CIAA initiates investigation into alleged corruption by PADT officials in purchase of electric cremation machines

KATHMANDU, Sept 21: The Commission for the Investigation of Abuse of Authority (CIAA) has initiated an investigation into officials of the Pashupati Area Development Trust (PADT) for engaging in corruption in matters ranging from the purchase of electric cremation machines to leasing land.

The CIAA has begun investigating a dozen issues of corruption, including the conversion of Guthi land into leasehold land and charging rent for parking in the Bankali area.

The CIAA informed Republica that it has started investigating a dozen cases and has already communicated with the PADT to provide the necessary documents. However, it has been reported that not all details have been provided to the CIAA.

The spokesperson for the PADT, Rewati Raman Adhikari, confirmed that the CIAA has requested for details in the alleged corruption case. "The CIAA has asked for all details regarding the purchases made by the PADT some time ago," Adhikari stated.

According to the anti-graft body, a total of Rs 133 million was spent to purchase the cremation machines at a rate of Rs 25.83 million each. Various organizations have reported that these machines are available in the market for around Rs 15.2 million, leading the CIAA to suspect that they were purchased at double the market price, prompting an investigation into the matter.

As per the CIAA, the machines purchased are not International Organization for Standardization (ISO) certified, and the manufacturing company's name is not mentioned in any procurement document. It was reported that two old machines were installed in the Pashupati crematorium, but there are no physical records indicating their condition during purchase or the location of installation. In such a condition, there are suspicions that some parts of the newly purchased machines may have been taken from the old machines. Sources claimed that the trust has caused a loss of more than Rs 60 million by purchasing unnecessary machines through collusion in the bidding process.

The PADT had spent money from its fund for the procurement of the machine in spite of Kathmandu Metropolitan City’s offer to purchase the machines. 

As per the source, the CIAA is also investigating the case where the erstwhile member secretary, executive director, and head of the Amalkot office claimed to the court that about 12 ropanis of trust land in Bhimsen Gola does not belong to Guthi, which led to the PADT losing the case.

The CIAA has also begun investigating suspicions of collusion with the contractor regarding the parking lease in the Bankali area. The contract for leasing the parking area was not terminated even after the agreed amount specified in the contract was not received for 22 months.

According to multiple sources, without the decision and approval of the board of directors of the PADT, then-member secretary Dr Pradeep Dhakal and treasurer Dr Milan Kumar Thapa leased the Ajeya Sumargi-built Madhav Raj Memorial Building to Ahead Trade Link for five years in 2073 BS. Even though the company had an outstanding payment of Rs 6.5 million, the lease was renewed for another five years in 2077 BS.

According to sources, the company has not paid the amount as per the contract so far. The CIAA is also investigating the case based on allegations that Ahead Trade Link and current member secretary Dr Milan Kumar Thapa are running a large store, including a Rudraksha store, at the Nepal-India Maitri Pashupati Dharmshala operated by the Batas Group.

Similarly, there is an ongoing investigation into the unauthorized hiring process of office assistants to undersecretaries in the PADT, which has been occurring since July 2017 without following any laws, regulations, or procedural guidelines.

Similarly, the CIAA is reportedly investigating the matter involving former member secretary Dr Govinda Tandon, executive director Ramesh Upreti, current member secretary Dr Pradeep Dhakal, treasurer Dr Milan Thapa, and executive director Dr Ghanshyam Khatri, who were supposed to collect about Rs 16 million in rent for the five-year lease of the Bankali Dharmashala. Instead of collecting this amount, they allegedly registered another firm and rented out the Tourism Information Center in Tilganga for five years without receiving any payment.

Furthermore, there are allegations of corruption involving fake bills created under the pretext of tree plantation, where millions of rupees were spent on flowers, saplings, and iron mesh tree guards. The CIAA is currently auditing the expenses from the fiscal year 2019/20 to 2023/24 under this heading, as well as evaluating the justification for the expenses, and conducting inspections and assessments of the plants and tree guards.