Sunday 23rd Feb 2025
Dhivehi Edition
Anti Corruption Commission

ACC Investigates POLCO Flat Project Amid RF 355 Million Loss

POLCO Flats, Photo: The Edition.
The Anti-Corruption Commission (ACC) has launched an investigation into allegations of corruption surrounding a flat construction project in Hulhumale’ undertaken by the Maldives Police Welfare Company (POLCO). The project, which began in June 2013, has reportedly incurred a loss of RF 355 million, as revealed in an audit report by the Auditor General's Office last week.
The audit found that billions of rufiyaa were spent on the project, which allegedly benefited a select group of individuals. Contracts worth RF 628.7 million were reportedly tied to entities with connections to POLCO. Payments were traced to several individuals and companies, including:
- Noomadi: RF 96.3 million
- Island Expert: RF 441.9 million
- Global Express: RF 70 million
- Funaki Import and Export: RF 36.2 million
- DKM Worldwide: RF 24 million
- De Comas: RF 14.2 million
The report highlights that construction costs were significantly inflated. Based on assessments by the Tender Evaluation Board and private construction benchmarks, the total project cost was estimated between RF 745.3 million and RF 859.9 million. However, the actual expenditure exceeded this by RF 240.1 million to RF 354.7 million.
The report alleges POLCO lacked the technical expertise to manage such large-scale projects, resulting in contractual changes that favored contractors. It further points to suspicious activities, including price hikes, contract extensions, and fraud.
Initially awarded to Noomadi in 2013, the project faced delays, leading to its reassignment to Island Expert. This arrangement also experienced setbacks, prompting the termination of the contract. The project was later handed over to Amin Construction last year for completion.
The Auditor General’s Office has directed the ACC to investigate the matter and take appropriate action against those involved. An ACC official confirmed to Dhiyares that the case is being treated as a priority but declined to provide further details.

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