Internal Conflict and Alleged Irregularities Plague Bardibas Water Supply Organization

Janakpurdham. The internal dispute within the Bardibas Small Town Water Supply and Sanitation Users Organization in Bardibas, Mahottari, has reached a breaking point. The organization, which directly impacts the daily lives of consumers, is now under scrutiny due to recent irregularities, legal complexities, and internal conflicts.

The dispute, centered on the organization's operational statutes, has intensified. It is alleged that elected officials have failed to adhere to the statutes established in 2057 and amended in 2063. A power struggle surfaced shortly after the election when the treasurer was sidelined, and a member was granted signatory authority.

Although the organization claimed to be operating under a statute amended in 080, the District Administration Office (DAO) of Mahottari declared the amendment invalid. On 2081 Bhadra 11, the administration issued a clear directive to operate under the 063 statute, but allegations that this directive remains unimplemented have raised questions about the effectiveness of regulatory bodies.

Despite the 063 statute clearly requiring the treasurer's signature for financial transactions, Chairman Bhulan Sen is accused of operating funds using a member's signature. This ongoing practice has sparked questions regarding who is protecting these actions.

The organization, which serves approximately 6,000 consumers, collects between 1.5 to 2 million rupees monthly. Consumers allege a lack of transparency, with estimated irregularities reaching approximately 45 million rupees.

Another focal point of the dispute is the special general assembly held on 2080 Chaitra 27. While statutes allow for such assemblies upon the written request of one-fourth of the members, claims suggest it was held based on 152 signatures. Consumers allege that this assembly was used to strip the treasurer and secretary of their authority.

Treasurer Bhojprasad Phuyal and Secretary Vishnu Bhandari filed complaints with the DAO against this decision. Following an investigation, the administration deemed the assembly fraudulent and revoked the amended statute.
Chairman Sen also faces allegations of nepotism in appointments. Previous general assemblies were postponed due to strong protests from consumers regarding irregularities, during which the secretary and treasurer publicly presented reports alleging corruption.

To resolve the dispute, the Bardibas Municipality has formed an investigation committee led by Deputy Mayor Tara Devi Mahato, tasked with submitting a report within 90 days. The committee states that the investigation is ongoing, and the next election process will only proceed after the report is finalized.

Meanwhile, Chairman Sen's faction claims they are working under duress to ensure the continuity of basic services, arguing that the treasurer was removed from signatory authority after attempting to act against consumer interests.

How did the water supply dispute escalate?

According to the organization's statutes, the signatures of both the chairman and treasurer are mandatory for financial transactions. Treasurer Bhoj Bahadur Phuyal (Shankar) and Chairman Bhulan Sen initially followed this protocol for the first month's salary disbursement. However, the dispute began when the accountant reported that the treasurer demanded 3,000 rupees in exchange for signing salary checks.

Chairman Sen claims the treasurer refused to attend the office unless the accountant was removed, while Phuyal asserts he demanded the accountant's removal due to an illegal appointment, dismissing the bribery allegation as a fabrication. Sen claims he was forced to call a consumer assembly to amend the statute because staff salaries were unpaid due to the treasurer's refusal to sign checks.

"After staff went three months without pay, the consumer assembly amended the statute. The new provision allows financial transactions with the signatures of any two authorized persons, provided the chairman's signature is mandatory," Sen stated.

Sen argues that a previous committee led by Suresh Raut, formed to investigate irregularities during former Chairman Bhola Khadka's tenure, had suggested allowing any two signatures to avoid daily operational delays, which served as the basis for the amendment.

Sen added, "We have not suspended him, nor have we invalidated his signature. We have simply arranged for transactions to be processed by any two authorized signatories, including the chairman."

Treasurer Phuyal, angered by the amendment that made his signature optional, filed a complaint with the DAO. The DAO ruled in Phuyal's favor, instructing the Bardibas Municipality to ensure operations followed the 064 statute. When the organization ignored this, Phuyal filed a writ at the Janakpur High Court. The High Court eventually dismissed the writ, noting that the DAO's decision was correct and should be followed.

The organization has since registered the amended statute with the municipality and the Inland Revenue Office. An audit for the fiscal year 080/081 showed over 600,000 rupees in tax payments but also highlighted 150,000 rupees in unexplained expenses, including a bill for 500 bags of cement with no record of its usage.

Chairman Sen stated he would not back down from his responsibilities and remains committed to making the organization automated and systematic. Committee member Sajita Basnet confirmed that the investigation is ongoing, and the election date for a new committee will be set only after the report is submitted.