Over the last few decade, institutionalized and entrenched over the course of the entire 250+ history of the country of Nepal, corruption in Nepali politics has gotten even worse. As I understand it, the reason behind Generation Z’s protests on September 8 had been about and against just that: corruption. The social media ban enacted by Prime Minister KP Oli’s administration through a directive had turned into a considerably more flammable fuel to the raging fire in the generation, as it were.
Those who preside over and enable the corruption have been the senior most leaders of the biggest national political parties: KP Oli, Sher Bahadur Deuba, and Puspa Kamal Dahal, Of late, the three have taken turns helming the country.
The following is a verbatim reproduction of the results of exchanges I had with the AI Deep Seek about KP Oli the politician and the corruption scandals he and/or his administrations were mired in.
Introduction: The “Strongman” of Nepali Politics
Khadga Prasad Sharma Oli, often known as K.P. Oli, is one of Nepal’s most formidable and polarizing political figures. A former communist insurgent who spent over 14 years in prison during the Panchayat era, Oli rose through the ranks of the CPN (UML) to become its chairman and, ultimately, the Prime Minister of Nepal. He is often portrayed as a strong, nationalist leader, famously advocating for “nationalism, national unity, and national development.” His first term was marked by a popular but economically debilitating border blockade with India, which he leveraged to build an image of a leader standing up to foreign pressure.
However, behind the rhetoric of prosperity and sovereignty lies a starkly different reality—a tenure marred by unprecedented levels of corruption scandals, mismanagement, and a concerning disregard for democratic norms, the most recent evidence being his alleged role in the violent crackdown on Gen Z protesters.
Oli’s Stance on Corruption: The Grand Dichotomy
Publicly, K.P. Oli has always maintained a staunch anti-corruption stance. His speeches are laced with promises to eradicate graft and hold the corrupt accountable. He once famously declared, “I will not spare anyone involved in corruption, not even my own party members.”
Yet, the data from his time in office tells a story of profound hypocrisy. Rather than draining the swamp, his premiership saw it overflow. The scandals that unfolded were not minor procedural lapses but massive, brazen schemes that implicated his own ministers, high-level bureaucrats, and party allies. The gap between his words and actions represents one of the most glaring dichotomies in modern Nepali politics.
Tenure as CPN(UML) Chairman: Centralized Power
Oli’s leadership style within his party, the CPN(UML), is famously autocratic. He has centralized power to an extraordinary degree, marginalizing internal dissent and ensuring unwavering loyalty. This control allowed him to govern without significant internal challenge but also created an environment where accountability was non-existent. When the party chairman and Prime Minister is perceived to be above the law, it emboldens everyone beneath him to act with impunity. The party machinery, under his watch, became less a political institution and more a vehicle for patronage and protecting its own from corruption charges.
The Data: A Tenure Defined by Grand Corruption
The economic context of Oli’s years in power showed growth on paper. However, this growth was overshadowed by a tidal wave of corruption that siphoned off billions meant for development.
Table 1: Economic Indicators During K.P. Oli’s Tenure
| Fiscal Year | Budget (USD) | GDP (USD) | Remittance (USD) | Avg. Per Capita Income (USD) |
|---|---|---|---|---|
| 2015/16 | ~7.87 B | ~22.17 B | ~6.39 B | ~$837 |
| 2018/19 | ~11.50 B | ~28.16 B | ~7.69 B | ~$1,041 |
| 2019/20 | ~12.99 B | ~29.66 B | ~7.41 B | ~$1,059 |
| 2020/21 | ~12.45 B | ~31.75 B | ~8.11 B | ~$1,105 |
Table 2: Major Corruption Scandals During K.P. Oli’s Tenure
| S.N. | Case Name | Amount (NPR) | Amount (USD) | Key Figures Involved |
|---|---|---|---|---|
| 1 | Widebody Aircraft Procurement (NAC Airbus) | 4.35 Billion | ~39.5 Million | Tourism Minister Rabindra Adhikari, NAC officials |
| 2 | NCell Capital Gains Tax scandal | 37.00 Billion | ~336.4 Million | Inland Revenue Department officials, Political leadership |
| 3 | False VAT bill scandal | 10.00 Billion | ~90.9 Million | Businessmen Chudamani Sharma (Gorakhali), Govinda Sapkota |
| 4 | Chaudhary Group tax exempt scandal | 7.00 Billion | ~63.6 Million | Chaudhary Group, Finance Ministry officials |
| 5 | Corruption in Melamchi Water Project | 3.00 Billion | ~27.3 Million | Melamchi Project officials, contractors, political brokers |
| 6 | Madhya Pahadi Lokmarga scandal | 3.20 Billion | ~29.1 Million | Ministry of Physical Infrastructure officials, contractors |
| 7 | Illegal fees in medical college | 3.00 Billion | ~27.3 Million | Medical college owners, IOE Dean Dr. Tri Ratna Manandhar |
| 8 | Nepal Red Cross Society irregularities | 3.00 Billion | ~27.3 Million | Chairman Sanjiv Thapa, Treasurer Shree Ram Dhakal |
