Council ordered to pay MVR 125,841 in Villimale market dispute
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The Civil Court has ordered Male’ City Council to pay MVR 125,841 to Glorious Trading and Shipping, the company contracted to build the temporary local market in Villimale three years ago.
The project was awarded to Glorious on 2 February under an agreement valued at MVR 2.5 million, with a completion period of 45 days. However, the company previously filed a compensation case in 2023, claiming damages for delays and disruption caused by the council. Although it sought more than MVR 1 million, the court ordered the council to pay MVR 364,965.
The latest case was filed in July last year by Glorious, seeking release of MVR 125,841 in retention money withheld from the project payment after the retention period had expired.
The Civil Court ruled on Wednesday that the council must:
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Pay the retention money of MVR 125,841 within one month
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Pay an additional MVR 25,000 in court costs within the same period
Glorious argued that:
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The land for the market project was reallocated three times
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The final site was only provided in March 2022, one year after the project was awarded
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Additional works were instructed outside the original contract
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72% of the project had been completed and paid for
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Outstanding amounts for further works remained unpaid
The council responded that payments had already been made for completed work and disputed liability for the additional sums claimed.
