Parliament Orders Action to Recover MVR 28.3 Million Lost in MPL Fuel Scam

The Public Accounts Committee of Parliament has directed Maldives Ports Limited (MPL) to take immediate steps to recover MVR 28.3 million lost in a diesel fraud involving Fuel Supply Maldives (FSM).

A special audit covering MPL’s fuel procurement between 2018 and 2020 revealed that employees of both MPL and FSM were involved in siphoning millions of litres of diesel. While several individuals have been dismissed over the scandal, the funds have not yet been fully recovered.

Key Measures Ordered by Parliament

The committee’s report, presented to parliament today, outlines several steps to address the issue:

  • Implement the recommendations of the audit report

  • Upgrade camera systems and fuel discharge meters to modern digital monitoring systems within 45 days

  • Accelerate efforts to recover the lost funds and provide a detailed update to parliament on progress by the Prosecutor General’s Office and the courts

  • Strengthen internal financial controls and carry out a special audit of MPL

  • Install monitoring systems on oil tankers within three months

Details of the Audit Findings

The 2022 audit report detailed the scale of losses, including MVR 9.6 million in diesel for generators, MVR 18.5 million for tugboats, and MVR 127,616 for RTG cranes. Among these losses, 799,900 litres valued at MVR 7.2 million were supplied by FSM bowsers to the Hulhumale' jetty, even when tugboats were reportedly inactive. While tugboat captains claimed no refueling took place at that location, FSM delivery notes showed otherwise.

Between 2018 and November 2020, MPL staff reportedly forged request forms, altered dates and signatures, and misused advance fuel request forms to siphon diesel worth MVR 13.42 million.

Recommendations from the Auditor General

The Auditor General’s Office issued nine recommendations to prevent further losses. These include referring the case to the Anti-Corruption Commission and police, seeking compensation from those responsible, installing meters to track fuel usage, and maintaining detailed records of all fuel order changes.