Local media Mihaaru reported on Monday that credible sources have revealed that agreements made with Sealife Global to conduct housing projects in the reclaimed suburb of Hulhumale, were made null and void in 2015, by a violation of contract.
According to information brought forward by an anonymous source to Mihaaru, the agreement made in 2014 between Sealife and Housing Development Corporation (HDC), was nullified due to the proceedings failing to be in accordance with the agreement.
However, the case put forward to the Hulumale’ Magistrate Court by Sealife ended against the HDC. As a result, permission was granted once more to Sealife, allowing the company to continue their land and building projects in Hulhumale’.
“According to my knowledge, Sealife presented their drawings in a way that is unacceptable by HDC’s standards. It was most probably a move to cause further delay,” he said.
The anonymous source also claimed that when projects undertaken by Sealife were delayed due to problems amongst the investors, HDC had already acquired knowledge of the issues.
Furthermore, the source alleged that the first thing Mohamed Simon following his appointment as Managing Director of HDC, was to nullify the agreement with Sealife, adding despite the move, the court ruling against HDC meant that there was nothing in their power that could be done to salvage the problem.
Sealife's three-block residential property featured 1000 apartments and was planned for completion by 2019.
A total of 280 people had booked to purchase properties from the 300 apartments allocated within the first phase. An initial payment of MVR 50,000 had been charged to each individual under the condition that it would be refundable at any time.
Since then, many had come forward requesting for refunds due to the unexpectedly slow speed of work, several of which had also made complaints stating that they had not been receiving the entitled refund.
Currently, all former applicants are seeking a refund for their payments. Although some managed to attain refunds, Mihaaru states that payments owed to more than 180 people are still pending.
According to the pro bono lawyers working for Sealife, the company currently in debt of more than MVR 20 million owed to its shareholders.
The Dubai and Maldivian company was awarded the project three years ago in a special ceremony by President Abdulla Yameen Abdul Gayoom.