Parliamentary Standing Committee on Public Accounts has approved a proposal directing the State Electric Company (STELCO) to cancel housing agreements of employees who have defaulted on rent payments for flats allotted under the Hulhumalé Phase 2 housing project.

The issue was discussed during a committee meeting held today, focusing on the recovery of rent from STELCO employees who had received housing under the company’s initiative. It was revealed that while low-income employees had rent payments deducted directly from their salaries, senior staff, board members, and former political appointees were not subject to the same deductions, leading to a disparity in enforcement.

Kela MP Abdulla Shareef raised concerns over this unequal treatment, stating it was unfair to grant leniency to high-ranking individuals when unpaid monthly rents reached up to MVR 230,000. He urged the committee to instruct STELCO to terminate contracts for those who refuse to settle dues despite being notified.

Hanimadhoo MP Abdul Ghafoor Moosa noted that the agreements with senior personnel had different terms and suggested exploring alternative recovery mechanisms instead of breaching contractual obligations.

Barah MP Ibrahim Shujau highlighted ongoing efforts by STELCO to reclaim various unpaid dues, including electricity bills, and proposed that the company disconnect power from flats with outstanding rent to compel payment.

Following the discussion, MP Shareef formally proposed that the committee advise STELCO to cancel flat agreements of persistent defaulters. The proposal, seconded by Henveiru North MP Ahmed Aifan, was passed by the committee.