Finance Ministry denies paying out MVR 100 million as compensation

Dec 13, 2023, 10:51 AM

Finance Minister Dr. Mohamed Shafeeq. -- Photo: President's Office

The Finance Ministry has denied allegations about the current government paying out MVR 100 million as compensation.

The "Weekly Fiscal Report" released by the Finance Ministry shows that MVR 101.7 million was disbursed during the last week of November as compensation for damages.

After some media outlets reported the figure, the Finance Ministry denied the reports and said the figure was an international arbitration transaction.

"The figure seen in the Weekly Fiscal Report was reported after the transaction related to an international arbitration was posted to the public accounting system," the Finance Ministry said in a statement.

However, the Finance Ministry said decisions had been made before the new government took office about disbursing funds as compensation to some parties in connection with rulings against the state by international arbitration. Funds were disbursed in some cases and payments were to be made in instalments in other cases, the ministry said.

After assuming office, President Dr. Mohamed Muizzu dissolved a settlement committee formed by the previous government. Cases concluded by the committee are now being reviewed as advised by the Attorney General, the Finance Ministry said.

Former Finance Minister Dr. Mohamed Shafeeq Finance Ministry

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