An audit report released by the Auditor General’s Office has uncovered that the Maldives Customs Service has failed to collect MVR 477.9 million in revenue by the end of 2022.
The Compliance Audit Report covering 2020 to 2022 highlights a substantial amount of uncollected funds, including MVR 398 million in import duties and MVR 77 million in fines. Alarmingly, MVR 322 million of this outstanding amount has been pending for more than three years.
The report cites challenges faced by Customs in recovering these dues, such as unenforced court judgments, unresolved legal cases, and ongoing court proceedings involving MVR 160 million in unpaid sums. Furthermore, over MVR 225 million remains uncollected in duties and fines related to temporarily imported goods that were either illegally exported or not re-exported within the stipulated timeframe.
Customs officials acknowledged difficulties in securing payments from importers and noted delays in notifications from relevant ministries about duty payment issues.
The Auditor General has recommended increased coordination with relevant authorities and the implementation of stronger enforcement mechanisms to ensure effective recovery of outstanding customs revenue.