The Managing Director of Fenaka Corporation Limited Muaz Mohamed Raheed revealed that the development project for 60 Fenaka offices in islands has been halted, despite substantial expenditures by the previous government. Speaking at an event in Kendhoo, Baa Atoll, during President Dr. Mohamed Muizzu's visit, Muaz provided insights into the current state of the company.
Speaking at the event, Managing Director of Fenaka Muaz highlighted that when the current government assumed control, Fenaka's debt amounted to USD 279 million. Although the company generates a monthly revenue of USD 7.8 million, it incurs a monthly salary expense of USD 5.6 million for its 8000 employees.
Muaz disclosed that despite investing over USD 65,000 in the project, only 45% of the work had been completed, requiring an additional USD 65,000 to continue. Out of the 502 generators the company owns, 302 are unusable, and maintenance has not been paid for in the past 5 years, although USD 650,000 was reportedly spent on maintenance according to previous records, he added.
He explained according to the expenditure sheets, throughout the past two years only 90 gensets have been bought for Fenaka and all of them are currently unusable. He criticised the previous management were not at all cautious for the maintenance.
Muaz raised concerns about corruption in Fenaka, particularly in the name of Transport Logistics, where approximately USD 65 million was spent annually. However, he said Fenaka does not own any vessel or landing craft. Additionally, he noted the extreme debt of Fenaka, amounting to USD 130 million owed to the State Trading Organisation (STO). Muaz mentioned that no payments had been made to STO since the beginning of 2019, and efforts are underway to address and repay the debt.