| 9 | Upper Tamakoshi verification scandal | 3.00 Billion | ~27.3 Million | Project officials, verification consultants |
| 10 | NOC land purchasing case | 3.00 Billion | ~27.3 Million | NOC officials, landowners with political connections |
| 11 | Pappu Construction scandal | 2.50 Billion | ~22.7 Million | Contractor Hari Narayan Rauniyar (Pappu) |
| 12 | Driving license printing press corruption | 1.50 Billion | ~13.6 Million | DoTM Director Gopal Prasad Sigdel, supplier |
| 13 | Himalayan Airlines approval scandal | 1.40 Billion | ~12.7 Million | Tourism Ministry officials, airline owners |
| 14 | Loss in Dept. of Mines & Geology | 1.24 Billion | ~11.3 Million | Department Director General Ram Chandra Ghimire |
| 15 | Corruption in NAC (Sugatratna Kansakar) | 1.80 Billion | ~16.4 Million | NAC MD Sugat Ratna Kansakar |
| 16 | COVID-19 Medical Procurement Scandal | ~2.50 Billion | ~22.7 Million | Health Minister Bhanubhakta Dhakal, Secretary Yadav Koirala |
| 17 | Yeti Airlines Airbus A330 Lease Scandal | ~2.00 Billion | ~18.2 Million | Tourism Minister Rabindra Adhikari, Yeti Airlines |
| 18 | Loot in manpower companies | 4.00 Billion | ~36.4 Million | Manpower agency owners, Foreign Employment Department officials |
| Revised Tentative Scandal Total | ~95.69 Billion | ~870 Million |
Summaries of the Scandals:
- NCell scandal: This represented a catastrophic failure to collect a massive tax liability from a foreign investor. Key Figures: Then Prime Minister K.P. Sharma Oli and his Finance Ministers (Bishnu Prasad Paudel and Yubaraj Khatiwada).
- Widebody Aircraft Procurement (NAC Airbus): The purchase of two Airbus A330s by Nepal Airlines was mired in allegations of corruption, lack of transparency, and technical irregularities, leading to significant financial burden. Key Figures: Tourism Minister Rabindra Adhikari (from Oli’s party) was a central figure; he died in a helicopter crash while the investigation was ongoing.
- False VAT bill scandal: A massive, organized scam where businesses used fake VAT bills to claim billions in illegal tax refunds. Key Figures: Businessmen Chudamani Sharma (aka Gorakhali) and Govinda Sapkota were identified as kingpins. The scandal exposed deep corruption within the tax administration.
- COVID-19 Medical Procurement Scandal: The government urgently procured medical supplies at highly inflated prices during the pandemic. For example, PCR tests were bought for NPR 3,400 when the market price was NPR 850. Key Figures: Health Minister Bhanubhakta Dhakal and Health Ministry Secretary Dr. Yadav Prasad Koirala were directly implicated and charged by the CIAA.
- Yeti Airlines Airbus A330 Lease Scandal: The government was accused of improperly facilitating the lease of an Airbus A330 for Yeti Airlines by providing foreign exchange guarantees and violating regulations, favoring a private carrier over the national airline. Key Figures: Tourism Minister Rabindra Adhikari was again a central figure in this scandal.
- Illegal fees in medical college: Private medical colleges extorted massive “donations” (capitation fees) from students. Key Figures: Dean of the Institute of Medicine (IOM), Dr. Tri Ratna Manandhar, was arrested for facilitating these practices.
- Nepal Red Cross Society irregularities: The leadership was accused of embezzling funds, including those meant for earthquake victims. Key Figures: Chairman Sanjiv Thapa and Treasurer Shree Ram Dhakal were arrested on corruption charges.
- Driving license printing press corruption: The Department of Transport Management (DoTM) was involved in a corrupt deal to procure a driving license printing system. Key Figures: DoTM Director General Gopal Prasad Sigdel was arrested for his involvement.
- Chaudhary Group tax exempt: The conglomerate received illegal tax exemptions for imports for its luxury hotel. Key Figures: The Chaudhary Group leadership was investigated, though no major convictions ensued.
- Loss in Dept. of Mines & Geology: Revenue was lost due to corruption in licensing and mining. Key Figures: Director General of the Department Ram Chandra Ghimire was arrested.
Failure During the Coronavirus Pandemic
Oli’s handling of the COVID-19 pandemic was widely criticized as erratic and unscientific. From promoting unproven home remedies to downplaying the virus’s severity, his leadership created confusion and public distrust. The aforementioned COVID-19 procurement scandal was the most damning aspect of this failure. While citizens struggled for oxygen and hospital beds, his government was allegedly inflating prices and lining the pockets of those in power. This period shattered the image of a strong leader and revealed one who was dangerously out of touch and presiding over a kleptocracy even in a time of national emergency.
Conclusion: The Authoritarian Streak and the Blood of Protesters
K.P. Oli’s political career is a masterclass in leveraging nationalist rhetoric to build power while simultaneously presiding over a system that systematically loots the nation he claims to love. He is a politician who speaks of prosperity but delivers plunder.
