Court tells authorities not to collect tax from Ncell for the time being

• The order comes days after Large Taxpayers Office determined tax for the mobile company at Rs39.06 billion

- TIKA R PRADHAN, Kathmandu

Apr 26, 2019-

When the Supreme Court on April 9 issued the full text of its February verdict on Ncell capital gains tax issue, it was largely believed that the matter was finally put to rest and that the long-drawn-out debate as to who should clear the tax liability—buyer or seller—had come to an end.

In line with the court order, the Large Taxpayers Office on April 16 determined capital gains tax for Ncell and its parent company, Axiata, and asked them to clear the outstanding amount in seven days.

But the mobile company argued the toss and moved the top court on Monday challenging the tax authorities' way of determining the tax.

But the Supreme Court on Thursday passed an interlocutory order and issued a show cause notice to authorities in a move which many say gave a sense that the debate on capital gains tax was still alive.

A single bench of Justice Bam Kumar Shrestha issued a show-cause notice to the Large Taxpayers Office and asked both parties—the tax office and mobile company—to appear before the court on May 6 to discuss the matter.

Supreme Court officials said the interlocutory interim order was issued to the Large Taxpayers Office not to collect the tax until discussions on May 6.

The court order came two days after the seven-day deadline set by the Large Taxpayers Office for Ncell ended.

Ncell capital gains tax is arguably one of the most debated issues in recent times, as a section of the general public has constantly mounted pressure on authorities to recoup the outstanding amount from the private sector mobile company.

Until 2015, TeliaSonera, a Swedish company, owned majority stake (around 60 percent) in Ncell. But in December 2015, in one of the biggest ever acquisition deals in Nepal, Axiata, a Malaysian telecom giant, agreed to buy TeliaSonera’s stake.

At that time, authorities had determined capital gains in the buyout deal at Rs143.6 billion.

TeliaSonera, however, has already exited Nepal.

In February, the full bench of the Supreme Court said the tax liability lay on Ncell—and not TeliaSonera—and asked authorities to determined and recount the outstanding amount within three months. The full text, however, was released on April 9.

Subsequently, the tax authorities determined Ncell’s capital gains tax at Rs62.63billion and told the company to pay Rs39.06 billion, saying it had already paid Rs23.57 billion in 2016 and 2017.

The telecom company, however, moved the court saying its outstanding tax stood at Rs14.36 billion—and not Rs39.06 billion.

In its petition, Ncell said Rs21.54 billion it paid earlier was 15 percent of the total capital gains (Rs 143.6 billion). “Of the 25 percent tax liability, the company has already paid 15 percent and it needs to pay the remaining 10 percent which amounts to Rs 14.36 billion,” the mobile firm said in the petition.

While legal experts appear unanimous that there is no option for Ncell than to abide by the court order and clear dues, they say there is a need to learn a lesson from the whole episode, as it involves offshore transactions.

TeliaSonera, the previous owner of Ncell, was registered in Norway and had maintained a controlling stake in Ncell through Reynolds Holdings Limited registered in Saint Kitts and Nevis, a tax haven in the Caribbean. Although the current foreign investor in Nepal is a Malaysia-based company, it invested here through a company registered in the United Kingdom called Axiata UK.

“The Ncell case has re-emphasised the need to establish clear criteria for taxing offshore transactions,” said Semanta Dahal, an advocate. “The Income Tax Act should be amended so that we do not suffer from Ncell sort of confusion again.”

Published in The Kathmandu Post: 26-04-2019 06:57

http://bit.ly/2L3wD0I

Leadership failed to follow principle of inclusivity, ruling party leaders say

• District committees that were finalised on Sunday, paving the way for unification, have only three women, two Dalits and 19 Janajatis as chiefs

- TIKA R PRADHAN, Kathmandu

Apr 24, 2019-

Inclusion, equality, social justice have been the constant refrain of Nepal’s political parties, but they hardly practice what they preach.

On Monday, when the ruling Nepal Communist Party announced conclusion of its unification—the party was formed after the merger of the CPN-UML and CPN (Maoist Centre)—Chairman KP Sharma Oli promised to follow the principle of inclusive democracy. 

But a look at the list of leadership in district committees, an understanding on which ultimately led to the conclusion of the unification, shows woeful representation of women, Dalit and Janajati members.

