Attorney General Ahmed Usham has said the Government will not take any action that violates the law in implementing the Eagle Hills project in Rasmalé.
Attorney General Usham made the remarks in a message shared on social media in response to allegations that the Government had sold part of Rasmalé to a foreign party.
The Maldivian Government and Abu Dhabi-based developer Eagle Hills signed an agreement on 21 September to develop a USD 20 billion waterfront and marina project in Ras Malé. Under the agreement, the Government plans to lease 500 hectares of land in Rasmalé to the company for 99 years. Some opposition figures have alleged that the arrangement amounts to the unlawful sale of Maldivian land to a foreign party.
In his message, Attorney General Usham said the Maldives first introduced a law governing tourism in 1999, under which resorts could be leased for a maximum of 25 years. He said an amendment to the law extended the maximum lease period to 50 years in 2010, before the period was further extended to 99 years in 2015.
Referring to Article 8 of the law governing tourism, Attorney General Usham said that when the 99-year lease of a tourist resort expires, the Government must pay the investor the amount due after deducting depreciation from the value of the investment made on the island.
Turning to the Rasmalé development, Attorney General Usham said the project would operate under the real estate law currently being drafted. He said the parties have so far signed only a Letter of Intent or Commercial Terms Agreement in connection with the project.
Before the project begins, the parties will hold further discussions based on the terms of that agreement and draw up and sign a further agreement. Attorney General Usham also said Parliament would need to pass the relevant laws.
He said the Government would not take any action in implementing the project that contravenes the Constitution or the laws of the Maldives.