News

'Lessons learned' from tourism graft scandal, insists Maldives

Maldives government has insisted that “lessons have been learned” after the archipelago's main tourism promotion company was exposed as being involved in the nation’s largest ever corruption scandal.

Maldives Media and PR Corporation (MMPRC) had mediated the leasing of over 59 different tourist hotels, resorts and yacht marinas out of which 53 had been leased through an agreement with the tourism ministry.

The official audit report into the scandal, had revealed that over USD79 million had been embezzled through the state tourism promotion company.

Maldives’ ambassador to the UK and Ireland Ahmed Shiaan told a renowned tourism magazine in UK 'TTG' that the Maldives government was working hard to prevent the repeat of such a situation in the future.

“The government instigated a full audit to look at the finances of MMPRC and now we are looking at how we can strengthen the financial measures in place so that it doesn’t happen again,” said Shiaan.

In late October, the government had announced a tighter regulation to streamline tourism revenue inflow.

The regulation would now see tourism revenue go through the archipelago's inland revenue as opposed to the tourism ministry.

“MMPRC has to be much more accountable and we are looking to see if we can get misappropriated funds returned. Criminal charges are also being brought against those involved,” the ambassador said.

The funds received by MMPRC was distributed through a private company with strong links to former vice president Ahmed Adheeb Abdul Ghafoor.

Both Adheeb and the former MMPRC head Abdulla Ziyath have been convicted and sentenced to prison over the scandal.

A recent documentary released by Al Jazeera had brought the scandal to international limelight.
Government however, had completely rebuffed the 'unsubstantiated' evidence which the Doha based broadcaster claims to have uncovered in the expose.

Despite the scandal, Shiaan noted another positive year for tourism figures which suggests the scandal did not appear to have put visitors off holidaying in the Maldives.

Official statistics show 944,544 international arrivals overall by September, up by almost 3% on the previous period; Europe was up by almost 7%, with UK showing especially notable growth, at 11%.

“It’s unbelievable, to gain such a huge increase from a mature market for an established destination such as the Maldives, but I think it shows people see us as a safe destination overall,” Shiaan added.