Of the 77 chairpersons appointed for district committees, only three are women--Munu Sigdel of Makwanpur, Ruku Lamichhane of Kavre and Madhu Adhikary of Lamjung while Som Maya Rai of Ilam is the only woman secretary selected.

Two district committee chiefs--Pravu Hajara of Parsa and Yam Bahadur Pariyar of Chitwan--are from the Dalit community and 19 are from the indigenous community.

Some leaders have expressed concern over negligible representation of women, Dalits and Janajatis in the party committees, saying the top leadership has failed to abide by the party statute. The party’s interim statute states that all the committees will have at least one-third women representation.

“Leaders have failed to show honesty once again,” said Sashi Shrestha, a central committee member, who has been fighting for ensuring inclusivity in the party. “They did not implement the existing provisions in the party statute that guarantee one-third women representation in all committees.”

Though several party leaders refrained from talking, concerns, some said, have grown in the party over underrepresentation of women, Dalit and Janajati members as two co-chairman--Oli and Pushpa Kamal Dahal--are already facing criticism for taking unilateral decisions.

“We will press the leadership to ensure inclusiveness. All sections of society should have a fair representation in new committees,” Pasang Sherpa, a central committee member in the party and former chair of the Nepal Federation of Indigenous Nationalities, told the Post.

The problem, however, is not only in the district committees.

With only 75 women in the Central Committee, many have questioned the legality of the Nepal Communist Party, saying the Election Commission demands 33 percent women representation for any party to get registered with it.

Clause 15 (4) of the Act on Political Parties-2073 states that at least one-third women members must be represented in all the committees of the party.

For the registration of a political party, Article 269(4c) of the constitution has clearly stated that there must be a provision of such inclusive representation in its executive committees at various levels reflecting the diversity of Nepal.

The 441-strong Central Committee has 21 Dalit members. The Dalit community accounts for 13.2 percent of Nepal’s total population.

The 45-member Standing Committee has only one Dalit member--Chhabilal Biswokarma. Only two women have made it to the Standing Committee--Asta Laxmi Shakya and Pampha Bhusal.

There is no women or Dalit representation in the nine-member Secretariat--the party’s highest body. It has only two members from the indigenous communities.

Women have immensely contributed in Nepal’s major political changes. The country has earned accolades for ensuring 33 percent women representation in Parliament. But many say this provision is being followed only because the constitution demands it.

Reluctance to follow the principle of inclusivity, however, is rampant across the board, as none of the parties has ensured proper representation of women, Dalits and Janajatis.

Last year’s election is a glaring example. Only six women were elected to 165-member Parliament under the direct election system. This makes just 3.64 percent. Women were sent to Parliament under the proportional representation system, as the constitution has made it mandatory.

The Nepal Communist Party, which claims to be a progressive party, however, failed to include women, Dalits and Janajatis in its committees, multiple leaders told the Post in phone interviews.

“We call ourselves a progressive communist party, but we have failed to follow inclusiveness. Women and Janajatis are sparsely included and the number of Dalits is negligible. We are supposed to lead by example, but we are not,” said Shakya, one of the two women standing committee members of the party. She said the party must come up with separate criteria to ensure proper representation of women, Dalits and Janajatis in the committees.

Another woman lawmaker, who also represents the Dalit community, said she is not optimistic about the current leadership following the principle of inclusion.

“Going by the trend the party is following, I don’t think this leadership will follow the principle of inclusiveness,” said Anjana Bishankhe, a central member and lawmaker.  “Leaders are busy picking their near and dear ones based on factional politics and they have nothing to do with the ideology, principle and inclusiveness.”

Published in The Kathmandu Post: 24-04-2019 07:22

Ruling party says unification concludes, but leaders see more challenges

• Party insiders are concerned about discontent that could potentially brew over the selection of leadership in district committees

- TIKA R PRADHAN, Kathmandu

Nepal Communist Party (NCP) Co-Chairs KP Sharma Oli and Pushpa Kamal Dahal attend the ruling party's unification even in Kathmandu on Monday.Post Photo: Elite Joshi

Apr 23, 2019-

Almost a year after the announcement of a merger between two leftist forces to form the country’s largest communist party, leaders on Monday announced official conclusion of the unification process.

