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Gasim using 'political leverage' to evade state fees, says govt

Government on Wednesday denied any role in pushing the country's inland revenue to impose sanctions on Villa Group over unpaid rent on an island leased for resort development, but insisted that it would not allow anyone to use debt owed to state as 'political leverage'.

High Court late last month had ruled against Villa Shipping and Trading Company over the government seizure of Thaa Atoll Elaa island.

The agreement signed between the Tourism Ministry and Villa Shipping and Trading Company owned by opposition Jumhoory Party (JP) leader Gasim Ibrahim was terminated in February of 2016.

Villa had been asked to pay nearly USD100 million in 30 days after the agreement was annulled which required the company to develop Elaa along with four other islands.

Villa Group's accounts had been frozen after the company failed to pay the government after the designated period.

Gasim who had recently teamed up with other top opposition figures had accused the government of using the island lease row to attack his new political alignment after the business magnate was slapped with a month long travel ban to prevent him from leaving the country.

However, during a joint press conference on Wednesday, national economic council chair Ahmed Zuhoor said the Maldives Inland Revenue Authority (MIRA) had a legally obligated mandate to collect fees owed without discrimination.

Denying any government involvement, Zuhoor who is a minister at the president's office insisted that the whole controversy has been fabricated for a wealthy man to get out of paying fees owed to the state.

Zuhoor had also accused Gasim of exploiting the political turmoil in the country to avoid paying the fees. He said the government would not allow anyone to use debt owed to the state as political leverage.

Tourism minister Moosa Zameer said MIRA has frozen the accounts of 17 different companies and Villa Group was no exception.