Police freeze accounts of Furaveri resort, Page Hardware operator in FX trading probe

Police have frozen bank accounts belonging to Naid Investment Private Limited, which operates businesses including Furaveri Island Resort & Spa and Page Hardware, as part of an investigation into alleged foreign exchange trading without a licence.

Maldives Police Service said on Tuesday that bank accounts used by Naid Investment for foreign currency transactions had been frozen following allegations that the company was conducting currency trading without a money exchange licence issued by the Maldives Monetary Authority (MMA).

Police are also searching the company’s main office at M. Dhanbu Goalhi to collect evidence for the investigation.

According to the Ministry of Economic Development’s Business Portal, Naid Investment is registered as a business operating in the tourism sector.

Businesses linked to Naid Investment include Furaveri Island Resort & Spa in Raa Atoll and Page Hardware.

Under Maldivian law, businesses providing foreign exchange services are required to obtain a licence from the MMA and comply with rules governing foreign currency transactions.

The investigation comes as amendments to the Foreign Exchange Act took effect on Tuesday, introducing penalties for selling or attempting to sell foreign currency outside exchange rates or bands determined by the MMA.

Under the amended provisions, violations involving unauthorised foreign currency trading can carry fines ranging from MVR 25,000 to MVR 1 million.

Authorities have increased enforcement against foreign currency trading outside authorised channels as the government and the MMA seek to increase the supply of US dollars through the banking system.

The MMA has previously taken regulatory action against money exchange businesses found to have breached foreign exchange rules, including revoking licences.

The investigation into Naid Investment follows the detention of six foreign nationals — four Bangladeshis and two Indians — on suspicion of conducting unlicensed foreign currency trading.

Police said on Monday that bank accounts linked to the six suspects recorded transactions exceeding USD 1.6 million and MVR 54 million over a three-year period.

The six individuals are being held in the custody of Maldives Immigration while authorities investigate the transactions.