At a programme organised in the Capital to announce a closure of the unification process, Co-chairmen KP Sharma Oli and Pushpa Kamal Dahal described the development as a major milestone in Nepal’s communist movement.

The programme was scheduled for April 22, to coincide with the establishment day of the communist party in Nepal 70 years ago.

The two parties, which followed completely different ideologies, formed an alliance in October 2017, months ahead of the historic general election under the constitution promulgated in 2015.

After sweeping the elections, the unified Nepal Communist Party (NCP) has the mandate to govern for a full five-year term, something which has not happened in more than two-and-a-half decades.

The delayed unification process, however, had become a major cause for concern.

Leaders termed Monday’s announcement a major development, but they were quick to add there are more challenges ahead.

Concerns are already growing among leaders over the way two leaders are running the party, as they say decisions are being made without following a proper system.

Many leaders--from both the erstwhile CPN-UML and the CPN (Maoist Centre)--have long said the unity in 2018 was not a result of conviction but rather a marriage of convenience.

Amid all this, the two parties, especially Oli’s UML, got a factional feud in legacy, which was a major stumbling block to conclusion of the party merger.

The major bone of contention was sharing of leadership positions in the districts, especially between the factions led by Oli and Madhav Kumar Nepal.

Following an agreement on the district leadership on Sunday, leaders decided to announce the unification over on Monday.

But leaders say there are more challenges ahead, as they doubt implementation of the decision on the district committees, whose leadership will play a crucial role in power-sharing, and the portfolio of leaders in the districts.

“Today’s announcement can be seen as a positive development,” said Lekhnath Neupane, a central committee member. “But there is doubt this will create ground for leadership development.”

Party leaders have agreed to share chairpersons and secretaries in the unified district committees between those who chaired the district committees in the separate parties. This has created problem in many districts, as juniors have become chairperson while seniors--and some central members--have become secretaries.

“I have already told the leadership to correct the decision,” said Himal Sharma, a central committee member who has been picked the secretary of the Kathmandu district committee. He now has to work under Krishna Rai, chairman of the Kathmandu district committee, but he is a ‘junior’ central member in the party, according to Sharma.

Rai was the Kathmandu district chairman of the former UML while Sharma headed the district committee of the Maoist party before the two parties decided to merge 11 months ago.

At least half a dozen central members from the erstwhile Maoist party have been what they call “demoted” to district secretaries. Leaders said in some districts, provincial committee members have become district chairpersons while central members have been made secretaries.

“Anyone can imagine the situation in districts where such a situation has arisen,” said Mani Thapa, a Standing Committee member. “How can they even hold meetings?”

Some leaders including Standing Committee member Ghanashyam Bhusal boycotted the unification announcement on Monday, claiming that the party did not follow the due process to endorse major decisions, including selection of leadership in the district committees. Bhusal, who is considered an ideologue in the party, has long objected to the activities of the two chairmen, arguing that their greed for power--not ideology--had brought them together.

“The secretariat has no authority to take crucial decisions, but leaders are misusing their power,” Bhusal told the Post. “Crucial decisions must be endorsed through the Standing Committee and then the Central Committee.”

Despite conclusion of the unification process, leaders say factional feud will continue to dog the party.

Leaders of the Nepal faction see Oli as a person who is trying to take full control of the party, while those from the Oli group allege that Nepal and his loyalists are creating unnecessary hurdles.

Nepal had also objected to the formation of provincial committees saying it was done in his absence, while Jhala Nath Khanal, another senior leader, has been expressing concerns over hierarchy in the party, as Nepal has been given a position above him.

Oli was threatening Nepal to move ahead with the list of district leaders as recommended by the party mechanism, but Nepal had warned of forming parallel committees.

However, after Oli agreed to allow senior elected representatives to lead the district committees, things were resolved. The proposal was presented by Dahal in a bid to resolve the months-long indecision that had blocked the entire unification process.

“I think top leaders realised the urgency, which prompted them to reach a deal,” said Bishnu Rijal, a central committee member close to Nepal.

The leaders have also agreed to finalise the party’s Politburo and sister wings at the earliest.

