FAM might go bankrupt if Hulhumale' land issue remains unresolved

Football Association of Maldives (FAM) Normalization Committee Chairperson Ahmed Zuhoor has voiced concerns that if Housing Development Corporation (HDC) refuses to offer cooperation in the issue of the land plot from Hulhumale' allocated for a football school, the association may fail to get assistance from FIFA and be driven to bankruptcy.

HDC has decided to take back the allocated land plot due to failure on FAM's part to pay rent. HDC has ordered FAM to vacate the premises from the land plot allocated for commercial activities and to hand over the land plot.

FAM made the announcement that the land is being taken back in September. It has now issued a final warning to vacate the premises after the association failed to comply even by the given deadline.

FAM's previous leadership, meanwhile, had leased parts of the land on long term contracts for commercial use.

"Some contracts have been made for even as much as 40 years. Plots of 10,000 sqft have also been rented out. As the agreements now stand, high amounts will need to be paid as compensation if we are to take back those places. Land has been rented to 8 parties. If even one of those companies take the matter to court, FAM will have to pay compensation of nearly MVR 200 million. [If all companies have to be given compensation to] it will raise FAM's debts to hundreds of millions," Zuhoor explained.

Zuhoor said that if this happens, FIFA will see that although with Maldives being a member country, they are working to improve the status of football, the government of Maldives does not share the same intention.

"Then FIFA, too, will give up on these efforts. Then there will be announcement that FAM is being liquidated. From that point, there will be no aid towards improving football in Maldives. The reason is, FIFA won't give funds to pay compensation."

Zuhoor said that many letters have been sent to HDC following their notice to vacate the land, asking for concessions.

"End of the day, this place is not running under normal conditions. That is why normalization is needed. We wish to share the situation of FAM with HDC officials as well. That is why we have sent letters asking to meet for this reason," Zuhoor said.

"We cannot resolve the issues faced in football at present without cooperation from the entire government. Maldives needs to demonstrate this to FIFA. This work cannot proceed unless the entire government shows this interest."

"If this land is taken from FAM at this time when FIFA and AFC have pledged to assist us in the endeavour, I do not believe Maldives will receive a second opportunity of the kind."