A number of brick factories operating in Tanahu district have been found not abiding by the government rule.

Many brick factories have continued their operations in violation of the law that requires the brick factories to register in VAT and operate only in the locations far away from urban areas. 

 Of an estimated 150 brick factories operating in the district, only seven are reported to have acquired the licence from the Cottage and Small Industry Development Board. The authority has, however, failed to take action against the illegal factories.

Bishwa Raman Acharya, director at the board’s main branch office in Tanahu, said only seven brick factories were registered in VAT and have fulfilled the government standards. “Despite board’s repeated calls to come into the legal framework, the factories have been ignoring the instruction,” he said.

 The illegal brick factories have been selling their products without using invoices. The board issues licence to around 50 small businesses each year. “However, only few brick factories have applied for registration.”

The firms with investment amount of up to Rs100,000 have to pay Rs1,100 for registration. Those with investment of Rs10-50 million pay Rs3,000 in registration fee and Rs5,000 for those above Rs50 million.

Ghasikuwa, Chhabdi Barahi, Manakamana Mai, Bikashsil, Bhanu and Shree are the registered brick factories. Among them, Chhabdi Barahi, which was established with an investment of Rs120 million, currently employs 118 people, Ghasikuwa, with an investment of Rs45 million, has been providing jobs to 14 people. The other brick manufacturers have investment ranging from Rs100,000 to Rs1.9 million, providing employment to 3-5 people.

Acharya said they had reported the cases to a higher authority to take action against the illegal factories.

On the pretext of constructing their own residence, many brick manufacturers have been operating their businesses in the urban areas in violation of the government rule. It also stipulates that only those factories that maintain the pollution levels under the government set norms are allowed to register for VAT.

A monitoring team under Chief District Officer is liable to cross-check the brick business. Dilli Ram Sigdel, executive officer of Byas Municipality, said they would take action against the enterprises that did not fulfill the legal procedures.