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High Court orders to withhold PSM payments to Artisan Pvt. Ltd.

The High Court on Sunday instructed the Civil Court to withhold the payments made by the state media, Public Service Media (PSM) to be paid to Artisan Pvt. Ltd.

At the request of PSM, Artisan Pvt. Ltd built the PSM Bureau. PSM has to pay MVR 4.5 million for three invoices sent by Artisan to PSM for payment in accordance with the quotations submitted for the works.

In 2020, Artisan filed a civil suit seeking a total of MVR 11.4 million in legal compensation for the invoices, legal action, and damages. In the Civil Court hearing, PSM's lawyer admitted that the contractor completed the invoiced work.

The Civil Court had earlier ruled that it was proven that the principal amount of MVR 4.5 million in the invoice and MVR 16,695 as attorney's fees were payable by PSM to Artisan Pvt. Ltd. PSM was ordered to pay the amount to the Civil Court within three months from April 29, 2021. The Civil Court further ruled that there was no legal basis to provide compensation for damages.

PSM then filed an appeal against the Civil Court's judgment and sought an order to stay the execution of the judgment.

The High Court on Sunday ruled that PSM should continue to pay the amount due to Artisan Pvt Ltd. in accordance with the Civil Court judgment until the court rules on the case or otherwise directs the case. The High Court also ordered the funds to be kept in the Civil Court without being issued to Artisan Pvt. Ltd. until further notice.

The High Court bench of Justices Mohamed Saleem, Mohamed Niyaz, and Hussain Mazeed heard the case.