The Auditor General has recommended a criminal investigation into Center Enterprises after an audit found multiple instances in which the company allegedly submitted falsified documents to claim payments from government institutions for transactions that had already been settled.
According to a report released by the Audit Office, Center Enterprises has filed six lawsuits since 2020 seeking a total of MVR 410 million. The claims relate to goods and services allegedly supplied between 2006 and 2010, as well as penalties for non-payment.
The issue first came to light in October last year during a court case against the Ministry of Health. The Attorney General's Office referred the matter to the Audit Office after identifying suspected forged documents and also reported the case to the police. The Audit Office subsequently examined documents submitted by the company in court.
According to the Ministry of Economic Development's business registry, Center Enterprises is owned by Mohamed Jameez and Abdullah Arif. Jameez joined the company in 2018, while Arif was appointed to its board in 2024.
The business registry also shows that the company operates two other businesses, Ground Retail and Cash and Carry.
Claims against government agencies
Center Enterprises has filed several claims against government institutions, including the former Department of Medical Services (DMS), which operated under the Ministry of Health.
The company is seeking:
- MVR 84 million for medical equipment allegedly supplied in 2006;
- MVR 79 million for medical equipment allegedly supplied in 2008;
- MVR 25 million for 900 water storage tanks allegedly supplied in 2008.
Together, the claims against DMS total MVR 189 million.
The company has also filed:
- A MVR 169 million claim against Malé City Council;
- A MVR 32 million claim against the Ministry of Environment relating to 3,627 water tanks;
- A MVR 21 million claim against Maldives Airports Company Limited (MACL).
Audit findings
The Audit Office said it found significant discrepancies in several of the company's claims.
Among its findings were:
- Documents submitted to support the alleged supply of 900 water storage tanks were invalid.
- The procurement of the tanks had never been announced by the Ministry of Finance.
- An individual whose signature appeared on delivery notes had never been employed by either the Department of Medical Services or the Ministry of Health.
- Documents supporting approximately MVR 33 million of a MVR 84 million medical equipment claim appeared to have been forged.
- In some cases, the company submitted documents to claim payment for transactions that had already been settled.
- The audit also found altered invoices that sought amounts exceeding the value of letters of credit that had already been paid.
The Auditor General has recommended a criminal investigation, including a forensic examination of the documents submitted by the company, and called for legal action against anyone found to have been involved in the alleged fraud.
