Attorney General Uz Ahmed Usham has stated that his office has not advised the cancellation of the agreement between the Housing Development Corporation (HDC) and Sri Lanka’s Capital Marine and Civil Construction (CMCC) for the Fushi Dhiggaru Falhu reclamation under the Rasmale’ project.

The clarification follows a parliamentary inquiry from North Galolhu MP Mohamed Ibrahim regarding legal advice on terminating the agreement and compensating CMCC after transferring the project to another company.

According to Uz Usham, HDC has not sought legal guidance on the matter, and no recommendations have been made from his office regarding the termination or reassignment of the project.

The Rasmale’ project was initially awarded to CMCC for the reclamation of 1,153 hectares of land in Fushi Dhiggaru Falhu, with work beginning in December 2023. The agreement also included the allocation of 70 hectares from Hulhumalé and Fushi Dhiggaru Falhu as part of the project’s cost. However, the project faced delays, leading to the government’s termination of the contract in May last year.

Following a period of inactivity, work on the Rasmale’ project resumed in late 2018. Despite past setbacks, the Government has not yet made any announcements regarding potential changes to the project or its future course.