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MP Rijal calls for parliamentary probe into aircraft purchase deal

- Sanjeeb Phuyal, Kathmandu

Nov 21, 2018-

Nepali Congress MP Minendra Rijal has called for a parliamentary inquiry into the wide-body aircraft purchase deal between Nepal Airlines Corporation and the US-based AAR Corp.

Speaking at the Public Accounts Committee meeting of Parliament on Tuesday, Rijal said the allegation of irregularities in the aircraft purchase deal must be investigated as it was brought to attention by the annual report of the Office of Auditor General that the NAC did not follow due legal procedure while buying the two Airbus A330-200 planes.

“Everyday, the media has been raising the issue of irregularities in the aircraft purchase deal. We can’t remain silent any longer. The allegation must be probed at once,” Rijal told the committee.

The national flag carrier had purchased the two aircraft for $209.6 million by taking Rs 24 billion loan from Nepal Citizen Investment Trust and Employees Provident Fund at the annual interest rate of 9 percent and the loan maturity period of 15 years

The OAG annual report has mentioned that the NAC used an agent to purchase the planes and called for a global tender, instead of bidding a tender from the aircraft manufacturing company.

The NAC management has also come under fire for purchasing the planes with low-load carrying capacity than what was mentioned in the tender notice.

Published: 21-11-2018 07:03

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