During 2004-2005, NA provided security to Nepal Telecom´s base towers in remote areas, Nepal Oil Corporation´s depots, Nepal Rastra Bank premises and infrastructures of Nepal Electricity Authority and Nepal Water Supply Corporation.[break]
According to a report prepared by the Office of the Auditor General, among the five institutions, while one owes Rs 43 million, other two have to pay Rs 37 million to NA.
The cabinet decision in January, 2004 had stated that government would bear 50 percent of the total expenses incurred for the army´s service, while the remaining amount would be shared by the concerned agencies.
However, a subsequent decision made in July, 2004 provided room for manipulation as it added a provision that the service-seekers were liable to pay the 50 percent only if they ´agreed´ to do so. Else, the government should bear the total expenses.
The report, presented at the Parliamentary Accounts Committee on Sunday, added NA was unable to retrieve the money from the institutions this year as well despite repeated correspondence with the service-seekers on the matter.
Responding to the AG Office´s plea, the PAC directed NA to get back the money from three institutions within a three-month timeframe.
Delegation formed to settle Chinese MA-60 aircraft deal
Meanwhile, the House committee also directed Ministry of Defense (MoD) to settle the MA-60 aircraft deal with the Chinese supplier within three months period. The PAC took a decision to this effect after Naveen Kumar Ghimire, secretary at the MoD, apprised the members that a delegation has been formed to hold talks with the representatives of the Chinese company and that a formal request has been sent through the Ministry of Foreign Affairs to invite them for the same.
The ministry, on March 1, 2006 had sent Rs 395 million [20 percent of the total amount] as a lock-up money to the Chinese company for purchasing two aircrafts. Total agreed amount for the purchase deal was about Rs 1.97 billion. Although the two aircrafts were supposed to arrive Nepal separately in the 12th and 18th month of the agreement, neither the aircrafts nor the money has been received yet.
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