Noel Gregor Paterson-Jones, the former CEO and Managing Director of the Development Bank of Maldives (DBM), has lodged a case with the Employment Tribunal seeking his salary during the notice period.
The establishment of a development bank in Maldives was one of President Dr. Mohamed Muizzu’s electoral pledges. He used the powers vested in him under the Companies Act to form the Development Bank of Maldives Limited on May 16, 2024. The Economic Ministry applied with the central bank, Maldives Monetary Authority (MMA) for a license to operate DBM on July 28, and the license was granted two months later on October 13. However, the bank has yet to be operationalized.
Paterson-Jones, who was appointed to head the bank on August 26, 2024, tendered his resignation on March 20.
He lodged a case with the Employment Tribunal seeking his salaries on April 7, fueling media reports that resigned due to non-payment of salaries.
In a statement on Sunday, the DBM clarified that Paterson-Jones was paid his full remuneration till the date of his resignation.
“Therefore, his resignation was not due to non-payment of salaries by the bank,” said the DBM.
According to DBM, Paterson-Jones tendered his resignation on March 20, and his resignation was deemed effective on that date and accepted by the Privatization and Corporatization Board (PCB).
DBM said the acceptance of resignation by the PCB was communicated to both the Board of Directors of the DBM and Paterson-Jones on March 23.
“The Bank also notes that Mr. Paterson-Jones had departed the Maldives a few days prior to tendering his notice of resignation and indeed had not been in employment at the DBM subsequent to submission of his resignation,” said the bank.
DBM said they are aware of the claim filed by Paterson-Jones at the Employment Tribunal concerning his alleged remuneration for the notice period of his resignation, and that the matter is being handled by the external legal counsel of the bank.
“…and the DBM shall proceed in accordance with the relevant due legal process,” said the bank.
The claim filed by Paterson-Jones was rejected by the Employment Tribunal on April 7, citing failure to appoint a translator within the mandated time frame as he is unable to adequately communicate in Dhivehi language.
He reserves the right to resubmit his claim within 30 days after paying a fine of MVR 500, according to the Employment Tribunal.
Economic Minister Mohamed Saeed wasn’t available for comment regarding the case.
The delay in the operationalization of the DBM was sparked public concern. However, Saeed rejected this criticism in a press briefing back in April, insisting that rollout of the bank is progressing “on schedule”.