High Court has ruled in favor of the State’s repossession of two islands and one lagoon from Villa Group – owned by Jumhoory Party (JP) Leader Qasim Ibrahim.
The ruling by High Court last Tuesday overturns the Civil Court ruling that G. Dh. Gazeera, R. Maaneffushi and lagoon of K. Maadhiggaru was repossessed by the State unlawfully.
High Court ruled that the Civil Court ruling violated judicial and legal procedure.
Notice of termination of contract to VG’s Gazeera Private Limited which ran the island of G. Dh. Gazeera was sent by Ministry of Tourism in 2015. Ministry of Tourism had said the decision was due to contract violations.
VG filed a civil lawsuit over the issue, and Civil Court found the termination violated the Amended and Restated Lease Agreement and was therefore void.
Notice of termination of contract for K. Maadhiggaru was also sent in 2015.
VG filed a civil lawsuit over the issue and Civil Court declared the notice of termination of contract sent to VG void.
Termination of contract for the three islands followed a lawsuit against the State by World Link Travel (WLT) – 70 percent of which’s shares are owned by Villa Shipping.
High Court ruled that the lawsuit by WLT against the State was a violation of the main motive behind the Amended and Restated Lease Agreement with Ministry of Tourism.
The court said that though a violation of the main motive for the contract is not states as a reason why the contract can be terminated, it must be considered an exemplary circumstance which requires merit.
None of the High Court judges presiding over the case found Ministry of Tourism’s decision to terminate the contract a judicial or legal violation.