The size of the Politburo will be a third of the 441-strong Central Committee. Leaders have agreed to divide the number of members between the former Maoist party and former UML in the 45:55 ratio. With the conclusion of merger of the district committees, the former Maoists now have 33 chairpersons. Among 44 leaders chosen from the former UML, two are said to be neutral, 25 are close to Oli and 17 are from the Nepal faction.

Addressing Monday's function, Dahal said the party would hold its unity convention within a year, after completing the conferences of the district committees within eight months.

However, multiple leaders the Post talked to expressed doubt, claiming that there was no record for the party to have followed the time table.

“Leaders chosen for the district committees have been there for several years,” said Neupane. “How are other individuals going to get a chance to lead?”

Leaders also criticised the two co-chairmen for delaying the unification process for so long.

“The party leadership must introspect for holding off the unification for the last 10-11 months,” said Bhusal. “The major challenge ahead will be to restore internal democracy and address discontent that could possibly brew in the changed scenario.”

Published in The Kathmandu Post: 23-04-2019 08:27

Unification of ruling party said to conclude soon

• NCP Co-chair and PM Oli is learnt to be positive on sharing the leadership of district committees with Nepal

- TIKA R PRADHAN, Kathmandu

This file photos shows Pushpa Kamal Dahal and KP Sharma Oli shaking hands during the party's unification announcement in May, 2018.Post file photo

Apr 21, 2019-

The ruling communist party leadership could announce the conclusion of the unification process between the erstwhile CPN-UML and the CPN (Maoist Centre) on Monday, coinciding with the establishment day of the Nepal Communist Party seven decades ago.

Party leaders say that Prime Minister KP Sharma Oli, who co-chairs the unified Nepal Communist Party (NCP), is positive about addressing the concerns raised by the disgruntled faction, led by senior leader Madhav Kumar Nepal, to conclude the unification process.

Oli and NCP Co-chairman Pushpa Kamal Dahal had agreed, during their overnight stay at the Chandragiri Hills Resort on April 12, to announce the conclusion of the party unification process by addressing the concerns raised by the disgruntled faction, according to leaders close to Dahal.

Following the Chandragiri agreement, Oli held two rounds of talks with senior leader Nepal in Baluwatar on Thursday and Friday. The talks are said to have concluded with Oli agreeing to address the demands raised by the Nepal faction. On Saturday morning, Oli, Dahal, Nepal and General Secretary Bishnu Poudel met for at least three hours at the prime minister’s residence to finalise the issue. Party insiders said the top leaders would sit on Sunday morning again to list out the names of district leaders, which would be endorsed by the party’s Secretariat meeting.

“I was told that Oli was positive about allowing the elected representatives to lead the district committees, which would resolve the outstanding issues of unification for now,” said Ghanashyam Bhusal, an NCP Standing Committee member close to Nepal. “If everything goes as planned, the party is likely to announce conclusion of the unification process on Monday,” he added.

Discussions were held on different options to ensure that Nepal’s concerns are addressed. Nepal has been urging the two co-chairs to give him a respectable share in the unified district committees. He has warned of forming parallel committees if the demands of his faction are ignored.

“Things are moving ahead positively. We must complete the unity process by April 22, or else things may be difficult to manage later,” said Haribol Gajurel, a standing committee member close to Dahal.

It’s almost a year since the two parties announced their merger to form the NCP, but the unification process is far from complete.

In the joint political document endorsed by the Standing Committee in December 2018, the two chairpersons had promised to finalise the remaining tasks of the unification process within a month—by January 29, 2019.

The major issue dogging the ongoing unification process, according to leaders, is the division of district leaderships between the Oli and Nepal factions. Following the “win-win” proposal of Dahal to allow the elected people’s representatives to lead the districts, the Nepal faction has agreed to complete the party unification process, but Oli has not responded.

“Nepal said the latest talks were positive and that Oli was positive about setting the criteria of seniority among the elected representatives for the unified party’s district leadership,” said Bishnu Rijal, a central member close to Nepal.

If agreed, Dahal’s proposal would not only woo Nepal, who has been raising the issue of one-leader-one-position following Oli-Dahal’s decision to allow Chief Ministers Prithvi Subba Gurung of Gandaki and Shankar Pokhrel of Province 5 to head the party’s provincial committees as well, but also silence the erstwhile Maoist leaders who could question Dahal’s choice of district leaders.

