Two More Arrested in Nepal for Fake Tourist Rescue and Insurance Fraud Scheme

Kathmandu. The Central Investigation Bureau (CIB) of the police has arrested two more individuals involved in defrauding international insurance companies of millions of rupees through fake rescue operations for foreign trekkers in the Himalayan region.

Those arrested include Sandeep Tiwari, operator of Royal Holidays Adventure, and Rajendra Bahadur Singh, former Vice-Chairman of the Airline Operators Association. The Bureau apprehended them from Kathmandu on Falgun 12 and 13, respectively.

The investigation revealed that this syndicate created fake documentation for helicopter rescues of tourists who were either mildly ill or not ill at all in high Himalayan areas to claim large sums from international insurance companies. During the investigation, it was uncovered that companies such as Mountain Rescue Service and Everest Experience & Assistance prepared forged government records and airport passenger manifests to create fake bills. 
The Bureau stated that fraudulent medical reports, indicating tourist admission and treatment, were also fabricated in collusion with various hospitals in Kathmandu.

This type of organized fraud has severely tarnished Nepal's tourism image in the international arena. The police concluded that the national pride and prestige of Nepal were damaged after foreign media outlets reported that Nepal should be removed from the list of tourist destinations and that fraud was occurring at the foot of Mount Everest.

Keeping this in mind, the police have initiated an investigation against them under the charge of 'acting against national interest' as per the Muluki Criminal Code, 2074, and under the Organized Crime Prevention Act.

A total of nine people, including representatives from trekking companies, rescue companies, hospitals, and shareholders of helicopter companies, have been arrested so far in this fraud case. The arrested individuals, 56-year-old Singh and 28-year-old Tiwari, have been remanded in custody after obtaining permission from the Kathmandu District Court.

Police Senior Superintendent Shiv Kumar Shrestha, spokesperson for the Bureau, informed that other accused individuals in this major tourism sector scam are also being sought.