Following the freezing of bank accounts belonging to Naid Investment Private Limited on suspicion of operating an unlicensed foreign currency exchange, police have launched an operation to search the company’s office.

Police stated today that the company's bank accounts were frozen in connection with an investigation into allegations of conducting an extensive illegal foreign exchange business without a money changer license issued by the Maldives Monetary Authority (MMA).

Police are currently searching the company's office located in M. Dhanbugoalhi to secure additional evidence required for the ongoing investigation.

The Maldives Monetary Authority (MMA) has also revoked the money changer license issued to Express Money Exchange Private Limited over allegations of conducting unauthorized foreign currency transactions.

President Dr. Mohamed Muizzu today ratified the bill amending the Foreign Exchange Act, criminalizing the sale of US dollars in violation of the official exchange rate set by the central bank (MMA).

Under the amendments to the Foreign Exchange Act, selling and advertising foreign currency contrary to the rate set by the MMA is a punishable offense. The legislation specifies that foreign currency exchange transactions must not exceed the rates or exchange rate bands determined and published by the Authority, and that selling or attempting to sell foreign currency in violation of these rates constitutes an offense.

Selling or attempting to sell foreign currency in violation of the rate determined by the MMA will carry a fine ranging between MVR 25,000 and MVR 1,000,000, depending on the severity of the offense.

Advertising and promoting foreign currency contrary to the MMA-mandated rate is also classified as an offense under this amendment. Accordingly, advertising or promoting rates or prices for currency trading that exceed the officially determined rate/band, or fall outside the designated exchange band, is prohibited.

The amendment defines advertising and promoting as publicly disclosing, publishing, disseminating, repeating, or transmitting information via digital media, online platforms, or any other means to advertise, encourage, or facilitate foreign currency transactions at rates exceeding those set by the MMA.

In a press conference held on the 24th of this month, Minister Ihusaan stated that major resort chains, construction companies, and politicians are behind the dollar black market, affirming that authorities will not hesitate to investigate and take legal action.

The Minister noted that intelligence gathered on seven entities revealed that they alone had traded USD 76 million on the black market within a span of nine days.

He emphasized that conducting such transactions without authorization is a criminal offense, and obtaining personal or commercial gain through criminal acts constitutes money laundering.