Nepal,s bank notes linked to huge bribe

Senior Reserve Bank of Australis (RBA) officials have denies knowing about the corrupt activities of its subsidiaries, but the evidence suggests otherwise, write Nick Mckenzie and Richard Baker.

In May 2007, In Nepal, a man well known around Kathmandu for having powerful friends received a surprising message from the Reserve Bank of Australia (RBA's) currency printer. After helping  Note Printing Australia's (NPA)- a company fully owned and overseen by the RBA- win two contracts to replace Nepal's paper currency with the special plastic notes, HImalayan Pande was sacked.

Today, the circumstances , surrounding removal of Pande, who was NPA's lobbyist and agent in Nepal, raises the most serious questions in what emerged as the biggest corporate bribery scandal in Australian history.

The demise of Himalayan Pande as NPA's man in Kathmandu had its genesis in events that took place seven months before he was sacked.

In late 2006, a Royal Commission that found the Australian Wheat Board of paying bribes  to the then Iraqi leader. Saddam Hussein, gave a clear message:  bribing  foreign officials to win contracts was illegal and should  be subject to the full force of the law.

Following  Commission's message, NPA in 2007 began to examine whether it was exposing itself to potential corruption by using overseas agents to convince foreign governments and central banks to buy the RBA's special plastic banknote material and printing services.

To answer this question, it  made a series of inquiries. Soon, some very senior officials at the RBA began to get worried.The RBA board was briefed.

An urgent decision was made to call in the RBA's audit team to do some more checking.What did these inquiries find? The answers were kept secret until today.

Clear allegations of bribery involving NPA were discovered. Several senior government sources, including figures close to the RBA, said the allegations should have been immediately referred to the federal police, for at least one NPA agent had actually admitted to bribing officials to win contract overseas.

An RBA statement admitted Tuesday, the RBA audit team found "serious deficiencies in the company's practices  and controls relating to the use of sales agents".

The concern about overseas agents was great enough to lead to the immediate sacking of Pande and another NPA agent, the Kuala  Lumpur arms dealer Abdul Kayum . Kayum received at least $4 million in commissions from the NPA.The Australian Federal Police is now alleging Kayum used some of that money to pay bribes.

As confirmed by the RBA yesterday, the audit made "no findings regarding illegality" but advised that someone should find out if laws had been broken.

Yet nobody at NPA or the RBA picked up the phone and dialed the police in 2007. Instead, the NPA's board decided to handle the matter internally, They called in a legal firm. Freehills, which concluded  that there was not (a breach of law).

So how strong was the corporate oversight at the RBA's banknote companies?

When NPA sacked its agents, the chairman of its board was Graeme Thompson, the former deputy governor of the RBA. When NPA moved to clean up its act, Thompson resigned, in September 2007.

But the remained chairman of NPA's sister concern - Securency- until March 2008, almost a year after he was told of corruption concerns around the use of agents in Nepal and Malaysia. NPA's managing director , Chris Ogilvy, who knew of those  corruption concerns, also remained on the Securency board until March 2008.

Unde this board's watch, Securency kept using Abdul Kayum as an agent in Malaysia, despite the fact he was sacked by NPA.

Securency sacked Kayum after  a few months, but it kept  using dozens of other agents.

Between 2001 and the end of 2009,Securency paid about $50 million to agents who had asked for their payments to be wired to accounts and shelf companies in offshore tax havens.

It is expected several of the payments to be wired to accounts and shelf companies in offshore tax havens.

It is expected several of the payments made after 2007 will lead to yet more bribery charges against now-former Securency executives.(Only yesterday , the AFP charged a former Securency  executive with bribery over $17.2 million paid to a vietnamese agent between 2004 and April 2008.)

In the middle of the year, NPA and Securency signaled they will admit that they paid bribes to Malaysian officials with the help of one of the men NPA sacked in 2007, Abdul Kayum.

So what of Himalayan Pande? He like many securency and NPA agents, is most likely waiting for police to knock on his door. It has been a long time coming.

Australian printer bribed Nepali officials to supply polymer notes

Local agent of Note Print Australia paid Rs 5.2 million to NRB officials, politicians

Do you remember the poor quality polymer  notes of Rs 10 denomination that were in circulation in Nepal until recently( and have since mostly been with drawn by the cental bank)?

Nine years after the polymer notes, also known popularly as plastic notes, first came into circulation in Nepal in 2002, it has been revealed that the poor quality notes were delivered to Nepal Rastra Bank (NRB) by an Australian printer-Note Printing Australia (NPA) - after it won the printing contract by bribing Nepali  politicians and central bank officials.

A day after the Australian newspaper, Sydney Morning Herald, broke the bribery story, dubbing it " the largest corporate  scandal in Australian History", Nepali officials privy to the scandal  concede that the Australian printer, through the local agent, bribed Nepali authorities to supply the poor quality notes.

