Castaway Maldives sues Police Welfare Corporation

Castaway Maldives Pvt Ltd has lodged a complaint at the Civil Court over the Police Welfare Corporation’s decision to annul a resort development bid.

The company won a bid to develop a resort on an island owned by the Police Welfare Corporation on November 14, 2013. However, before a sub-lease agreement could be signed, the police unilaterally annulled the bid on May 14.

The company, in a complaint filed yesterday, asked the Civil Court to issue an injunction preventing the corporation from proceeding with new plans for Lhaviyani atoll Maabinhuraa Island.

The tourism company has also asked the court to order the police to sign a sub-lease agreement with the company.

Castaway Maldives said the police had justified its decision, citing delays to signing the sub-lease agreement. But the company claimed it was the police’s failure to complete negotiations over the agreement that had delayed the process.

A police media official today refused to comment on the matter.