Civil Court: MMPRC violated contract in re-possessing leased lagoon

Civil Court has ruled that Maldives Marketing and Public Relations Corporation (MMPRC) had violated its contract with Sea House Resort Private Limited in re-possessing a lagoon which was leased to Sea House for development as a tourist resort.

Civil Court issued the ruling last Tuesday, October 1.

Court said MMPRC’s payment receipt showed Sea House had paid the USD 1 million in acquisition cost for the lagoon as stated in the MMPRC offer letter to the State on July 21, 2015.

It said that as per the contract between the two parties, all the rights of MMPRC was transferred to Sea House the moment the payment was made.

Court said despite State’s protest it had not received the acquisition payment, Sea House’s responsibility of payment ended the moment the State institution issued its receipt in acknowledging of the payment, and fell to the employee who accepted the payment.

Civil Court ordered Ministry of Tourism to respect the contract made with Sea House.

Sea House had leased the lagoon for a period of 50 years.