HDC takes back land given to CMC for land reclamation projects

Jan 16, 2025, 8:34 AM
President Dr. Mohamed Muizzu and CMC owner Raju. -- Adhadhu Graphics

President Dr. Mohamed Muizzu and CMC owner Raju. -- Adhadhu Graphics

The Housing Development Corporation (HDC) has seized 89.6 hectares of land given to the Capital Marine and Civil Construction Company (CMC) in return for land reclamation projects.

According to information provided by HDC to a Right to Information (RTI) request from Adhadhu in March 2024, CMC was contracted to reclaim land in four areas. That is Thilafushi, Dhiyaneru lagoon, Hulhumale' Phase Three and Fushi Dhiggaru lagoon. The combined land area to be reclaimed was 1249.8 hectares.

Reliable sources confirmed to Adhadhu that the 89.6 hectares of land awarded to CMC in exchange for the reclamation of these lands had been seized.

HDC, formerly known as Urbanco, signed the agreement for Hulhumale' Phase Three, Dhiyaneru lagoon and Thilafushi in August 2023 while the agreement for Fushi Dhiggaru lagoon was signed in December 2023.

In return for reclamation in Dhiyaneru lagoon, Thilafushi, and Hulhumale' Phase Three, CMC was given the development rights of 10 hectares in Hulhumale' and 9.6 hectares in Thilafushi for 99 years.

Meanwhile, CMC was given 99-year development rights for 60 hectares in Fushi Dhiggaru lagoon and 10 hectares in Hulhumale' in return for the Fushi Dhiggaru reclamation project.

Some work was done in Thilafushi and Hulhumale' Phase Three, but work did not start in Dhiyaneru lagoon. CMC was tasked with reclaiming 1,153 hectares in Fushi Dhiggaru lagoon, but carried out less than two percent of the work. The contract with CMC was later cancelled and the project has been awarded to other companies.

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