This authoritarian streak reached a terrifying climax in the recent Gen Z protests. As the senior leader of the current coalition and a key architect of its policies, Oli bears significant responsibility for the government’s brutal crackdown, which resulted in the deaths of 73 protesters. His public statements dismissing the protesters and supporting the use of force provided political cover for the violence. It was a logical extension of his governance style: when challenged, respond with overwhelming force rather than dialogue or accountability.
K.P. Oli is not just a politician who failed to stop corruption; he is the central figure who presided over its greatest expansion in modern Nepali history. His legacy is not one of strong nationalism, but of weakened institutions, looted coffers, and the blood of young protesters on the streets of Kathmandu. The data does not lie, and it paints a picture of a leader whose defining impact has been one of profound and tragic failure.
Primary Data Sources (For Economic & Scandal Data):
- Nepal Rastra Bank (NRB): The central bank of Nepal is the primary source for official macroeconomic data.
- Reports Used: Annual Reports, Current Macroeconomic and Financial Situation Reports, Quarterly Economic Bulletins.
- Specific Data Sourced: Yearly average USD/NPR exchange rates, Remittance inflow data (NRB’s “Migration and Remittance” reports), GDP figures, and other economic indicators.
- Website: https://www.nrb.org.np/
- Government of Nepal, Ministry of Finance:
- Reports Used: Annual Budget Speeches, Economic Surveys, Red Books (Details of Budgetary Allocations).
- Specific Data Sourced: Annual national budget figures (expenditure).
- Website: https://mof.gov.np/
- The Commission for the Investigation of Abuse of Authority (CIAA): Nepal’s supreme constitutional anti-corruption body.
- Specific Data Sourced: Official chargesheets, press releases, and statements regarding various scandals (e.g., Widebody procurement, COVID-19 scandal, False VAT, Medical education scams). Their filings name the key accused individuals.
- Website: https://ciaa.gov.np/
- Office of the Auditor General:
- Reports Used: Annual Audit Reports.
- Specific Data Sourced: These reports are a treasure trove for identifying financial irregularities and potential corruption in government offices and public enterprises. Many scandals (e.g., NOC land purchase, Melamchi) were first highlighted in these audits.
- Website: https://oag.gov.np/
Secondary Sources & Reporting (For Scandal Details & Context):
- National Newspapers (Nepali and English): As referenced in your original document, content analysis of national dailies is a primary method for tracking scandals. The tentative amounts are often estimates reported by investigative journalists.
- The Kathmandu Post: Often leads in-depth investigative reporting on corruption.
- Onlinekhabar (Nepali): A major online news portal with extensive political and corruption coverage.
- Setopati (Nepali): Another leading online news source.
- Nagarik Daily (Nepali): Known for its strong investigative pieces.
- Annapurna Post (Nepali): Provides extensive daily coverage of politics.
- Himalayan Times: Another key English daily.
- International Organizations:
- International Monetary Fund (IMF): IMF’s Article IV Consultation reports for Nepal provide independent assessments of GDP, economic growth, and fiscal policies.
- The World Bank: World Development Indicators and Nepal Development Updates provide data on GDP, remittances, and other economic metrics.
- Academic and Research Papers:
- Studies on corruption in Nepal, particularly those published in journals like Contributions to Nepalese Studies or by research institutes like Martin Chautari, often provide deeper analysis and case studies of specific scandals, helping to establish timelines and key actors.
- Books on Nepali Politics:
- Books by political analysts and journalists (e.g., works by Prashant Jha, Aditya Adhikari) provide the essential political context for understanding the tenure of leaders like Oli, the structure of party politics, and the ecosystem that enables corruption.
Specific Examples of Source Material for Key Scandals:
- COVID-19 Procurement Scandal: CIAA chargesheets against Health Minister Dhakal and Secretary Koirala were widely reported by all major national media outlets in 2021-2022.
- False VAT Scandal: Detailed investigative reports by The Kathmandu Post and Onlinekhabar uncovered the network and modus operandi of Chudamani Sharma and Govinda Sapkota.
- NCell Scandal: Ongoing coverage since 2016 in all major newspapers, backed by reports from the Public Accounts Committee (PAC) of parliament and the Auditor General.
- Widebody & Yeti Airlines Scandal: Investigative reports by Nagarik Daily and Onlinekhabar specifically linked Tourism Minister Rabindra Adhikari to the decisions.
- Medical Education Scandal: CIAA investigations and subsequent arrests (e.g., of IOE Dean Manandhar) were headline news for weeks in outlets like The Kathmandu Post and Setopati.
Important Disclaimer on Synthesis:
The compiled table is a synthesis of information from all these sources. For instance:
- A scandal is first identified in an Auditor General’s report.
- It is then investigated and reported by newspapers like The Kathmandu Post, which add details and names.
- The CIAA may then file a case, confirming the details and accusing specific individuals.
- The amount involved is often an estimate from the AG report or media investigation.
- The timeline is cross-referenced with the dates of the events and the tenure of the Prime Minister at that time.
Therefore, no single link provides the entire table. The blog post is an analytical product created by weaving together these verified strands of public information from Nepal’s most authoritative institutions and its free press.
