The Anti-Corruption Commission (ACC) stormed into the Polco office in Iskandharu Koshi yesterday to launch an investigation into alleged corruption in the development of police flats, known as the “Blues Housing” project. According to a police spokesperson, the ACC’s sudden intervention is part of a broader effort to uncover financial irregularities linked to the multi-year construction project.
An audit report from the Auditor General’s Office, released last week, revealed that over one billion Maldivian Rufiyaa was spent on the development of the police flats over a span of 10 years. Despite this massive expenditure, the project reportedly incurred a loss of MVR 355 million. The report also detailed numerous instances where contractor agreements were repeatedly amended, and payments were made under different names rather than being based on completed work.
The Auditor General’s findings have prompted calls for a thorough investigation. The report recommended that the ACC, along with other investigative agencies, probe the matter and hold all parties involved accountable—including Polco’s board, which failed to prevent the questionable transactions that led to significant financial losses for the government.
Construction of the police flats originally began in 2013, when the project was awarded to Noomadi under a contractor financing arrangement. However, due to political and financial challenges, the initial contract was cancelled on January 27, 2016. The project was subsequently taken over by Island Experts, which went bankrupt during the COVID-19 pandemic, causing another cancellation. A third contractor, Amin Construction, was eventually brought in, with the project initially slated for completion in 2022. However, the contract has since been extended to allow more time for completion.
Authorities continue to investigate the irregularities, and further details are expected as the probe unfolds.