State Bank of India’s Malé branch has opened a public auction for the leasehold rights and attached assets of Maavelavaru Island in Noonu Atoll, with a reserve price of USD 124 million.
The sale follows a Civil Court judgement dated 21 June 2026 in enforcement case number 1950/Cv-C/2019, involving State Bank of India Maldives and others against Athama Investments Private Limited and others. According to the sale notice, the court has granted SBI Malé permission to sell the mortgaged property to recover dues linked to loans obtained by Athama Investments Private Limited.
The property listed for auction includes the leasehold rights of Maavelavaru Island, along with buildings, structures, machinery, equipment, furniture, fittings, chattels, linens, stocks and other assets usable in and attached to the island.
The auction period runs from 30 June 2026 to 20 July 2026 during working hours at SBI Malé. Applications must be submitted in sealed envelopes, along with a copy of the applicant’s national identity card. If the bidder is a company, the application must also include a copy of the company registration and a board resolution authorising participation in the auction.
Applicants are required to submit an earnest money deposit of USD 500,000 with their bid. The deposit will be adjusted against the bid amount if the bid is successful, while unsuccessful bidders will have the amount refunded. If a successful bidder fails to comply with the auction terms, the deposit will be forfeited to the bank.
The bids are scheduled to be opened on 20 July 2026, or the next working day, at 5:00pm at the bank premises in the presence of bidders and at least three committee members. The reserve price set by the bank will be the starting amount for the bidding process.
If more than one successful bidder offers the same price, spot bidding will be held immediately among those bidders. The incremental amount for spot bids has been set at USD 50,000.
Under the payment terms, the successful bidder must deposit USD 10 million within 15 calendar days from the award of the bid. The balance amount must be paid within 60 calendar days. The bank has also reserved the right to amend the payment terms.
If the successful bidder fails to honour the payment commitments, USD 2 million, equivalent to 20 percent of the initial USD 10 million payment, will be forfeited. The bank will also have the right to sell the property to the next highest bidder if the first instalment is not paid within the required period.
The notice states that the auction will be conducted on an “as is where is” basis. It also states that proceeds from the auction will be used to liquidate the account, with any excess amount after recovery of bank dues, legal expenses, property tax and other applicable costs to be returned to the borrowers or guarantors.
The auction represents a high-value recovery process involving a tourism-linked island asset, reflecting the financial and legal exposure attached to mortgaged resort properties in the Maldives.
