Maldive Gas pays MVR 3.7m for undelivered gas shipment

The parliamentary Finance Committee has raised concerns regarding an advance payment made by Maldive Gas to a foreign company for a gas shipment that was not received.

During a committee meeting held on Wednesday to examine the procurement and expenditure practices of state-owned companies, Deputy Speaker and Dhiggaru MP Ahmed Nazim highlighted the case involving Maldive Gas. He stated that an advance payment was made in October last year, but the shipment was not delivered, and the funds have not been recovered.

Nazim did not specify the total amount involved. However, information verified by Atoll Times indicates that Maldive Gas paid USD 240,000 (MVR 3.7 million) to the foreign company.

"We have received information that the money paid by Maldive Gas as an advance for a gas shipment has been lost. There has been no success in recovering it," Nazim told the committee.

Nazim further noted that providing advance payments without any guarantee contravenes the procurement regulations established by the Public Finance Act and the Privatisation and Corporatisation Board (PCB). He stated that such actions must be investigated and that those responsible should be held accountable.

He also called for a review of procurement practices of state-owned companies to ensure compliance with the rules set by the PCB.