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PM secretariat accused of interfering in government IT procurement, tenders cancelled

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KATHMANDU: Prime Minister’s Secretariat has come under scrutiny over alleged interference in government technology procurement after several ongoing tenders were cancelled and procurement plans revised following the transfer of key technology responsibilities from the Ministry of Communications and Information Technology to the Office of the Prime Minister and Council of Ministers.

According to officials and sources familiar with the matter, the Prime Minister’s Secretariat has increasingly influenced technology procurement decisions, including planning, tender specifications and bidding processes. Critics allege that legally initiated tenders have been cancelled midway, new procurement procedures launched, and competition restricted.

The controversy follows the cancellation of the National Identity Card procurement tender and the subsequent direct procurement of part of the project without competitive bidding.

More recently, technology tenders at the Nepal Oil Corporation and CDS and Clearing Limited (CDSC) have also been cancelled despite having already reached the letter of intent stage. Sources claim the cancellations were made following directives from the Prime Minister’s Secretariat.

At CDSC, a tender for the “Unified Central Storage for Data Center (DC) and Disaster Recovery (DR)” project, launched on March 25, was cancelled on June 23 while still under evaluation. Participating companies were formally notified of the cancellation.

Similarly, a separate tender for network infrastructure, published on April 8, was cancelled on June 17.

CDSC has since issued a fresh global tender for storage renewal and support services, while also inviting quotations for the purchase of two storage systems.

Companies that participated in the earlier bidding process have questioned why tenders deemed unnecessary were later reissued, alleging the cancellations may have been intended to influence procurement outcomes.

Sources close to CDSC claim that Bibek Mishra and Madhav Khanal, both associated with the Prime Minister’s Secretariat, repeatedly pressed for the cancellation of the original tenders. They further allege that the new procurement process is now moving forward based on cost estimates and technical specifications prepared under their direction.

Mishra and Khanal have faced growing criticism over their alleged involvement in technology procurement, with detractors accusing them of exerting undue influence over technical specifications and procurement decisions ranging from small-scale purchases to major government IT projects.