Ever since Fenaka has been created, the company has always been surrounded by rumors of corruption and crime. Maldivians have become desensitized to such news. However, recent appointee as Managing Director of Fenaka Mohamed Afeef has been bringing major issues to light.

Afeef was appointed to the position in April 2026, with him revealing to the public what everyone has been talking about at coffee shops, which is how employees of some state companies conduct themselves at the office. How they make use of the corruption and how they gain unethical benefits. While Maldivians have been speaking of such matters at coffee tables, Afeef has confirmed these rumors.

"There has always been an issue of generating capacity not increasing at islands to the necessary amounts, where distribution has not been expanded as needed, we are unable to procure the cables that we need to expand distribution, and we are also facing situations where it is becoming becoming difficult to properly manage the sewerage system," said MD Afeef as he was detailing the state of corruption in Fenaka.

Afeef was appointed as the third MD of Fenaka within the current government term, with him stating these points as the reasons why Fenaka needs to undergo major reforms. 

According to Afeef, they are unable to provide quality service to the public as they do not have the required equipment. However, Fenaka has made major expenses in the past to acquire said equipment.

As per the Audit Office's audit report that was released last year regarding the company's procurement of goods and services and the financial state of the corruption, a total of MVR 2.2 billion had been spent from 2021 to 2023 in Fenaka acquiring goods and services. MVR 1.3 billion of that amount was spent on announcing and awarding projects to companies that were not the best fit for the job.

Afeef offered some details regarding said transactions while giving a special interview to Mihaaru News.

Afeef went on to say that while Fenaka has access to acquire spare parts for generators and other equipment from an authorized distributor of the company that made said generators and equipment, Fenaka had acquired the spare parts from a "very ordinary third party".

"For example, the equipment needed for the expansion of water plants and distribution and generators as well, the spare parts that are needed for this were acquired from very ordinary companies," said Afeef.

Afeef said that while some of the companies that Fenaka acquired the services of had well-known names, it is clear as to the type of company they are when there are no company signs in Maldives.

"It is just some small name with International Private Limited at the back, where these international companies do not have any signs, there are no outlets but these companies were utilized in bringing the spare parts," said Afeef.

"And so, I have realized that these companies are quite under the radar."

The audit report that was publicized last year clearly shows the state Fenaka is in due to the company awarding the procurement projects to such companies. While Fenaka has spend more than MVR 1 billion on awarding projects to various companies between 2021 and 2023, there are 41 of those projects that remain unfinished. The report estimated that more than MVR 2 billion would need to be spent in completing the unfinished projects.

Afeef stated that even if it cannot be confirmed that Fenaka did receive the required goods and services, Fenaka is working to obtain the pricing for the goods and services that were provided from the "paper companies".

"It is unclear as to where the goods and services were received from via the companies, nor is it clear where they were delivered. We do not know the validity or if the valid specifications even match," said Afeef while describing the state of Fenaka.

The equipment keeps breaking before it can be used

While the staff that have been hired for various projects across islands end up not having any work to do and remain stagnant, the equipment that gets taken to the islands end up not being used and left to gather rust or break down.

Afeef describes this as a major loss to Fenaka as well.

He stated that the cement needed for various projects that were started in the past have solidified on sites, with the metal for the projects having rusted as well. Some of the equipment that has broke down, as Afeef said, were not brought in as per the timeline of the project for it to move forward.

"A foundation is the first thing that is needed in building a power station, correct? It is only after the foundation is laid that a chimney is needed. If the chimney is brought earlier before the exhausts are brought, there is no place to put the chimney, it will not stay as is, we would not know if and when it breaks. There have been many situations of such negligence," spoke Afeef in detail.

While there has been negligence in acquiring goods and services, previous governments have employed many unnecessary staff as well, something that contributed to the losses. Some of the staff have been given a salary but no responsibilities, with the company having rented many accommodation spaces to house the staff that gets sent from island to island.

Afeef said that as some of the owners of the houses that were rented were not paid, many of them have requested they be paid back.

Looking to make reforms in sustainably managing the company

Afeef did not speak about the state of Fenaka in such detail by simply looking at audit reports or a report from the Parliament's State-Owned Enterprises (SOE) Committee. Even though the reports are available to him, he has physically gone to various sites and personally taken a look at the state of the sites.

According to Afeef, the first thing he did with his 27 years of experience in the management industry after being appointed as the MD was to see the state of the corporation.

"As this is the current situation, I have assessed it myself and I am working to bring about the necessary reforms that will allow the company to be managed sustainably," said Afeef.

These efforts need to be expedited as Fenaka is a company that provides essential services for the public. Afeef sees it as something that is directly linked to the lives of the people.

As per Afeef, since Fenaka needs to regain the trust of the people in their ability to serve, there is no one left who will believe their words.

"The public do not trust us any more when we say we will do something. We need to show it with action," said Afeef.

There are many things that need to be done to regain trust. The voltage needs to be increased in areas with low voltage. Newly populated areas need sewerage systems installed and expanded upon. Islands where water services are interrupted, it needs to be solved as well. The company cannot move forward without solving these major issues.

Fenaka did not reach this point without anyone knowing. It happened while heads of various governments were overseeing the company. Detailed reports were sent to their desks as well. However, they did not care. Some people in Fenaka became even more powerful.

There is nothing shocking about what MD Afeef is speaking of. However, if this is spoken of by including what governments have done in the past while being in that position, then there is a little bit of hope. Afeef is the third MD that has been appointed within the current government's term, and we are yet to see what changes he will bring in his time in office.