BML to sell Reethi Beach Resort and Mahandhoo island

The Bank of Maldives Plc Ltd (BML) has made an announcement seeking buyers for the Reethi Beach Resort and the island of Mahandhoo.

BML had seized the 120-bed Reethi Beach Resort and 87-bed Gaaf Alif Mahandhoo – currently under development as a resort – following non-payment of loans by Mahandhoo Investments and Kabalifaru Investments.

Both companies have ties to former Dhivehi Rayyithunge Party (DRP) leader Ahmed Thasmeen Ali.

The Civil Court had authorised the bank to sell the mortgaged properties in October 2009 and the rulings were subsequently upheld by the High Court upon appeal.

While the High Court decision was appealed at the Supreme Court, the parties reached an out-of-court settlement in June 2013.

BML has reportedly assigned Singapore-based Jones Lang Lasalle (JLL) to oversee the bidding process.