Lawyer's representing renowned businessman Gasim Ibrahim has stated that his businesses do not owe anything to the government.
Representative lawyers of five of the Jumhooree Party leader's companies had spoken regarding the case filed by government's tax collection body Maldives Inland Revenue Authority (MIRA) at Civil Court - stating the Villa chairman owes USD 166 million.
A joint statement released by the lawyers representing the five companies under question read, that Tourism Ministry had issued a cancellation over the ongoing projects, which includes lagoons and islands among other ventures. Lands and lagoons taken under lease were terminated prior to its rent settlement dates while projects under construction were ordered to cease and desist as well.
According to the lawyers' statement, the Tourism Ministry had sent the letter stating these conditions in February 2015.
The Villa Enterprise lawyers stressed on the illegitimacy of the issued order by Tourism Ministry - which has been followed with a case filed at Supreme Court.
While the court proceedings have not come to a conclusion, MIRA has compounded the situation by filing another case alleging the corporations owe millions- furthermore bank accounts attached to these corporations have been frozen, resulting in a strenuous drawback for the corporations and its personnel.
As per the agreement made between Villa and ministries the rent payment period initiates only after resort islands have been fully developed or construction has been completed - which starts at December 2018. Meanwhile, rent settling period starts by December 2020.
MIRA claims Gasim's Villa Holidays owes the government USD 35 million, Maafenfushi subject to pay USD 77 million while Gazeera apparently owes 17 million, totaling to USD 129 million - which is equivalent to MVR 1.9 billion. Additionally Villa Shipping and Villa Hotels collectively owes USD 37 million under MIRA's claim.
