Nepal's PM Cleared in Airplane Lease Scandal

Via NY Transfer News * All the News That Doesn't Fit

Friday May 25 11:53 AM ET 

Nepalese Prime Minister Cleared

KATMANDU, Nepal (AP) - Investigators on Friday cleared Nepal's prime
minister of involvement in a bribery scandal that has rocked his government
for months.

An investigatory commission questioned several government officials,
including Prime Minister Girija Prasad Koirala, about a bribery case
involving the leasing of a commercial jet for state-run Royal Nepal
Airlines.

Civil Aviation Minister Tarini Chataut resigned after the scandal broke in
January.

Chief investigator Basudev Lamichane told reporters the prime minister was
not charged in the case but was cautioned to be careful in future business
deals. The commission did filed cases against 10 other people, including
Chataut.

The airline leased the Boeing 767 from Lauda Air of Austria. The state-owned
airline has lost nearly $1.6 million per month because of lack of business
since the aircraft was leased in December, a legislative committee reported.

The opposition says the national airline didn't need another jet but the
government went ahead with the deal because some officials wanted to make
money.

The scandal over the lease of the aircraft has sparked street protests and
demands by opposition parties for Koirala's resignation. Koirala has been
prime minister for most of the 11 years since democracy was introduced in
Nepal.
 
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