Indian company sued for failing to pay MVR 100 million in environmental losses

Muthaa Royal tug boat and Muthaa Grace barge ran aground the Kaafu Fushi Dhiggaru reef in December 2015. -- Photo: MNDF

Muthaa Royal tug boat and Muthaa Grace barge ran aground the Kaafu Fushi Dhiggaru reef in December 2015. -- Photo: MNDF

An Indian company has been sued after failing to pay a fine of MVR 100 million for environmental damages caused by two boats that ran aground a reef eight years ago.

Muthaa Royal tug boat and Muthaa Grace barge ran aground the Kaafu Fushi Dhiggaru reef in December 2015. The boats belong to Mainland Shipping Export Private Limited company.

The incident destroyed about 4370 square meters of the reef which amounts to MVR 110 million in financial losses, the Environmental Protection Agency (EPA) assessed.

But under the environment protection act the maximum amount for a fine is MVR 100 million. Mainland Shipping Export Private Limited company was fined in March 2018.

Last year, EPA requested the Attorney General’s office to file a lawsuit as the company had not paid the fine.

“We sent the case to court on December 28. The court has asked the company to respond. The case is ongoing in court,” an official from the AG office Fathimath Khaleel told Adhadhu.

A tug boat from the same company recently ran aground a reef near Haa Alif Dhidhdhoo island.

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