Audit finds forged documents in 4 more Center Enterprises claims against state
Center Enterprises filed six lawsuits against the state from 2020, claiming it was owed about MVR 410 million for goods and services allegedly supplied.
A special audit by the Auditor General's Office has found that Center Enterprises submitted forged documents and fabricated invoices in four additional court cases in which the company sought millions of rufiyaa from the government.
The audit examined claims relating to the supply of black water tanks and medical equipment to the Ministry of Environment and the former Department of Medical Services (DMS) under the Ministry of Health.
Center Enterprises filed six lawsuits against the state from 2020, claiming it was owed about MVR 410 million for goods and services allegedly supplied between 2006 and 2010, including interest and late payment charges.
The claims included MVR 31 million from the Ministry of Environment for black water tanks, MVR 187 million from the former DMS in three separate cases involving black water tanks and medical supplies, MVR 20 million from Maldives Airports Company Limited (MACL) for a fire truck, and MVR 168 million from Malé City Council for goods allegedly supplied between 2006 and 2010.
The latest audit follows an earlier forensic review requested by the Attorney General's Office after concerns were raised over documents submitted in the DMS medical equipment cases.
That audit found evidence of forged documents, claims for transactions that had already been paid, fabricated signatures and inconsistencies in procurement records. It recommended a criminal investigation.
The latest report reached similar conclusions.
According to the Auditor General's Office, the company attempted to obtain state funds using documents relating to transactions that had either already been settled or had never taken place.
The report identified inconsistencies between procurement records, payment records, import documentation and the documents submitted in court.
Among its findings, the audit concluded that payments had already been made for black water tanks supplied to the Ministry of Environment and that the outstanding amount related to 336 tanks that were never delivered.
It also found that a claimed transaction involving the supply of 900 water tanks to the former DMS had never taken place, with no procurement process having been conducted for such a purchase.
The audit further found that Customs records did not support the quantities the company claimed to have imported, while documents recording the receipt of goods contained the names and signatures of individuals who had never worked at the DMS.
It also concluded that documents relating to the alleged supply of medical equipment, including tender and bid evaluation records, had been fabricated.
"As it appears that falsified documents were submitted to a Maldivian court in a fraudulent attempt to extract money for goods never delivered to the state, we advise the Maldives Police Service to conduct a full criminal investigation and forensic analysis of the documents submitted by the company, and to take legal action against those involved," Auditor General Hussain Niyazy said in the report.
The report concluded that the government does not owe any payment to Center Enterprises, stating that the company's claims were based either on transactions that had already been settled or on documents relating to transactions that never occurred.
