Lawsuit against Addu City Council

Ali Didi, a private individual from the island of S. Maradhoo, has filed a lawsuit against Addu City Council for allegedly leasing the Maradhoo Slipway area to Ibrahim Habeeb, Aagala, Maradhoo, without a proper bid. Maradhoo slipway, which has been used for a long time to conduct boat reparing works, is located in the island of Maradhoo, Addu City. The lawsuit sought the lease agreement between Habeeb and Addu City Council to be declared void.

First hearing of the case was conducted at Maradhoo Magistrat Court today, at 11:00 am, and the plaintiff was represented by attorney Ali Hussain. Ali said today that the suit was based on the ground that Addu City Council had leased the land area where the slipway was located in contravention to the provisions in the Land Act and the State Treasury Act. He said that in the agreement, there was no mention of the fact that the leased property was where the slipway was located, and that no rent was determined in it either.

Ali also said that there had been no bid prior to the lease and that whether the Council sought permission from the Ministry of Housing and Environment was not clear, meaning that the Council had acted contrary to the procedures and principles to be followed in leasing a state property.

The agreement also gave the lessee the right to sublease the property, which is in direct violation of the State Treasury Act, which, according to Ali, made it very clear that a state property leased to any party could not be sublet unless a law expressly authorized it.

After the submission of the claims by the plaintiff in today’s hearing, the court was adjourned as the defendant requested for a chance to present its case. Magistrate Ibrahim Ahmed set the date for the next hearing at 3rd of the coming August.

Maradhoo slipway had been leased to Ibrahim Habeeb, before it was renewed on May 2, 2011 by Addu City Council. Rent for the property which comprised of an area of 17275.74 square feet, as per the renewed agreement, was MRF5182 a month, at the rate of 30 Laari per square foot. Previous rent was MRF2591.36 a month. According to information communicated to Sun, the slipway is a huge income-generator operated at a huge profit.

According to rumours, Hassan Adil, Member of Parliament for Maradhoo Constituency, who was elected to parliament as a candidate of Qawmee Party, ditched his party and joined the ruling Maldivian Democratic Party (MDP) on condition that the lease on Maradhoo slipway should be renewed in the name of Habeeb, who is his uncle. It has been said that Addu City Council, which comprises exclusively of MDP members, renewed the lease in the name of Habeeb in order to fulfill party promise to Adil.