A special audit report released by the Auditor General’s Office (AGO) has exposed what is being described as the largest case of embezzlement through a state-owned enterprise in Maldives’ history.

The report centers on Fenaka Corporation during the administration of former President Ibrahim Mohamed Solih, alleging financial irregularities amounting to over USD 143 million.

According to the findings, the company bypassed proper procurement procedures, with 674 project agreements awarded without open bidding. The audit highlights large sums allegedly misappropriated in the procurement of infrastructure, including USD 51.2 million for electricity cables, USD 35.8 million for power generator sets, and USD 25.7 million for transformers. A further USD 32.2 million is reported to have been embezzled through water and sewerage projects.

A government official, speaking on condition of anonymity, said the scale of the alleged Fenaka fraud surpasses the infamous FPID scandal of the 1990s and the 2015 MMPRC corruption case, in terms of sheer financial loss. The official suggested the total misappropriations under the MDP government between 2018 and 2023 may be greater than any previously exposed in the country’s history.

The revelations have prompted independent state bodies, including the Anti-Corruption Commission (ACC), to launch investigations. Some cases have already been forwarded to court, with travel bans imposed on certain individuals implicated in the scandal.

Among those facing scrutiny is former Fenaka Managing Director Mohamed Saeed, a close associate of former President Solih.

The AGO’s report has sparked widespread public concern and renewed calls for accountability in the management of state resources.