The Public Accounts Committee of the People's Majlis today decided to submit a request to the police to investigate matters carried out in a manner that facilitates corruption within the projects run by Fenaka in Addu, and to conduct a money laundering investigation into the matter.
At today's committee meeting held to review the special report on projects conducted at Fenaka's Addu branches, Funadhoo constituency Member Mohamed Mamdhooh presented several proposals. Among them was submitting a request to the police and the Anti-Corruption Commission to investigate the former board members of the company and all those involved who embezzled Fenaka's funds.
He also proposed instructing that board members and executives be held accountable, given that projects were carried out in a manner detrimental to the company and those decisions were made.
Furthermore, Mamdhooh proposed instructing the determination of the number of employees required for Fenaka's branches and the formulation of a staff structure. The member also proposed instructing amendments to the procurement policy so that services and goods cannot be sourced from businesses that have family ties with Fenaka's executives and employees.
Following the proposals presented by Mamdhooh, Hithadhoo Central constituency Member Ahmed Azan also presented some matters. Accordingly, Azan proposed requesting the police to check if funds were unjustly deposited into the accounts of family members of the heads of Fenaka's Addu branches, and to conduct a money laundering investigation into the matter.
In addition, Azan proposed advising the Prosecutor General's Office to issue an order to the ACC to expedite the investigation of cases suspected of corruption.
The proposals presented by both Member Mamdhooh and Azan were passed in today's committee meeting.
The audit report highlighted that the Addu Fenaka branch executed projects in a manner that caused massive losses to the company, and that MVR 77 million also remains uncollected from electricity and water bills.
The report stated that in spending money through petty cash from the company's account to employees' personal accounts, goods worth MVR 783,296 were purchased from businesses with family connections to the company's employees. It also stated that since MVR 130,220 was withdrawn as petty cash by forging documents, out of the MVR 4.3 million spent through petty cash for those projects, it remains unverified how much money was spent on services and goods actually received by the sites.
According to the report, Fenaka carried out four projects in-house from the year 2021 until the end of June 2024. It stated that although MVR 117 million had been spent on those projects by the time they stalled, it is estimated that an additional MVR 68 million will be required to complete them fully. Therefore, the Audit Office has estimated that a total of MVR 185 million will be spent to bring those projects to a usable state.
