Court orders return of over MVR 1 million in foreign currency seized from Indian man

Civil Court has ordered the return of foreign currency worth more than MVR 1 million to an Indian national, nearly five years after the money was confiscated as he attempted to leave Maldives.

On 15 September 2019, Maldives Customs seized USD 60,037 and Euros 5,414 (equivalent to MVR 1,021,237) from Murgesh Karuna Nidhi at the airport.

The money was handed to police, who held it under suspicion of money laundering and terrorism financing.

Murgesh, who was attempting to leave the country at the time, claimed he had declared the money at customs in accordance with regulations and submitted the required documentation.

He filed a lawsuit arguing there was no legal basis for the funds to remain in police custody, especially as the Prosecutor General’s Office had decided not to pursue charges following a police investigation.

In court, Murgesh presented documents showing that the money had been given to him by various individuals, all of whom also provided statements to police. However, police argued they could not conclusively prove the money belonged to him, and therefore had no obligation to release it.

According to the judgment, Murgesh was working as a manager at Krishna Exim Purchases, an Indian company that exports goods to Maldivian businesses. He travelled to the Maldives regularly, either to deliver products or collect payments on behalf of the company. Court documents confirmed that the funds were related to such business dealings.

The court also noted that the money was seized under provisions of the Criminal Procedure Act, without a court order. Police cited a previous High Court ruling to justify withholding the money.

However, Judge Ali Abdulla ruled there was no legal justification for withholding the funds and ordered the police to return the money to Murgesh within 15 days.