According to the newspaper, an audit team that probed the scandal besetting NPA, has confirmed that the NPA agent had bribed officials in Nepal to win the note printing contract. "Our evidence include admissions by the agents that they used commission payments from NPA to bribe officials to secure banknote  printing  contracts  from the central bank," the newspaper quotes a senior central bank official as saying.

An NRB official privy to the scandal said NPA's local agent, Himalaya Pande, promised, and later on paid, local officials and politicians 4 percent of his commission money to win the contract.

The total printing contract was worth AUS $ 3 million (Rs 130 million at 2002 exchange rates), of which Rs 5.22 million (4 percent of the contract  amount)  was paid as bribe to Nepali politicians and central bank officials, according to the NRB official.

Interestingly, following internal evaluations Australian authorities concerned had informed NRB and the commission for Investigation of Abuse of Authority (CIAA) in 2007 about the possible, drawing their attention to the need for a probe.

" We had received a copy of confidential information four years ago; However, no one took action,' the NRB official said.

When contracted, Pande declined to speak in detail but said, "As the case is currently being investigated  by Australian  Federal Police, it is inappropriate for me to comment. Nonetheless , I wish to say I quit as NPA's agent of my own accord and was not sacked as Australian media reported"

Officials familiar with the case told that NPA had used not just bribe money but also diplomatic influence, mobilizing senior Australian Embassy officials in Kathmandu to lobby NRB for printing the polymer notes, something against central bank policy then.

The Embassy officials had met with top NRB and Ministry of Finance officials several times to pressure them for  printing polymer notes of at least one denomination.

The embassy officials had met with top NRB and ministry of Finance officials several times to pressure them for printing polymer notes of at least one denomination.

Dr. Tilak Rawal was governor of NRB when the central bank awarded the contract and received the first lot of polymer notes.

When asked Rawal about the bribery  scandal, he flatly ruled out his own involvement and said, "If anyone proves that I was involved in the case I will pay 10 times the bribe amount."

Niroj Pradhan Is A Local Hero

IN 1995,when floods swept away the rice fields of farmers in Palung, Makawanour, most farmers left the village in search of new jobs in the capital or the Gulf. But Niroj Pradehan, 34, who was 18 back then, started searching for this destiny in the very flood ruins.
   "Everyone in the village was hopeless as they didn't see how they could start cultivating rice again." Niroj says."I thought of an alternative - to start growing vegetables."
   He then gathered some youngsters and initiated cauliflower and cabbage farming. Hard work and patience reaped them good produce; but misfortune struck again in 2000, infecting their cauliflower harvest.
  "Other villagers and this strong-willed friends did not back out and started cultivating eggplant, chili and other vegetable instead.
  In 2005, Niroj formed a farmers, group from which they would borrow and lend money for more modern farming methods. Around that time, they also decided to start off-season farming for additional income.
  Later, with the shares of 400 farmer families, the ground formed the Palung Off-Season Vegetable Farmers' Cooperative Association which has been providing better seeds and medicines for cultivation.
  "The Association also provides a sort of insurance for the vegetables. It guarantees Rs 15,000 as compensation for one ropani of land case a season's produce is damaged'" says Niroj.
  Starting this year, they are also cultivating off-season tomatoes using tunnel method.
  "Tomatoes sold at Rs 3 per during the peak season are sold at Rs 30 when it's off season and it's similar with other vegetable."
   With Niroj's leadership, palung has now become a vegetable supplier to not just Kathmandu but the entire Terai as well."Eight to ten trucks of vegetable leave here everday," he says.
   Since the income level of the local people in Palung has increased, he says,less people now opt for overseas jobs. The positive effects have also spread over the neighboring Daman village, and now a total of 25,000 people directly benefit from vegetable farming.
  For having planted hope and bringing prosperity to the villagers despite dire situations, Niroj was also acknowledged as " Local Hero" by Radio Sagarmatha.
   

Defying Disabilities

BY DEFINITION: Devi Acharya(right),30,is disabled, but that hasn't defeated her willpower.
   The game coordinator at the Nepal Spinal Cord Injury Sports Association, she also leads the women's basketball team of the Association.
  A Sports fanatic from schooldays, Acharya became paralyzed from her chest down after a 2004 accident. Four years of depression and some time at a rehab center, the Butwal native found her solace in sports.
  It has been two years since she has been playing basketball, and now, even swimming. Everyday, unless it rains, she says her team of five, along with two extra players, practices in the nearby school's basketball court in Jorpati.
  She is happy for the fact that other disabled people look up to them and express their wish to play.
  "We can be role models for them and show people the we can do something [despite our disability]," she says.
  But problem persist. Lack of wheelchair maintenance workshops and also being deficient of sports wheelchairs, she said,at time makes playing difficult. But despite that,they are continuing,and according to Acharya, they "are good team."
  Currently, Acharya, along with her teammates, is practicing for the second national games in Butwal in November. As a coordinator for the games, she says her"target is to 10 team and 70 players to Butweal" and make the event a success.
  Acharya, who lives by herself and supports her own living, say sports makes her happy and relaxed and is also a good from of exercise for disabled people like herself.
  She believes that no from of disability should hinder anyone to realize their goals.
  "We have to make our own way," she says,"[And with sport] we're making a way, looking for opportunities and also creating them."    

