Attorney General Hassan Ziyath on Wednesday rejects the out-of-court settlement of MVR 174 million to Dheebaja.
The state in 2011 contracted Dheebaja to provide ferry services but later was terminated during in 2013 by Dr. Mohamed Waheeds administration.
Dheebaja filed a lawsuit against the state and won in Civil Court ordering the government to pay MVR 348 million. The Supreme Court later held up the verdict last year.
A request then was filed from the AG office earlier in 2020 at the apex court to review the decision upon the request by incumbent Ibrahim Mohamed Solih. But prior to this AG office was in discussion with the company to reach an out of court decision of MVR 174 million.
The termination of the contract was due to the breach of contract as the company negligent carry out their tasks. Thus, the auditor general office concluded there was no call to provide any settlement for the company. Furthermore, reacquire of Island was raised as a concern and noted that this maybe a possible corruption.
However, in response to this, the company heavily criticised the AG and plans to go to court. The company is planning to file a lawsuit against the AG on the following.