Dubai-based Executors, which was awarded the contract to procure ventilators for Maldives during the COVID-19 pandemic, has been ordered by arbitration to pay the Maldives government US $2.2 million or 34.6 million MVR.
The government paid 31 million MVR in advance to Dubai-based Executors General Trading to buy 75 ventilators during the pandemic, but the company shipped only 15 ventilators. The ventilators were also unusable.
The previous government initially claimed that it had awarded the contract to a company hired on the advice of the World Health Organization. The previous government spokesman Mabrook Azeez repeatedly deceived the people in this regard.
This was later brought to light, and it was revealed that corruption had been committed under the guise of bringing ventilators.
The government filed a lawsuit against the company with the Arbitration Center of Maldives on February 16th, 2023, seeking compensation for the lost money and damages.
The Attorney General's Office said in a statement today that the arbitration ruling was issued on Wednesday and the executors should pay the government US $1.8 million or 29.1 million MVR for the ventilators not delivered to Maldives. They have been ordered to pay interest at rate of 2 percent per annum from May 2021 until the payment is delivered.
This is in addition to US $223,750 or 3.4 million MVR in damages to the government, as well as US $132,865 or 2 million MVR for the arbitration fees incurred by the Maldivian government. The company has been ordered to pay a 2 percent interest fee per annum on these amounts as well, for each year of non-payment.
The AG's office said the final award is legally enforceable and the Maldivian government will continue to recover the money specified in the award.