Party insiders say it is the resistance from the Nepal-led faction that is hindering the unification process. Claiming that the two chairmen were trying to finalise the district committees without setting any criteria, the Nepal faction had warned of announcing its own parallel district committees.

Earlier, party leaders had agreed, in principle, on leadership in 45 districts for former UML and in 32 districts for former Maoists—and secretaries from UML in the districts led by the former Maoists and vice-versa. But the problem that the party is facing now is sharing of leadership positions in 45 districts between the Oli and Nepal factions.

The Nepal faction is for selecting the leadership through a set of criteria—on seniority basis.

But Oli supporters are for letting the two chairpersons finalise the list “without considering shares to the factions”.

Before Dahal left for the United States, he and Oli had finalised the leaderships of 56 districts—district chairpersons and secretaries. But only two leaders close to Nepal were included in the list—Bhim Prasad Dahal of Dolakha and Jhamka Nepal of Sindhupalchok, according to leaders close to Nepal.

“This development had irked Nepal and then he warned of consequences if the two chairpersons tried to push the list,” said Rijal.

Out of previous 75 district committees, the Nepal faction had 36 chairpersons in the district committees of erstwhile UML. Nepal fears that the Oli faction could be attempting to diminish his group.

Published in The Kathmandu Post: 21-04-2019 08:17

Congress reacts to what it calls Oli’s indecent comments against opposition

- TIKA R PRADHAN, Kathmandu

(From left) Nepali Congress leaders Prakash Sharan Mahat, Bishwa Prakash Sharma, and Bimalendra Nidhi during a press conference in Kathmandu, on Monday.POST PHOTO: KABIN ADHIKARI

Apr 16, 2019-

The Nepali Congress has taken exception to what it calls Prime Minister KP Sharma Oli’s frequent use of ‘indecent’ terminologies to attack opposition parties.

Organising a press meet on Monday, the main opposition said the government should understand history is made not by words but by deeds.

The party in its statement has an entire paragraph to explain what it calls “the prime minister lacks culture while expressing his views”.

“We have to remind the prime minister again that history is written by deeds and not by words,” states the release issued by the party. “Shouldn’t the prime minister’s statements be on par with his dignity of his position?” the statement, undersigned by party spokesperson Bishwo Prakash Sharma, reads.

The NC has pointed out that the prime minister had once appealed to all his cadres to “attack the opposition parties like wasps do.”

While addressing a function organised in memory of former CPN Maoist Centre leader Post Bahadur Bogati in September, the prime minister had made an appeal to all his party cadres to attack the opposition parties like wasps. He had also criticised them for not defending the government’s activities.

Then he went on to charge intellectuals on December first week.

On December 5, the prime minister, in his televised interview ‘Janata sanga Pradhanmantri’, had threatened the intellectuals for criticising the government, drawing widespread criticism from various quarters, including social media users, where many accused him of making remarks that were unbecoming of the office of the prime minister. The prime minister had threatened them for making “uncivilised and cheap comments” against him and his administration.

“If I respond to comments made by some intellects, they will be bedridden,” the prime minister had said in the interview. “Before going to the media, if they come to me for discussion and if I respond, there is a chance they will be bedridden, which I don’t want.”

During the end of the Nepali calendar—on Sunday—he used the term ‘nandi bhringi’ to the opposition parties—nandi in the Hindu mythology represents a bull of Lord Shiva while ‘Bhringi’ was an ancient sage (rishi), and a great devotee of Shiva. Jointly the two-word phrase gives a connotation for the people who worship power.

On the first day of the new Nepali Year on Sunday, Oli, who had been criticised for becoming intolerant against the opposition parties, made a harsh comment against them. “The day before yesterday, 13 different nandi-bhringis of different shape and size gathered and said they would begin a struggle,” the prime minister said during the public function.

The Congress has warned the prime minister that the nation will not be built by leading the country alone he should also take lead in promoting the culture as well.

“The Nepali Congress condemns such objectionable comments of the prime minister,” the statement reads.

Published in The Kathmandu Post: 16-04-2019 09:38

Pressure mounts on ruling party to initiate action against its general secretary

• Bishnu Poudel’s Baluwatar land deal has landed in controversy but leadership is maintaining silence

- TIKA R PRADHAN, Kathmandu

Bishnu PoudelFile Photo

Apr 21, 2019-

Pressure is mounting on the ruling communist party from its own leaders to initiate action against Bishnu Poudel, general secretary of the party who has been embroiled in a controversy for buying a piece of land in Baluwatar in January 2005.

