Nepal Government Initiates Asset Investigation for Public Officials

Kathmandu. The government led by Balendra (Balen) has relatively quickly made public the asset details of its cabinet members. The asset declarations of the Prime Minister and ministers were released just 17 days after the formation of the government.

The asset details released on Sunday have received mixed reactions. Former Finance Minister Rameshwor Khanal commented that asset declarations are often less reliable. On Facebook, Khanal stated that income statements and tax clearance records submitted to the Inland Revenue Office are more credible.

'Asset declarations are often less reliable. In contrast, income statements and tax clearance records submitted to the Inland Revenue Office provide a more reliable, transparent, and verifiable basis for assessing financial integrity,' he wrote.

However, Khanal himself is facing criticism for not making asset details public when he was the Finance Minister in the interim government led by former Chief Justice Sushila Karki. All members of the Karki government, which conducted peaceful elections, left office without disclosing their assets.

The Office of the Prime Minister and Council of Ministers had released details including the Prime Minister and ministers' bank balances worth millions, gold, silver, share investments, and land holdings. After public questions were raised regarding the source of the assets of the cabinet members, who are predominantly under 40, Home Minister Sudhan Gurung responded via social media. Gurung remarked that while it is not a mistake to be born poor, it is a mistake to die poor.

'It is not your fault that you were born poor, but it is your fault if you die poor. Be aware,' he replied to his critics. However, following criticism of this statement, he removed the status from the network.

Demands for an investigation have begun to grow as the sources of wealth of the new generation of leaders, who entered politics by questioning how old party leaders who entered the city in 2046 BS with nothing but slippers acquired luxurious houses, bungalows, land, and wealth, have appeared unbelievable.

Gen-Z youth had staged peaceful protests against the then-government led by KP Oli against corruption, mismanagement, and nepotism. However, the government brutally suppressed the movement, and the resulting riots, which led to the deaths of 23 people, caused the government to collapse. Protesters destroyed important state assets including Singha Durbar, the Supreme Court, and the Parliament building, as well as leaders' residences and party central offices.

The Rastriya Swatantra Party (RSP), which went to the polls embracing the spirit and sentiment of the Gen-Z movement, won a near two-thirds majority. The RSP had made 100 governance reform agendas, such as investigating the assets of individuals who held public office from 2048 BS to 2082 BS, good governance, and social justice, its main election agenda. In point number 16 of its election manifesto, the RSP committed to making leaders' asset details public before they assume public office.

Seventeen days late according to the manifesto, the asset details of the Prime Minister and 16 ministers were made public. The first cabinet meeting held on Chaitra 13 decided to form a high-level empowered investigation committee within 15 days to investigate assets from the last 35 years. It is said that in the first phase, the assets of individuals who held public office since 2062/063 BS will be investigated. The government has decided to investigate the period from 2048 BS to 2062 BS in the second phase.

The investigation committee will include experts from the fields of law, finance, revenue, and research, as well as representatives of relevant bodies. It is stated that the entire process will be transparent and result-oriented by developing the necessary legal and technical mechanisms. The committee is said to be granted powers including collecting, analyzing, and recommending necessary documents, details, and records.

It is stated that the investigation process will be conducted based on legal standards, evidence, and impartiality, and arrangements will be made to implement the reports and recommendations submitted by the committee through relevant bodies. Chief Secretary of the Government of Nepal, Sumanraj Aryal, informed that the process of forming the committee is underway.

'The investigation committee has not been formed yet. The process is underway. It will not take much time,' he told Ratopati.

Former Prime Minister Lokendra Bahadur Chand has expressed doubts about the implementation of the government's decision. After former Prime Minister Oli and former Home Minister Ramesh Lekhak were arrested on Chaitra 14, the day after the government was formed, Chand said that there might be problems in implementation if the government makes decisions in a hurry.

'People were arrested in a bit of a hurry. One should only arrest after the police investigate and find that it is necessary to arrest. But now it looks like the Rana regime,' he said, 'How much can corruption be stopped? I said, the root of corruption is political corruption. One must go to the root of it. Making decisions in a hurry may not yield results. Let's see what they do next.'

The government has initiated an asset investigation process against former Prime Minister Sher Bahadur Deuba and his spouse, Prachanda, and members of his family, including Oli. Outgoing Energy Minister Deepak Khadka has been arrested and the investigation process has been moved forward.

During the Gen-Z movement, a video of money being burned at their residence was made public. Laws such as the Prevention of Corruption Act 2059 and the Commission for the Investigation of Abuse of Authority Act 2028 are active to control corruption and abuse of office. State bodies like the National Vigilance Centre, the Commission for the Investigation of Abuse of Authority, and the Department of Revenue Investigation are also active according to prevailing laws. However, it seems that the trust of the general public has been broken as the parties that have been in government for a long time have made state bodies ineffective.

Former Judge Balaram KC said that the decision to make the asset details of the Prime Minister and ministers public and to initiate the process of investigating the assets of individuals who held public office in the past is positive.

'It has been talked about for a long time that there should be an investigation since 2047 BS. The country is suffering now because of corruption. It was just learned that billions of rupees have gone to Swiss banks due to corruption. If that money were in Nepal, a lot of development would have happened. Therefore, there should be no stinginess in this. The assets of everyone since 2047 BS should be investigated,' he said.

KC is of the opinion that the asset details of the Prime Minister and ministers are realistic. He said, 'The cabinet meeting has made the asset details of the Prime Minister and ministers public. That is all satisfactory record. You and I, as ordinary citizens, have that much status. It was not made public like this before.'

KC emphasized that since information is coming in that leaders have money in Cambodia and Swiss banks, the government should act ruthlessly and form a high-level powerful commission. He suggested including police investigators, retired secretaries, the Auditor General, civil society, media, and legal experts in the five or seven-member investigation commission. KC urged the current Prime Minister and Finance Minister, who have good English skills, to take the initiative to bring the money by making legal agreements with the Swiss and American governments.

'First of all, let's make a legal access treaty with the Swiss and American governments so that it gets legal recognition between the two parties. Once that is done, they will give access. Let's issue a notice based on that,' he said, 'If someone does not tell the source of the assets, then a case can be filed on that basis.'

KC said that only those who have committed corruption hide it. 'A person who does not commit corruption knows all the assets they have accumulated. Old leaders have not kept them in their names. They have kept them in the names of brokers and businessmen. The commission to be formed now must have the authority to reach there,' he said.

Former Government Secretary Sharada Prasad Trital said that the assets of all new and old people who held public office should be investigated.

'The assets of everyone who held public office should be investigated. How the government is moving the process forward is its business. If I were there, I would first investigate the Prime Ministers and ministers after the Gen-Z movement. Similarly, among employees, I would investigate those who retired recently,' he said.