Audit: MMPRC still hasn’t paid back USD 5.52 mn loan from MPL

Auditor General’s Office has said that Maldives Marketing and Public Relations Corporation (MMPRC) has still not paid USD 5.52 million out of the USD 13.31 million in loans taken from Maldives Ports Limited (MPL) to buy US dollars.

In the special audit report on MMPRC prepared by Auditor General’s Office, it was noted that 6 agreements had been made between MMPRC and MPL since 2014 to buy and sell US dollars – totaling the amount loaned by MPL to MMPRC to USD 205.21 million.

However, the loan had been issued in violation of MPL rules and regulation, without input of MPL Board of Directors.

In the audit report, it was noted that MMPRC had paid back USD 7.79 million up to December, 2015; and that they still owed USD 5.52 million.

It was also noted that the loans were repaid using lease acquisition costs received by MMPRC by leasing islands.

According to agreement between MMPRC and MPL, MMPRC should have repaid the loans by April, 2015.

However, loan payment was delayed numerous times – a reason for which the audit report notes as MMPRC taking too much time to take the US dollars for Capital Holding and SOF.

Audit on MMPRC did not reveal any agreement documented evidence that payment had been delayed with permission from board of directors of the two companies.