Chaudhary Group of Nepal involved in VAT Scam’

Telegraph Nepal

Looters are not only politicians. There are some so-called Big Business Houses that are too hell bent on making this country totally bankrupt. At least this much has come to the fore very freshly.

The Rajdhani Daily, April 4, 2011, claims that Chaudhary Group led none less than by United Marxist Leninists Constituent Assembly and renowned businessman Mr. Binod Kumar Chaudhary (53) and SARDA group founded by Mr. Shivratan Sarda were among the top fake VAT (Value Added Tax) Bill racketeers.

Shocking isn’t it!

‘While Chaudhary Group evaded Tax worth 45 crore rupees and SARDA group presenting fake VAT bills did not pay 70 Crore rupees to the government’.

Hmmm…Hmmm…Hmmm

There are some 28 Business firms and some individuals, whose involvement have been proven to date for having evaded the government tax, a government investigation report has it.

The government had formed an investigation committee coordinated by Deputy Director of Inland Revenue Department Mr. Laxman Aryal and other members as Kul Prasad Chudal, Suryanath Prakash Adhikari, Dirgharaj Mainali, Govinda Prasad Subedi and Psadananada Gurung.

Founded by Lunkarandas Chaudhary, the Chaudhary Group of Industries is being run by Basanta Chaudhary, Arun Chaudhary and Nirvan Chaudhary under the leadership of Mr. Binod Chaudhary.

The CG company imports vehicles, is involved in production of fast foods and snacks, Lube Oil and have also invested in Financial Institutions. The Group had recently joined hands with Thailand based InVision Hospitality with a plan to open 30 hotels across Asia by 2013.

Similarly, SARDA group is involved in production of Wires, Cables, Pashmina, fast foods and snacks. The group is managed by Sandip Sarda and Pradip Sarda led by founding Chairman Shivratan Sarda.

The Rajdhani daily newspaper claims that it is in possession of a 33 page long document confirming that the two business houses are involved in fake VAT bill scam.

According to the investigation report, some forty five firms involved in import and reselling of vehicles, construction businesses, construction industries, electronic goods manufacturers, sales agents of multinational companies, local importers have been found to be involved in presenting fake VAT bills.

In the meantime, the Public Accounts Committee of the Parliament has ordered the government to present a report providing entire details of VAT scam to the committee within four working days. The committee has already summoned Finance Minister Bharat Mohan Adhikari, Revenue Secretary Mr. Krishna Hari Baskota, Director at Revenue Department Rajan Khanal, Director of Tax Investigation Bureau Mr. Shanta Bahadur Shrestha.

Rumors have it that the finance secretary Rameshwar Khanal is hitting the media headlines because he wanted to penalize the VAT defaulters.

However, when he was denied to carry the task, he tendered his resignation under “excessive pressure” both from his own office colleagues and the minister as well.

The Nepali Congress, the main opposition party, has already made the entire episode a political issue.

This has meaning.

To recall, talking to an English language weekly after being selected to represent Business community in the constituent assembly, Mr. Binod Chaudhary had claimed that his main objective was to keep economic agendas at the center of constitution drafting.Alll that glitters is not Gold!

(For other details read Rajdhani Daily, April 4, 2011)