Audit flags MVR 1.2M spent by Addu City Council on overseas trips

The Auditor General’s Office has flagged MVR 1.2 million spent on overseas trips undertaken by councilors, members of the women’s development committee and administrative staff of the Addu City Council for violating a state policy on cutting spending.

The report, released following an audit of Addu City Council’s finances between 2022 and 2024, states that the council spent MVR 1,200,610 on trips to Malaysia and Singapore in violation of a decision by the President and a circular issued by the Finance Ministry.

This includes MVR 515,101 spent on a trip to Singapore and Malaysia in 2023, undertaken by a 10-member delegation composed of eight councilors and two administrative staffers.

The council spent MVR 685,609 more on another trip to Singapore and Malaysia in 2024, undertaken by an 11-member delegation composed of nine members of the WDC, one councilor and the secretary-general of the council.

The report flags additional financial irregularities, including the award of a MVR 3.25 million project to develop a fish market in Maradhoo.

Auditors found the project was awarded to a company other than the one that scored the highest during bid evaluation, resulting in the council having to spend an additional MVR 897,942 on the project.

The report also highlights projects to develop ‘neighborhood fish plants’ in Maradhoo and Hulhumeedhoo. Auditors found that while the projects were awarded back in 2020, the facilities remained unfinished at the date of the audit, which was February 17 this year. The auditors also noted that while the council later cancelled the two contractors, the council hasn’t recovered the MVR 1.8 million it paid as an advance.