An audit report has revealed that MVR 1.8 million in advance payments made to two contractors for fish factory projects in Hithadhoo and Maradhoo, Addu City, has not been recovered.

According to the report, MVR 900,000 was paid to each contractor as an advance under the projects. However, the agreements were later terminated due to various reasons, including the contractors' failure to carry out the work as agreed.

The auditors noted that the advance payments had not been returned to the council by the time the audit report was prepared.

The council has since filed a case in court to recover the funds. The audit recommended that the contractors be formally requested in writing to return the money and that legal action be pursued if payment is not made.

During the audit, inspectors also reviewed fish plant projects on three islands. While the council stated that the fish plant in Hulhudhoo had been completed and officially opened, the audit found that the facilities in Hithadhoo and Maradhoo were still incomplete at the time of the review.