MMC president has 'no intention of resigning', despite money laundering allegation

Maldives Media Council (MMC)’s president Shahuban Fahmy said on Monday that he has no intention of resigning, despite the money laundering investigation opened against him.

The allegation against Shahuban is linked to the Ponzi scheme allegedly run by Kings Capital Holdings, a company owned by his brother, Alhan Fahmy.

Alhan has been instructed by police to present himself for questioning on Tuesday, while Shahuban has seen instructed to present himself on Wednesday.

Kings Capital Holdings is under investigation for introducing an open investment scheme in violation of the country’s financial securities laws, regulations and policies, fleecing investors out of large amounts of money, and laundering the money.

Shahuban told Sun on Monday morning that he was not involved in any money laundering activity. He said that the company had conducted all its transactions through the bank, and said that there was “something else” behind the allegation.

“Would they suddenly know today it was money laundering? This just suddenly happened. We conducted our transactions through accounts,” said Shahuban, who also works at SanguTV.

“We didn’t launder money. We traded.”

Shahuban said King Capital Holdings was working on repaying investors.

When asked whether he planned on resigning from his position as MMC’s president, given the seriousness of the allegation against him, Shahuban responded that being accused of a crime did not make him guilty.

Shahuban said he had no intention of resigning, given it had nothing to do with the MMC.

Kings Capital Holdings had promised investors greater returns on their investment. The company previously stated it was able to offer investors such great returns due to significant profits earned through forex trading.

However, Maldives Monetary Authority (MMA) said it was a Ponzi scheme, and ordered for it to be shut down.

MMA warned that money obtained through such schemes utilized for personal use of the parties that run such schemes, and that it was therefore unsustainable.