A report prepared by a probe panel led by former secretary Sharada Prasad Trital has revealed that Poudel’s land was among the 113 ropanis acquired by the government and later transferred in the names of individuals in an unscrupulous manner.

Though Poudel has issued two statements in a span of 10 days, saying that he bought the land “legally, the party has maintained an eerie silence over the matter, which party insiders say is “damaging the party’s image”.

Some Standing Committee members claimed that the party leadership’s silence emanates from the fear of a drastic power imbalance in the party as it struggles to conclude the unification process stuck in an intra-party feud.

According to them, Poudel maintains good relationship with both Nepal Communist Party (NCP) Chairmen KP Sharma Oli and Pushpa Kamal Dahal--as well as other influential leaders like Madhav Nepal and Bamdev Gautam.

“The party is going through a transition as the unification of the two parties is yet to be completed,” said a Standing Committee member from the former Maoist party, on condition of anonymity citing the sensitivity of the matter.

“The leaders fear a power imbalance if action is taken against Poudel.”

Oli’s CPN-UML and Dahal’s Maoist party announced their merger in May last year but the unification process is yet to be completed owing to a power struggle among the leaders.

When Poudel was elevated to the post of general secretary after the merger, many leaders were not happy because they considered him to be too junior to hold the position.

Now, the charges that Poudel had bought eight anna land from Uma Dhakal and Madhavi Subedi in one of the prime locations in the Capital at a dirt cheap price (a total of Rs 400,000) “illegally” has raised moral questions over him as well as his party.

Multiple leaders the Post spoke to said the issue has come to the fore at a time when the party Chair and Prime Minister Oli has made “rooting out corruption” his refrain. In almost every speech, Oli talks about how his government is against corruption and how he will not spare anyone found involved in corruption.

“Now a number of party leaders and lawmakers are preparing to demand Poudel’s resignation collectively,” said Metmani Chaudhary, a lawmaker from the ruling party. “Poudel should step down as general secretary and pave the way for a fair investigation. Or the party should initiate action against him.”

Minister for Communications and Information Technology Gokul Baskota, however, has stood in defence of Poudel.

Baskota, who is also the government spokesperson, claimed during a regular press briefing on  April 11 that Poudel was duped, that he was the victim as he had bought the controversial land unknowingly and that he deserved compensation. Nonetheless, his remarks had become an object of ridicule.

Before leaving for China, Poudel had issued a statement, saying that he had bought the land following the due legal process.

But he cut short his visit and returned home on Thursday, apparently after pressure from party leaders, and issued another statement, a longer one, on Friday, further clarifying that he had bought the land with the money he received after selling eight katthas of his wife’s land in Nawalparasi. He also said he would fully support the investigation of the government and abide by its findings.

“It’s only Poudel talking. The party is not,” said Jagannath Khatiwada, a central committee member. “The public is not convinced yet. The continued silence from the party will damage its, as well as Poudel’s, reputation further.” 

In the meantime, calls are growing in the party that the leadership should call a meeting and discuss the matter seriously.

The party, according to leaders, should have called a meeting of the secretariat or the Standing Committee immediately after Poudel’s name surfaced in the controversial land grabbing issue and should have made its position clear.

Party Spokesperson Narayan Kaji Shrestha told the Post that the party was yet to hold its secretariat meeting. “A meeting will soon take some decision on the controversy surrounding Poudel,” said Shrestha.

One of the biggest land scams had come to the fore after the probe report prepared by the Trital-led team detailed how government land was grabbed by individuals.

While Poudel is on the defensive, neither the party nor its leaders are speaking publicly, except one on Friday, who too made only an oblique reference.

“May the government be successful in taking action against those--whoever they are-- capturing land near the prime minister’s residence,” Bhim Rawal, a Standing Committee member, tweeted on Friday.

Published in The Kathmandu Post: 21-04-2019 06:58

http://bit.ly/2XsgZNF

Ruling party is correcting its ‘flawed’ choice of leaders in district committees

• Party insiders say the issue of hierarchy has become the major bone of contention

- TIKA R PRADHAN, Kathmandu

File photo.

