Fenaka says MVR 500m owed

The Fenaka Corporation has said that it is owed MVR 500 million by various parties.

Fenaka Chief Financial Officer Mohamed Masood told a press conference on Thursday that the company's receivables stood at MVR 501 million at the end of the second quarter of this year.

"Of that, MVR 380 million is in actual receivables. There will be outstanding bills because we bill them on the 26th and 27th of the month," he said.

Masood said the state agencies owe Fenaka MVR 148 million. These include bills that the company has not received since 2020, he said.

Masood said the defaulters include government offices, businesses and households.

“In many islands, there are small businesses and places which were earlier leased out by Fenaka, which need to be paid also. We are in the process of creating setoffs of these items,” he said.

Fenaka Managing Director Muaz Mohamed Rasheed said it was difficult to recover payments for some bills.

However, he added that the company is expected to recover a large amount of the owed money by the end of the third quarter.

“We are conducting a special campaign with existing outstanding customers to recover money for bills by giving instalments to customers who cannot pay at once,” Masood said.