MDP pushes for mandatory financial disclosure of heads of SOEs and independent institutions

A parliamentarian from the main opposition Maldivian Democratic Party (MDP) has submitted legislative amendments to make it mandatory for members of independent institutions and senior management of state-owned enterprises to submit financial declarations detailing their private finances.

North Galolhu MP Mohamed Ibrahim (Kudu) has submitted amendments to two laws – the Audit Act and the Privatization and Corporatization Act.

Presenting these bills at the Parliament on Tuesday morning, Kudu said these legislative amendments seek to strengthen the accountability of members of independent institutions and the heads of SOEs.

The proposed amendment to the Privatization and Corporation Act applies to top officials of SOEs - chairpersons, chief operating officers, managing directors and deputy managing directors.

Meanwhile, the proposed amendment to the Audit Act applies to members of independent commissions, individuals appointed to autonomous roles, and heads of statutory bodies and state agencies and offices.

Amendments to both laws require these officials to submit financial declarations detailing their personal assets, wealth and debt within 30 days of assuming office, and financial declarations verified a licensed auditor on an annual basis.

It also prescribes a fine of MVR 5,000 for failure to meet the deadlines.

Earlier this week, Kudu submitted a constitutional amendment requiring cabinet ministers to have their pay docked for failure to submit financial declarations. He also submitted an amendment to the Parliament’s standing orders in September to require parliamentarians to submit financial declarations not only on an annual basis, but also upon assuming office.

The passage of constitutional amendments require a three-fourths majority of the Parliament – an impossible feat without bipartisan support for the MDP, which holds just 12 out of 93 seats of the Parliament, while the ruling People’s National Congress (PNC) holds 75.