Court halts seizure of Hulhumale' South West Harbour project

Civil Court has issued an interim order halting the implementation of a seizure notice and suspending the termination of the contract awarded to GPL Holdings Pvt Ltd for the development of the South West Harbour in Hulhumale'.

The project, awarded to GPL under a commercial development agreement in October 2023, remains incomplete. Last month, Housing Development Corporation (HDC) cancelled the agreement and issued a notice ordering GPL to vacate the premises within 30 days.

GPL filed a motion at the Civil Court seeking to stay the enforcement of HDC’s decision. On Tuesday last week, the court issued an interim order on the condition that formal charges be filed within 14 days.

As a result, the Civil Court has now ordered HDC to suspend the contract cancellation and postpone the implementation of the eviction notice. The interim order was issued in the absence of HDC.

In addition to the harbour project, HDC had also awarded GPL a separate contract to construct a parking building at the site. The court has similarly ordered that the cancellation of this agreement be put on hold and the seizure notice suspended.