Collusion Alleged in 10 Billion Irrigation Contract: Complaint Filed at CIAA Over Forged Documents

Kathmandu. A formal complaint has been filed at the Commission for the Investigation of Abuse of Authority (CIAA) alleging serious irregularities and the use of forged documents in a contract worth approximately 10 billion NPR. The contract involves the construction of 500 deep tube wells under the ‘Modern Mechanized Irrigation Project’ in the Rautahat and Sarlahi districts.

The complaint, lodged by employees of the Department of Water Resources and Irrigation, claims that the Project’s Acting Director, Ajay Adhikari, and Kumar Shrestha Nirman Sewa colluded to award the contract to a Chinese company that submitted fake credentials.

Allegations of Forgery

The complaint states that the experience certificates submitted by the Chinese firm, Zhejiang Teams International Economic and Technical Cooperation—which formed a Joint Venture (JV) with Kumar Shrestha Nirman Sewa—are entirely fraudulent. Key points include:

• Impossible Timeline: The company claimed a project started in May 2014 and finished in May 2015. Experts argue completing such a project within one year is technically impossible.

• Suspicious Dates: The company claimed to receive an award on May 17, 2014, which fell on a Saturday (a public holiday), rendering the claim highly suspicious.

• Fictitious Employer: Zhejiang claimed ‘Zhejiang Wali Investment Management Company’ as its employer, but investigations suggest no such company exists in China.

Forged Bank Guarantees

The complaint further alleges that CITIC Bank of Ningbo has clarified it never issued a letter of credit to any client in the format submitted by Zhejiang.

Alleged Collusion with ADB

Project Director Ajay Adhikari is accused of partnering with contractors to illicitly profit by millions. The complaint also raises suspicions regarding Asian Development Bank (ADB) officials, noting that the ADB headquarters in Manila failed to take action despite being repeatedly informed of these discrepancies.

Demand to Halt the Process

The petitioners have requested the Chief Commissioner to immediately halt the 10 billion NPR contract process and initiate a transparent new bidding procedure. They noted that Kumar Shrestha Nirman Sewa had previously escaped scrutiny by filing anonymous complaints to stall investigations.

Copies of the complaint have been sent to the Office of the Prime Minister and Council of Ministers, the Ministry of Energy, the Department of Irrigation, and the ADB Nepal Resident Mission.