According to a knowledgeable source at the Prime Minister´s Office (PMO), the finance section of the PMO has already spent Rs 5 million on the recommendation of the PM, his close aides and personal secretaries.[break]
"We had advised PM Khanal to set a momentous precedent by breaking with the practice of doling out financial assistance, which has been in existence for decades" said an official, adding, "The PM, instead of taking our advice seriously, asked us to distribute financial assistance to those who are genuinely in adverse circumstances."
The source added that the budget is being spent in the name of the genuinely poor but party cadres have been enjoying the financial assistance. "The PM pledged to dole out financial assistance only to the poor and those suffering from severe disease," the source said. "However, CPN-UML cadres have been enjoying the money distributed at the recommendation of the PM and his aides."
According to the source, PM Khanal spent Rs 5 under two phases. The Ministry of Finance (MoF) had allocated Rs 2.5 Million in total under the financial assistance head. That amount was spent within one and half months of the formation of the Khanal-led government.
After finishing the Rs 2.5 million, the finance section of the PMO, at the recommendation of the PM himself, requested MoF to release another Rs 2.5 million to distribute as financial assistance. "MoF then released another Rs 2.5 million as per the PM´s request and that money was also spent within three months despite strong objections from government employees," the source added.
Khanal is no exception in doling out money to relatives, near and dear ones and party cadres from state coffers under the financial assistance head. Khanal´s predecessors --Madhav Kumar Nepal, Pushpa Kamal Dahal, Girija Prasad Koirala, Sher Bahadur Deuba, Lokendra Bahadur Chand and Surya Bahadur Thapa --had also doled out huge amounts of money from state coffers under the financial assistance head.
Former prime minister Nepal distributed Rs 8 million to near and dear ones, relatives, party cadres, friends and members of the general public from the government treasury over a period of 15 months. Former prime minister Dahal spent Rs 10 million while the late Koirala spent Rs 10.5 million.
"Khanal is sure to surpass other prime ministers if the current trend continues," the source added.
Following tip-offs that irregularities are rife in the guise of financial assistance, the cabinet committee had issued a directive to curtail the PM´s power to distribute assistance through his office. However, the PMO was compelled to revise the directive after former prime minister Nepal objected vehemently.
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