Govt. refuses to disclose information on MBS, investing USD 8.8B on financial centre

Finance Ministry has refused a request seeking information on the agreement Maldivian government has entered with MBS Global Investments for the development of a USD 8.8 million financial free zone in the greater Male’ area, Maldives International Financial Centre (MIFC).

The agreement pertaining to the USD 8.8 billion financial centre was signed on May 5^th, followed by the ground-breaking ceremony on March 6^th.

While there are growing concerns surrounding MBS, the company awarded such a high-value project, it has also come to attention that the company’s registry had been expired at the time the project was announced.

As such, Sun filed a Right to Information (RTI) request with the Finance Ministry under the Right to Information Act seeking extensive information including details of the agreement executed with the company and the due diligence conducted on the company ahead of entering the agreement.

In its response to the request, the Ministry said neither the details of the agreement nor the due diligence conducted on the company ahead of entering the agreement can be disclosed.

All requested information that was denied:

• The agreement with MBS
• The government’s findings on the owners of MBS
• Whether MBS submitted its business registration, license or an audit
• Whether the cabinet took any decisions regarding the project
• The details of meetings held with MBS before signing the agreement

However, Finance Ministry confirmed that no sovereign guarantee has been issued with respect to project, nor has a loan been withdrawn. The Ministry said efforts to bring the project were spearheaded by technical staff from the Ministry and other relevant government agencies.

According to Sun’s findings, the company was registered in United Arab Emirates (UAE) on November 15, 2022. It acquired its Legal Entity Identifier (LEI), required by companies engaged in international transactions, on January 17, 2024. Nevertheless, the LEI registry had also expired by January of this year. This can be confirmed via some of the most reliable sources to check whether a company possesses such documents.

As per MBS Global Investment’s website, the company has invested MVR 14 billion in four countries. However, there is no evidence backing the statement, including any details of the projects.

The website identifies Nick Thurlow as its Chief Financial Officer (CFO). He is a movie producer with no experience in the finance sector.