Apr 27, 2019-

Days after the ruling communist party decided to conclude the unification of its district committees, top leaders are under pressure to correct the selection of leadership in at least a dozen districts.

The decision has affected more leaders of the former Maoist Centre compared to the former CPN-UML as the party had two major leaders in its district committees--an in-charge and a convener. When the decision on Nepal Communist Party (NCP) leadership in district committees was taken, the issue of hierarchy was ignored.

In many cases, central committee members have been demoted to district chairs or secretaries and many central members appointed as district secretaries will now have to work under the members of the party’s provincial committees. In some cases, senior leaders of the district have been selected as secretaries while their juniors have become chairpersons.

Party leaders are considering allowing the leaders having such problems to resign and then fill the space with appropriate candidates.

“Party Co-chair Pushpa Kamal Dahal is for allowing them to resign and then get appropriate replacements,” said Devendra Poudel, an NCP Standing Committee member. Dahal has already urged many of them to file a letter declining their position.

A politburo member of the erstwhile Maoist Centre, Shalikram Jammarkattel, is now internal affairs and law minister of Province 3. He is also a central committee member of the unified Nepal Communist Party. He led the Maoists’ Dhading district organisation as convener before the former rebels merged with the UML more than 11 months ago. Now, as per the latest decision, he is the secretary of the NCP’s Dhading district committee.

His chairman in the district is Bhumi Tripathi, a member of the party’s provincial committee.

Asked how the problem would be resolved, Jammarkattel, a proposed politburo member, said the party may come up with a solution.

While Jammarkattel, as per Sunday’s decision, will have three responsibilities--as a  minister, a Central Committee member and the district secretary--other party leaders have been rendered jobless, and this, according to many leaders, is one of the causes of the problem.

Of the eight districts in Province 2, four party secretaries have already rejected the position. They include Bijay Prasad Mahato of Parsa, Yubaraj Bhattarai of Rautahat, Shrawan Yadav of Dhanusha and Dacharaj Wagle of Sarlahi.

Among the four, Mahato is not a central committee member but he rejected the post because the chairman selected for Parsa district committee is someone who worked as a member when he headed the district committee of the erstwhile UML.

Central committee member Dacharaj Wagle, who was selected as secretary of Sarlahi district, had rejected the position outright by organising a press meet at a hotel in Harion.

“When I first heard the name of party secretary I thought it could be some other person with the same name in the district. But after I came to know that the party had selected me for the post, I rejected it organising a press meet on Monday itself,” Wagle told the Post over the phone.

Other central leaders having similar problems include Himal Sharma of Kathmandu, Dadhiram Neupane of Rupandehi, Gopi Achhami of Morang and Dawa Tamang of Sindhupalchok.

While around a dozen former UML senior leaders of their respective districts have been “demoted” to the post of secretary, which leaders of the Madhav Kumar Nepal faction of the party claimed happened because Chairman and Prime Minister KP Sharma Oli was cherry-picking.

Krishna Bhakta Pokhrel of Chitwan is one. A two-time lawmaker and two-time vice-chairperson of the district, he has been selected as the party’s district secretary. Tirtha Budha of Jumla was the district chairman and had also chaired the District Development Committee.

“Since it is an ad-hoc provision, the party should now focus on institutionalising the system at the earliest,” said Bishnu Rijal, a central committee member.

Published in The Kathmandu Post: 28-04-2019 07:00

Federal government is showing no signs of devolving power, chief ministers say

• Province representatives least convinced by prime minister’s promise at inter-state council meeting

- TIKA R PRADHAN, Kathmandu

The inter-state council meeting being held at the Prime Minister’s Office, in Singha Durbar, on Friday.Post Photo: Angad Dhakal

Apr 28, 2019-

Without much headway during the inter-state council meeting, the tussle between the subnational governments and the federal administration seems unlikely to end anytime soon.

Chief ministers of the provinces and representatives of local governments appeared least convinced after Friday’s inter-state council meeting, saying that Prime Minister KP Sharma Oli did not address the issues they have been raising for long.

