Housing Development Corporation (HDC) has temporarily suspended most of its financial transactions following allegations of improper land allotment under the Land Owner Scheme.

According to an internal memo issued by HDC’s chief internal auditor, the freeze applies to transactions related to housing schemes, land allotment, and commercial and residential units. Procurement and payment transactions are also on hold, except in emergencies. Additionally, the memo instructed a halt to hiring and employee terminations.

The controversy began when HDC sought approval from the Housing Ministry to allocate two 1,250-square-foot plots of land to two individuals from the same plot. A letter purportedly from the Housing Ministry revealed that neither individual had applied under the Binveriya Scheme, raising concerns over irregularities.

In response, the Maldives Police Service raided HDC, and all board members except Chairman Ahmed Nasif were suspended. Managing Director Ibrahim Fazul Rasheed, who has denied the allegations, held a press conference late last night, calling the claims baseless and defamatory.

The President’s Office spokesperson, Heena Waleed, stated on X that the suspensions aim to ensure the police investigation proceeds without interference. She also assured the public that the rights of all legitimate land allottees remain protected.