Minister of Finance Ibrahim Ameer has expressed confidence that the government will receive USD2 million in compensation over the failed procurement of ventilators during the COVID-19 outbreak.
Responding to questions at the Parliament, Minister Ameer said the audit report shows that the finance ministry did not violate the relevant guidelines and regulations in paying USD2 million to Dubai-based Executors General Trading to procure the ventilators. He also said the ministry has since strengthened the procurement system as recommended by the Anti-Corruption Commission (ACC). He further noted that the state has submitted the case at the Maldives International Arbitration Centre against Executors General Trading and expressed confidence of receiving USD2 million in compensation.
In 2020, a COVID-19 compliance audit conducted on the Ministry of Health found irregularities in procuring ventilators. The audit revealed that Executors General Trading was paid 90% of the quoted price in advance to procure 75 ventilators in April 2020, of which only 15 were procured. The audit report also revealed the company was selected without assessing its financial and technical capabilities, in addition to not obtaining advance payment and performance guarantees.
The health ministry requested arbitration after the Dubai-based company failed to respond to repeated requests to return the amount paid by the government of the Maldives, which amounts to USD2 million. The government had also refused to use the 15 procured ventilators, as they did not meet the agreed upon specifications.
Furthermore, Anti-Corruption Commission (ACC) has submitted corruption charges against officials at the health ministry who were allegedly involved in the failed procurement of ventilators during the COVID-19 outbreak. The commission requested that they be charged with taking action that goes against the interest of the state under Article 13 of the Anti-Corruption Act.