MACL developing fitness centers under CSR; expense and other info withheld

Maldives Airports Company Limited (MACL), a state-owned company established to develop and operate airports, which was recently contracted to develop fitness and recreation centres across 63 islands, has refused to provide the details of expenses incurred for the project upon request.

It is an electoral pledge of President Dr. Mohamed Muizzu to establish fitness centers on all residential islands by 2026, ensuring the physical fitness and well-being of Maldivian citizens. MACL was among the several state-owned companies which was contracted to develop these facilities, garnering heavy criticism as a company incepted to develop and operate airports was awarded a project to develop fitness and recreation centres.

As such, Sun, through an RTI request, requested the details of the project, particularly seeking why MACL, which is tasked with the heavy responsibility of developing the main gateway to the Maldives, Velana International Airport (VIA), assumed the responsibility of developing fitness and recreation centres. Sun also requested the expenses that will be incurred by the company to develop the fitness and recreation centres and regarding the company’s capacity in developing such facilities.

Apart from this, Sun also inquired whether the company plans to undertake work unrelated to othe peration of airports and aviation in the future.

MACL responded to the RTI, filed on August 25th, on Sunday. In its response, MACL said the company was undertaking the work under its Corporate Social Responsibility (CSR), thus, falls in line with the company’s capacity.

The company did not provide the details of expenses and other related information, citing that the details will be provided once the project is complete.

While the state-owned company has withheld the information related to project expenses – the expenses which will be incurred for the project, the scope of work and the deadlines are information which is usually publicly disclosed when awarding a project.

Although majority of government projects have been handed over to state-owned companies, there has been heavy criticism over the fact that projects have been awarded without consideration to the mandate of the company. In this regard, Fahi Dhirulhun Corporation (FDC), which was incepted for housing purposes, was recently contracted to develop schools across some islands. Road Development Corporation (RDC) has also been contracted to develop hospitals. 

Notably, the government is also facing criticism for failing to pay private contractors who have been awarded various government projects.