PSM’s Debt Stands at MVR 261 Million, Reveals New MD

The Managing Director of Public Service Media (PSM), Zeena Zahir, revealed that the state media company’s debt amounted to MVR 261 million when the new management took office.

At a press conference yesterday, Zeena cited the company’s significant debt as its biggest challenge. She detailed the debt breakdown, revealing that PSM owes MVR 122 million to state-owned companies, MVR 27 million to private companies, MVR 25 million to foreign parties, and MVR 88 million in loan borrowings. Despite these challenges, Zeena noted that MVR 9 million of the debt has been repaid.

advertisement

Zeena further stated that the company’s expenditures had been reduced by 20 percent since the new management took over. PSM currently earns an average of MVR 1.5 million per month. However, this amount is insufficient to cover essential expenses, such as the electricity bill, which alone amounts to MVR 1.9 million monthly.

PSM is currently only bearing necessary expenses, with efforts underway to formulate a long-term master plan to increase revenue.

In addition to the debt issues, Zeena disclosed that PSM has not received MVR 4 million related to transactions for purchasing US dollars. The company’s Finance Head, Ahmed Haneef, allegedly conducted these transactions with private parties without the company’s knowledge over the past four years.

Zeena emphasised that these transactions violated company regulations, as no agreements were executed with any of the parties involved. “We had taken the necessary steps after noting suspicious transactions starting from 2020, where large sums of money from the company’s budget were transferred to private parties,” she stated.

Haneef was suspended from his post in April and later dismissed. According to Zeena, documents indicate that PSM has not received MVR 4 million from these transactions. She added that the company’s safe contained just MVR 7 when she assumed her position.

The probe into the case has also uncovered further allegations against Haneef. “We have been receiving complaints from our staff that the former finance head had borrowed MVR 50,000, MVR 60,000, MVR 80,000 from them and not repaid it,” Zeena detailed. The case has been submitted to the Maldives Police Service for further investigation.

Efforts are also underway to conduct a financial audit of PSM starting from 2017. Zeena noted that the Privatization and Corporatization Board (PCB) had flagged several issues within the company, which were communicated to PSM’s former board of directors and management.