Housing Development Corporation (HDC) has terminated the contract with Waterfront Hotel and Luxury company to develop a water theme park in Hulhumale’.
The project to develop a water theme park in Hulhumale’ was awarded to Waterfront in 2017 at a price of approximately USD35 million. However, the project has not gone according to schedule and has been stalled. HDC expressed concern over issues with the award of the contract during an internal audit and filed a case at the Anti-Corruption Commission (ACC).
Waterfront also filed a case at the Civil Court of the Maldives to mediate negotiations and resolve the issues. HDC has since terminated the contract and ordered the company to hand back the land plot. Afterwards, Waterfront requested the Civil Court to temporarily halt the order, claiming that HDC cannot terminate the contract while the issue is in court, as it would result in the company incurring major damages.
In response, HDC stated that the decision to terminate the agreement was made in accordance with the relevant procedures and that Waterfront has not specified the damages it would incur. The Civil Court ruled in favour of HDC, stating that Waterfront was unable to confirm it would incur any major damages upon the termination of the contract.