Housing Development Corporation (HDC) Managing Director Ibrahim Fazul Rasheed is facing fresh scrutiny after it was revealed that his brother, Mohamed Fazeel Rasheed, was issued a building permit for a plot of land allegedly obtained through fraudulent means, despite Fazul’s public denial of the claim.
At a press conference held on Wednesday, Fazul denied allegations that his brother, the Deputy Managing Director of the Maldives Water and Sewerage Company (MWSC), had received any building permit from HDC. “Even for my own blood, I am doing everything by the book,” he stated. He also stated that his brother’s land had not been handed over to him and that no building permit had been issued.
However, leaked documents show that Lot 20768, a 1,250-square-foot plot of land worth over MVR 7.5 million, was registered to Fazeel. Despite the Ministry of Housing flagging the registration as fraudulent and confirming that Fazeel’s name was not on the “Binveriya” housing scheme list, Despite this, HDC proceeded with handing over the land and issuing a building permit for the plot. Sources indicate that Fazeel has already constructed a boundary wall around the land.
The scandal is linked to allegations that HDC facilitated the allocation of land worth approximately MVR 450 million to around 50 ineligible individuals. Leaked documents posted by the pseudonymous X account @HKurusee suggest that Fazeel’s case is just one of many in which fraudulent registries were created to justify the land allocations.
Fazeel’s ineligibility stems from his prior benefit under a government housing scheme, which disqualifies him from the “Binveriya” programme. The Ministry of Housing reportedly alerted HDC about the discrepancies before the land was handed over, but HDC proceeded with the allocation regardless.
Fazul’s denial of allegations of fraudulent land allocations has drawn widespread criticism. Social media platforms have been inundated with posts accusing him of lying and calling for his immediate resignation. Protestors gathered outside HDC headquarters during his press conference, demanding accountability and his arrest.
The opposition Maldivian Democratic Party (MDP) has demanded Fazul’s removal and severe action against those implicated in the fraudulent allocations. In a statement, the MDP condemned what it described as “rampant corruption” in state-owned enterprises and criticised investigative agencies for their perceived inaction.
Adding to the controversy, a fire last week destroyed critical documents in three key ministries, including the Ministry of Housing. While no injuries were reported, the timing of the fire has raised suspicions about a possible cover-up linked to the housing scandal.
Fazul, who has faced previous allegations of misconduct, now finds himself at the centre of a growing scandal. He has been accused of facilitating land allocations for close family members, including reportedly arranging an instalment-based land payment plan for his wife through HDC, bypassing conventional bank financing.
The latest revelations have intensified calls for an independent inquiry into the housing scheme and broader governance reforms at HDC. Meanwhile, critics say the issuance of the building permit to Fazeel has further eroded public trust in HDC’s leadership and in the government’s commitment to accountability.