain of sand'. He, however, alleged that the former management of HDC had committed irregularities even within the process of this housing scheme.
"Can anyone believe that through randomly drawing lots me and my wife, or one of you and your family members, get land plots adjacent to each other? The mind will not accept this. Hence, we know these are things that have gone on within the housing scheme. So this, too, is being audited and reviewed," Fazul said.
Another point Fazul noted is that the former management of HDC had announced about 50 projects, which they had awarded to different contractors. However, while the contracts were awarded in a rush, this resulted in causing major losses to HDC, he said.
"If the development period is 2 years, they have given about 36 months for it. Meaning, there are land plots that are given for someone to do as they please on for 36 months without even having to pay any rent," Fazul explained.
Fazul also went to talk about a gravel hill that he alleges disappeared from Thilafushi around the time of the presidential election. That, too, will fall under things the former management must take responsibility for, the HDC MD stated, referring to audits done by his office.
"What has been done to HDC is plain negligence. What has been done within HDC is what people do not want: corruption," Fazul stated.
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