The Tourism Ministry has cancelled an award letter issued to a Maldivian company to develop a resort on part of Haa Dhaal Vaikaramuraidhoo island.
The Tourism Ministry has not officially announced the cancellation of the award letter. But Adhadhu understands that award letters from among the islands handed over last year have been cancelled for Vaikaramuraidhoo and Alikoi Rah.
A Tourism Ministry official confirmed their decision.
Around 15 hectares of land was to be leased for tourism purposes from the 69 hectares of land in Vaikaramuraidhoo close to Neykurendhoo and Vaikaradhoo islands in the north of the Maldives.
Adhadhu learned that Tree Coral Pvt Ltd, which is owned by siblings of former President Mohamed Nasheed, submitted a proposal for the island.
Tree Coral Company was first founded by Dr. Ibrahim Nashid and Abdul Rahman Ali, who is also involved in some other businesses with him. However, Nashid's shares were later transferred to Jibsail Pvt. Ltd. Jibsail's shareholders are Nashid, Nazim Abdul Sattar and Nashida Abdul Sattar.
Tree Coral Company also operates the Coral Inn Guest House in Kaafu Thulusdhoo island.
The Tourism Ministry accepted the company's proposal for Vaikaramuraidhoo and gave several deadlines to pay the acquisition fee of USD 1.8 million (MVR 27.7 million). However, the company did not meet deadlines.
"That's why the award letter was cancelled," a source told Adhadhu.
The government did not disclose how many islands and lagoons were leased for tourism purposes and how many award letters were issued or cancelled.
