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CIAA files corruption case against mayor, officials and cooperative leaders over misuse of dairy subsidy

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KATHMANDU: The Commission for the Investigation of Abuse of Authority (CIAA) has filed a corruption case at the Special Court against 11 individuals, including the mayor of Aathbiskot Municipality in Rukum West, municipal officials and office bearers of the Aathbiskot Dairy Cooperative, over the alleged misuse of government subsidies.

According to CIAA spokesperson Suresh Nyaupane, the case stems from the implementation of the Dairy Business Promotion Programme in the fiscal year 2019/20. The commission alleges that, in violation of the programme’s operational guidelines, an ineligible cooperative received a government grant of Rs91.18 million for the construction of a milk chilling centre. In addition, Aathbiskot Municipality allegedly provided a milk tanker and two single-cab vehicles worth Rs80.23 million, resulting in the misuse of public funds.

The CIAA has charged Aathbiskot Mayor Ravi KC and Chief Administrative Officer Maniraj Shah, seeking recovery of Rs80.23 million from each under Section 17 of the Prevention of Corruption Act, 2002.

The anti-graft body has also prosecuted former Acting Chief and Livestock Development Officer Suvarna Singh Thakuri, Animal Health Officer and former Acting Chief Gyanu Kumar Sharma, Livestock Service Officer Sher Bahadur Khadka, Accounts Officer Yam Bahadur Pun, and Agriculture Officer Min Bahadur KC, each with alleged embezzlement of Rs91.18 million. They have additionally been charged under Section 19(2) of the Act for allegedly submitting false reports and documents.

Similarly, Aathbiskot Dairy Cooperative Chairperson Janak Batala, Vice-Chairperson Bir Bahadur Rokaya, Secretary Govinda Prakash Khadka, and Treasurer Jun Kumari Chanel have been charged as accomplices under Section 22 of the Prevention of Corruption Act. The CIAA alleges they illegally benefited from Rs91.18 million allocated for the chilling centre and Rs80.23 million spent on vehicle procurement, and has sought penalties equivalent to those imposed on the principal offenders.

The CIAA has requested the Special Court to recover the alleged losses, impose fines equal to the misappropriated amounts, award imprisonment, and enforce other penalties as provided by law. The final determination of the allegations will be made by the Special Court.