“Leaders in Kathmandu are still guided by their old mindset and they have not been able to internalise the fact that coordination is key to driving federalism forward,” Prithvi Subba Gurung, chief minister of Gandaki Province, told the Post. “They have been dilly-dallying. They are neither devolving power nor providing resources.”

Friday’s was the third inter-state council meeting in five months.

The inter-state council is a constitutionally guided concept that aims to resolve political disputes arising between the federal and provincial governments as well as provincial and local governments. Article 234 of the constitution envisages an inter-state council led by prime minister with the federal home and finance ministers and chief ministers as members.

One of the major bones of contention between the provinces and Kathmandu is the issue of security arrangements.

Provincials governments have objected to the federal government not only continuing with the chief district officers but also “empowering” them.

Province 2 in particular has prepared its own bill with the provision of having its own “district administrators”--a position parallel to CDOs, in a move that could further escalate the conflict.

The federal government, on the pretext of national security, has registered a bill on peace and security at the federal Parliament, as per which chief district officers will have a key role when it comes to security and law and order matters in the provinces.

Provincial governments say this undermines their role.

Gyanendra Yadav, the minister for law and internal affairs of Province 2, said his government has already registered the bill on provincial administration at the provincial assembly. “The bill has been registered at the provincial assembly after being endorsed by the Cabinet,” Yadav told the Post over the phone.

The bill has a provision to replace the chief district officers with the district administrators.

On Saturday, Home Minister Ram Bahadur Thapa said at a security meeting in Janakpur that Province 2 “cannot have a separate chief district officer as the constitution has not envisioned that”.

But Province 2 internal affairs minister disagrees.

“The home minister should rather read Schedule 6(1) of the constitution,” Yadav told the Post, when asked to comment on Thapa’s remarks.

Schedule 6 (1) of the constitution, which lists 21 state (province) powers, has “police administration and peace and order’ on the top.

Gurung, the chief minister of Gandaki Province, said there was no option for the federal government to amending the bills that empower chief district officers.

He also criticised the federal government for distributing resources on the basis of population and the socio-economic status of the provinces. He has been calling for an equal share of resources for all the provinces.

Prime Minister Oli, during Friday’s meeting which lasted almost nine hours, is learnt to have told the chief ministers and representatives of local governments that he would read up on the matter first.

“The prime minister said the rights given by the constitution to the provinces and local governments won’t be curbed,” said Shalikram Jammarkattel, internal affairs and law minister of Province 3, who attended the meeting in the capacity of the acting chief minister, as Province 3 Chief Minister Dormani Poudel is currently in China with President Bidya Devi Bhandari.

“But the way the federal government functions, it looks like it rather wants to continue to control power,” said Jammarkattel, citing a recent decision of the federal government to recruit temporary teachers.

Schedule 8 of the constitution gives local governments explicit authority to manage school education, as per which local governments are free to hire and fire teachers, develop curricula and hold examinations up to the 12th grade. The federal government has, however, taken a number of steps to curtail their authority.

Province 2 Chief Minister Lalbabu Raut could not attend the meeting because he was busy with his party’s conference.

Friday’s inter-state council meeting was basically called to discuss budgetary issues.

In the previous meeting of the council of December 18, chief ministers had demanded at least 33 percent of the total budget to the provinces.

Oli, it is learnt, has promised to increase the budget.

During the meeting, Chief Secretary Lokdarshan Regmi presented the progress of the federal government regarding coordination among the governments. Though Regmi said there had been 60 percent progress on the 29-point action plan prepared at the last meeting to implement federalism, chief ministers refused to accept it, claiming that the federal government had also reported things that had just been put into the process.

As per Article 235 of the constitution, the government has registered a bill at the federal Parliament on managing the inter-relationship between the federation, provinces and local units.  

Another major concern of  the provinces and local governments was the federal government’s tendency to retain all the authority instead of devolving power.

Many issues being raised by the provinces and the local level have not been addressed yet. The fiscal commission has got only the chief while the adjustment of civil servants is yet to be completed.

“More than 200 rural municipalities and 36 municipalities are without chief administrative officers and engineers,” said Ashok Byanju, chairman of the Municipal Association of Nepal. “Civil servants are yet to reach the local level. We have told the prime minister that the bills being presented at Parliament are intended to curtail the rights of the provinces and local administrations.

Published in The Kathmandu Post: 28-04-2019 07:19