Fenaka Corporation Limited has revealed that it initiated an internal audit, the outcome of which will be made public.
Fenaka has faced mounting accusations of corruption following the presidential election. As such, the new management has instigated an internal audit to address these allegations.
Speaking to PSM News, Managing Director of Fenaka Muaz Mohamed Rasheed highlighted the allegations of corruption within Fenaka, specifically pointing to criticism regarding excessive employee recruitment across all branches. He noted concerns about suboptimal procurement practices and emphasised that the internal audit is set to conclude within the next two months. The findings will be shared with relevant authorities and the general public.
Fenaka is also grappling with a substantial financial debt burden, allocating a significant portion of USD5 million, for employee salaries alone. In addition, the company has provided projects to major banks and companies as part of its Corporate Social Responsibility (CSR). Various government ministries have awarded projects to Fenaka at discounted prices.
Notably, the Environmental Protection Agency (EPA) imposed a fine of USD300,000 on the company in November for violating Environmental Impact Assessment (EIA) regulations in relation to powerhouse development projects across 21 islands in the atolls, instructing payment within a month.