K. Dhiffushi Council's compliance report publicised by Auditor General (AG)'s Office has stated that the council made no efforts to recover MVR 4 million owed to the council in rent.

AG Office stated in the Council's 2020 compliance report that the Public Finance Regulation is clear on the steps government offices should take to recover funds owed to them. As per the regulation, offices are required to send a letter reminding to make overdue payments within 7 days.

If any party fails to clear the dues in 7 days, they are to be given another 7 days before the issue has to be submitted to court.

"However, Dhiffushi Council has not done any of this to recover the MVR 4,442,394 owed to them as rent," AG Office report stated.

As per the report, MVR 3,849,072 is overdue payment from two years back and MVR 451,668 is dues for a 15 month period. The remaining MVR 139,294 has been overdue to two months. Furthermore, the Council also failed to recover MVR 2,360 that has been due for one 14 months as well.

AG Office has ordered Dhiffushi Council to recover the overdue.

The report also noted that the Council failed to take care of their assets as per the Public Finance Regulation.