Ex-Fenaka MD Saeed charged in Maamendhoo ice plant case

Ahmed Saeed, former managing director of Fenaka Corporation, has been charged for corruption in the procurement of an ice plant developed by Kaizaan Investment Pvt Ltd at L. Maamendhoo. 

According to the Prosecutor General’s Office (PG Office), former Fenaka management is suspected of corruption in in the procurement of an ice plant developed by Kaizaan in Maamendhoo.

Saeed was charged with misuse of official capacity in connection with the case.

PGO said the charge was filed on May 20^th.

In this regard, PGO detailed that Fenaka and Fisheries Ministry entered into an agreement on April 20, 2023, to develop an ice plant in Maamendhoo. Saeed signed the agreement on behalf of the company. However, instead of developing the facility, Fenaka purchased an existing ice plant in Maamendhoo at an unusually high price of MVR 11,251,946.00 (eleven million two hundred fifty-one thousand nine hundred forty-six) proposed by the owner.

PGO said the decision was taken without consulting with the Tender Evaluation Committee and despite Fenaka's business plan stating that the ice plant was not a financially viable project.

The decision to purchase Kaizaan’s ice plant was made during Fenaka’s 18th Board of Directors meeting, held on September 7, 2023, with Saeed in attendance. However, Saeed failed to disclose that Fenaka had initially planned to develop the Maamendhoo ice plant internally. On the same day, Fenaka and Kaizan signed the agreement for the purchase of the ice plant.

Thus, PGO stated that Saeed was charged for paving the way to execute the agreement, which allowed Fenaka to pay MVR 11,251,946.00 (eleven million two hundred fifty-one thousand nine hundred forty-six) to Kaizaan.

The charge, if proven, carries a prison sentence of one year, seven months and six days.

Anti-Corruption Commission (ACC) has investigated multiple corruption cases against Saeed who ran Fenaka during former president Ibrahim Mohamed Solih’s administration. Saeed, along with former senior company officials, has been charged in such cases during the current administration.