Ministry of Islamic Affairs has stated Island Aviation Services Limited (IASL) is making lease payment as per the agreement made in August 2019.
The Islamic ministry made the remark in a statement issued as the audit report for the year 2018 included information which were not updated. According to audit report of the ministry, IASL do not regularly pay the lease of 6th floor from the Dharul Iman building.
Islamic ministry made an agreement with IASL on November 16, 2018 regarding the lease of 6th floor from the building. According to the agreement, IASL was required to pay USD 518,806 to the Mosque Fund maintained by the Islamic ministry. While IASL was required to pay USD 389,105 within the first 6 days, the remaining amount had to be paid by the end of the first month from the date of the agreement.
However, following failure to make payments, a meeting was held between both parties in August 2019 to discuss new payment terms. IASL agreed new terms with the ministry to settle USD 64,850 every month for 6 months.
The audit report stated IASL only paid a total of USD 194,225 for the months of September, October and November. However, according to the ministry, IASL have been paying the agreed amount, adding it has also received payments in December 2019 and January 2020. The ministry further said the only outstanding payment is the USD 64,850 for the month of February.
According to the audit report, two companies did not regularly pay the lease fees for Dharul Iman building. The ministry had an outstanding payment of USD 405,966 by the end of 2018.