Money
DoSM drags six firms to court over malpractice
The Department of Supply Management (DoSM) has filed court cases against six firms in the first eight months of the current fiscal year, on charges of selling goods at exorbitant prices.The Department of Supply Management (DoSM) has filed court cases against six firms in the first eight months of the current fiscal year, on charges of selling goods at exorbitant prices.
The department filed cases against these firms based on a provision in the Black-Marketing and Other Social Offences Act 1975, which bars firms from keeping a profit margin of over 20 percent of the cost price of goods.
The department has also initiated the process of prosecuting another six firms, mostly eateries based in Dhading and Chitwan.
“We have forwarded these cases to concerned district administration offices recommending prosecution,” said DoSM Monitoring Officer Deepak Pokharel.
The DoSM is also in the process of dragging another 14 firms to the court. “We are holding consultation on fate of these firms with the government attorney at the moment,” Pokharel said.
Most of the firms under purview are the ones that came under the department’s radar during special market monitoring conducted in between mid-July to mid-August, as per the DoSM.
Bhatbhateni Food Products, the supplier of food items to Bhatbhateni Supermarket; Siddhibinayak Khaddya Store at Tinthana; Saleways Cash and Carry, and Fashion Flow at Maharajgunj; Big Mart’s Kalopool outlet; Non-Stop 365; and Organic Kitchen Mart are firms that may soon face music. However, the Supplies Ministry has been delaying the process of prosecuting them stating documents prepared by the DoSM lack evidence, DoSM officials said.
Out of 2,435 business enterprises that DoSM monitored in the first eight months of the current fiscal year, 2,093 were operating in the Kathmandu Valley. Of these firms, 394 were directed to submit clarifications, while 83 were shut down for repeatedly defying DoSM’s instructions.
The DoSM plans to conduct monitoring of 4,200 business enterprises by the end of this fiscal year.