Mohamed Nimal, who has been slapped with charges in connection with a criminal offence, has been appointed the new Chief Executive Officer (CEO) of the Local Government Authority (LGA).

President Dr. Mohamed Muizzu appointed Nimal as the CEO of LGA on Monday.

The appointment was made under the powers vested to the president by Article 61(B) of the Decentralization Act.

Nimal earlier served as the President of the Malé Atoll Council and went on to serve as Minister Counsellor, at the Maldives High Commission in Sri Lanka and Managing Director of Maldives Road Development Corporation (MRDC).

Other positions he filled include Managing Director and Board Member of Fenaka and Deputy Minister of Tourism at the Ministry of Tourism.

Minister of Cities, Local Government and Public Works Adam Shareef Umar took to social media platform ‘X’ congratulating Nimal on his appointment.

Dr. Mariyam Zulfa, who earlier filled the position was sacked on Sunday and appointed as a Minister of State at the Ministry of Foreign Affairs.

Nimal is already facing trial in a criminal case.

Nimal is accused of acting against a matter which was beneficial to the state or the public.

The charge sheet was filed at the Criminal Court on 27 December 2022.

Even though two hearings were scheduled in connection with the case, both were cancelled.

The first hearing was cancelled as Nimal’s attorney had fallen sick, and the second hearing was cancelled after Nimal fell sick.

The case pertains to a complaint filed at the Prosecutor General’s Office (PG Office) seeking an investigation and prosecution of the contractors for allegedly misappropriating funds meant for liquidated damage by Corporation Limited in violation of norms.

According to the Anti-Corruption Commission (ACC), it was found that the interests of suppliers were prioritized in the wake of agreements signed with private parties in 2014 and 2015 to acquire properties for Fenaka Corporation.

Nimal and another person are involved in the case, and the PG office has asserted that the state did not receive the entitled liquidate damage due to their unkempt actions.

ACC has revealed that the documents obtained over the course of investigation have revealed that the supplier delivered the goods contained in the agreements after the period specified in the agreement expired.

While these agreements and Fenaka Corporation's procurement policy state that if the goods are not delivered on the stipulated time, liquidated damages can be deducted for the period of delay in delivery of the goods at the time of payment to the supplier, according to ACC.

Further, it said that since the amount to be deducted as liquidated damages was not deducted or payments were made to the suppliers by deducting less than what was required to be deducted, it was found that Fenaka lost more than a million.