The Civil Court has temporarily halted proceedings in several cases involving the Maldives Integrated Tourism Development Corporation (MITDC) amid the company’s ongoing dissolution. 

MITDC, a state-owned enterprise established to promote and expand mid-market tourism in the Maldives, is currently in the process of being wound up following government and parliamentary directives.

In a ruling delivered today, the Civil Court stated that as MITDC is under dissolution, any claims related to outstanding payments must be filed through the liquidator appointed to manage the process. 

The court also ruled that enforcement of any prior judgments against the company cannot proceed at this stage due to its legal status.

The decision follows the People’s Majlis’ resolution earlier this year instructing the Maldives Marketing and Public Relations Corporation (MMPRC) to formally dissolve MITDC. 

The Cabinet subsequently reaffirmed this decision during its session held on the 1st of September.

MITDC was formed during the administration of former President Abdulla Yameen to support mid-market tourism development. 

However, financial reports indicate the company had accumulated short-term liabilities of MVR 137.8 million by the end of 2023. 

According to the Auditor General’s findings, MITDC invested MVR 52.3 million in projects such as the Baresdhoo and Kaashidhoo tourist villages and dredging and reclamation works for 10 plots in Kaafu Atoll, none of which reached completion.