The Maldives Transport and Contracting Company Plc (MTCC) has stated that construction of the new building for the Ministry of Housing and Urban Development has gone five times over budget.
The CEO of MTCC, Mr Hassan Shah spoke to local media and stated that the cost of construction has gone way beyond the MVR4.6 million allocated for the project. Mr Shah elaborated that the total cost of the building had ballooned to MVR22 million.
Mr Shah went on to state that the extra MVR17.4 million spent on the project was considered to be part of the company’s corporate social responsibility and that the Ministry is yet to pay it back.
He added that though MTCC was quite active last year, most of the work was done below market price. He also stated that MTCC machinery and staff were wastefully used in the days leading to the last presidential election.
Mr Shah cited the work done to construct the harbour in Himendhoo as an example of such use. He elaborated that staff and machinery were left on the island since last August without doing any work.
The CEO also stated that similar incidents occurred in Ga. Villingili, Aa. Rasdhoo, and S. Maradhoo.
Mr Shah further stated that several oil tankers commissioned by the Ministry of Housing and Urban Development have yet to be claimed by the State Trading Organization following the termination of the original agreement. He also stated that the MVR20 million spent on 18 tanks constructed in the Industrial Village also resulted in heavy losses for MTCC.
Lastly, Mr Shah cited the MVR20 million worth of work done on the Sultan Park, which also incurred heavy losses for the company.