CHINA.WIRE
Nepal graft watchdog charges ex-minister in probe on China-backed airport
Kathmandu, Nepal, May 8 (AFP) May 08, 2026
Nepal's anti-graft watchdog has filed charges against 13 people, including a former finance minister, and a Chinese firm in a case alleging multi-million-dollar corruption in a major airport project, officials said Friday.

The charges are the latest in a slew of graft allegations involving the China-backed airport construction project in the tourist hub of Pokhara, nestled in the foothills of the Himalayas.

"We have registered a case against 13 people and a company for giving tax exemption, which allowed double benefit to the contractor company," Suresh Neupane, spokesman for the Commission for Investigation of Abuse of Authority (CIAA), told AFP.

Nepal's former finance minister Gyanendra Bahadur Karki and former finance secretary Shankar Prasad Adhikari were among those charged, along with China CAMC Engineering and two company bosses, the CIAA said in a statement on Thursday.

The case involves around $24 million which was "embezzled, damaged and misused" through unlawful waivers on taxes, duties and fees, the CIAA said.

"The payment was made including taxes, duties and other fees within the contract price, but the tax and duties included in the payment amount were not deposited in the state treasury," it added.

Contacted by AFP, Karki said: "I do not have anything to comment right now. I trust the judiciary."

Adhikari and China CAMC Engineering could not immediately be reached for comment.

The flagship project has been hit by a wave of corruption allegations since it began in 2023.

The CIAA filed cases against 55 people in December 2025, including five former ministers, accusing them of inflating project costs by about $75 million.

The CIAA's Neupane said court proceedings in that case was ongoing.

The latest action follows a period of political upheaval in Nepal after youth-led anti-corruption protests in September 2025 toppled the government, paving the way for a new parliament in March.

Nepal ranks 109th out of 182 countries on Transparency International's Corruption Perceptions Index, reflecting persistent concerns about governance and accountability.