The Maldives Industrial Fisheries Company (MIFCO) has been operating without a Chief Executive Officer for three months.
The Privatization and Corporatization Board (PCB) dismissed Ahmed Shamah from his position as MIFCO's CEO on May 21. At the time, the PCB did not state a reason for his dismissal. However, prior to his termination, he was placed on suspension from March 18 to April 21, reportedly to conduct an inquiry into a submitted case. He was granted permission to return to work on April 24, but was dismissed less than a month later. Although the PCB made serious allegations against him, he has denied them. To date, the PCB has not disclosed any details of the alleged inquiry or released any information regarding it. The following day (May 22, 2024), the President appointed Ahmed Shamah Rasheed as a State Minister of the Fisheries Ministry. Since then, the position of MIFCO's CEO has remained vacant.
Shamah was dismissed while fishermen were expressing their dissatisfaction with him, criticizing MIFCO's policies, and openly calling for his resignation. Consequently, following his dismissal, fishermen and many others have been waiting for the day a new CEO is appointed to MIFCO. Previously, since the government nominates individuals for such positions in state-owned enterprises, fishermen assumed a political figure would be appointed. However, as the days dragged on into months, no CEO was appointed to MIFCO.
Amidst this, everyone was surprised by the news that the PCB had announced a search for a candidate, opening the opportunity to foreign nationals as well. The PCB's announcement on June 26, 2024, stated that they were seeking a skilled and diligent individual in the fisheries sector for the role of MIFCO's CEO. It also mentioned that competence and experience would be considered in selecting a candidate for the position. While the opportunity was open until July 15, it is unknown how many individuals applied. Based on information that surfaced in the media, it is known that former MIFCO Managing Director Athif Shakoor applied for the position. Athif has previously served as MIFCO's Deputy CEO and as the head of the MMA's Financial Intelligence Unit (FIU).
On July 16, the PCB announced the cancellation of the advertisement seeking a CEO for MIFCO. The PCB stated that day that the decision to cancel the announcement was made because no eligible candidate had applied. More than a month has passed since the cancellation, and the PCB has not yet issued a new announcement for the position.
While no comment was available from the PCB or the government regarding this matter, during the official Independence Day ceremony this year, the President shared details of the government's efforts to reform state-owned enterprises. He stated that he is aware of the root problems facing MIFCO and how the company falls into debt, and that MIFCO can only be turned around by a foreign expert who has managed companies at the highest level. The President added that while it is not impossible for Maldivians to manage MIFCO, based on past experiences, MIFCO needs an experienced, sincere individual who can work independently without ties to the industry.
"MIFCO can only be turned around by hiring a world-class, highly experienced management expert who has run companies at the highest level and entrusting them with MIFCO," the President said at the Independence Day ceremony.
During a press conference held yesterday, Fisheries Minister Ahmed Shiyam stated that because the announcement seeking a foreign CEO for MIFCO did not receive an adequate response, another announcement will have to be made. He also mentioned that the government, MIFCO, and the PCB are currently looking to find a CEO for MIFCO as soon as possible.
"To strengthen MIFCO's management, we believe that we need to get a very good CEO and do it as soon as possible. That work is ongoing. I do not believe it will take much longer," the Minister said.
Even without a CEO, MIFCO has initiated an efficiency exercise to rectify the company's flaws and strengthen its management. MIFCO stated that its goal is to transform the company into a profitable entity that pays dividends to the state within a year through this efficiency exercise.
