Villa to appeal Elaa case

Villa Group has decided to appeal the reclamation of Thaa atoll Elaa by the Government after being leased to Villa Shipping and Trading to develop a tourist resort.

An official from Villa Shipping and Trading said that with the High Court overruling the Civil Court verdict in the case, they have decided to appeal the case at the Supreme Court.

Failing to pay the rent and fines for the island, the accounts of Villa Shipping were frozen yesterday afternoon. And the Maldives Inland Revenue Authority (MIRA) has ordered the company to pay USD 18 million.

When the termination of Elaa contract was taken to the Civil Court by Villa Shipping, the Civil Court made a ruling in January 2016 saying that the island was taken back by the government in a decision against the agreement.

But the state appealed the ruling at the High Court leading to the court overruling the original verdict saying that it was outside the legal standing.

The High Court verdict said that the Amend and Restated Lease Agreement was not terminated because a clause was violated but because the purpose of the agreement was violated.