Lomanthang Palace waiting for it's Renovation

Lomanthang Palace waiting for it's renovation....

John Sandy Associates, Lazimpat has carried objectives of conservation and renovation Lomanthang Palace and it's nearby surroundings and have proposed for renovation of the palace situated at Mustang,Nepal.

Calling out all the contributors 

Please!! contribute your small help towards conserving this monument.

Nepal wrap up Under-19 WC Qualifiers on a high

Nepal Wrap up Under-19 WC Qualifiers on a high

Scotland claim trophy; Ireland, Afghanistan, PNG, Namibia also book tickets Down Under

Source : Himalayan News Service        

        Nepal defeated the United States of Nepal (USA) by 99 runs in their last league match of the ICC Under -19 World Cup Qualifiers at the  Limavady Cricket Club grounds in Limavady, Northern Ireland today. 

        Nepal finished second behind champion Scotland in the 10-team Qualifiers. With seven wins from nine matches,Nepal accumulated 14 points,while scotland claimed the trophy with 16 points. Scotland suffered their only loss of the tournament at the hands of Canada in their first match.

        Hosts Ireland finished third, while Afghanistan, Papua New Guinea and Namibia were other teams in top six earning tickets to the ICC U-19 World Cup to held in Australia next year. The USA and Canada,who finished  behind Namibia on inferior run rate, failed to quality for the World Cup along with Kenya and Vanuatu.

       On Tuesday,Nepal amassed 264-9 in 50 overs and packed the USA to 165 in 44.1 overs. The USA wear hit hard when medium pacer Avinash Karn reduced them 2-2 in the first over. Karn trapped  Cameron Mirza for a golden duck with the fifth ball of the innings and earned the LBW verdict against Abhijit Joshi with the next ball.

       Greg Sewdial denied the hat trick to Avinash, but failed to build much-needed partnership. The USA skipper fell to Krishna Karki for four runs with the team reeling at 15-3 inside six overs.Steven Taylor and Pranay Puri offered resistance with 63-run stand for the fourth wicket before the duo returned to the pavilion in the space of six balls. Taylor, who top scored for the USA with 58-ball 52 with seven fours, fell at the hands of Nepal Skipper Prithu Baskota, while Sagar Pun dismissed Suri(13) reducing the Americans to 78-5.

       Left-arm spinner Rahul BK then came into act taking four of the last five USA wickets to guide Nepal to  easy victory. Rahul finished with 4-24 off 8.1 overs, while Avinash and Prithu claimed two each. Krishna and Sagar also pocketed apiece.

       Earlier, Naresh Buhayer and Pradeep Airee Shared a partnership of 113 runs for the fifth wicket and No.8 Krishna hammered 17-ball 45 as Nepal crossed the 250-run mark for the third time in the event.

Nepal had a bad start when they lost three quick wickets despite openers Sagar and Fijlur Rahaman added 30 runs inside six overs. Pun was first to, caught by wicketkeeper Taylor off the bowling of Salman Ahmad in the sixth over and the 30-1 soon became 49-3 when Rahaman (26) and Prithu (two) were dismissed in the space of four runs. 

       Naresh added 29 runs with Rajesh Pulami (16) for the fourth wicket and was joined by Pradeep.Th duo hammered 113 runs in 126 balls, taking Nepal's scores close to 200-run mark.

       Ahmed separated the pair when he had Naresh stumped by Taylor for 76 runs. Naresh's third  half century of the event came off 94 balls that included five fours and three sixes.

       The dismissal of Pradeep and Rahul brought Krishna at the crease and the tailender hammered shots all over the grounds with Nepal fetching 62 runs in the last five overs.Pradeep hit three fours and as many sixes in his 67-ball 57.

       Krishna and Rupesh Shrivastav (not our six) then added 48 runs  for the eighth wicket in three overs before Krishna's innings came to and end. He struck three fours and five sixes in just 17 balls.

Salman Ahmad and Hammad Shahid took three wickets each of the USA, while Jodhbir Sandhu picked two. Rahul claimed a total of 21 wickets in the tournament and was second to Manny Aulakh-also 21 wickets-just to see the latter better him in average.

  

'I'd call it luck if nothing else'

Lujendra Ojha,the Nepali Undergraduate at University of Arizona who was the first to spot signs of flowing water on Mars, was interviewed through email..

What do you remember of your early life in Nepal and how did that shape your academic ambitions?

Lujendra : I remember being a normal kid in my early life. I remember buying goats with my dad for Dashain, one of the biggest festival of Nepal, playing cricket and football in the streets of kathmandu, blocking the roads during Shivaratri, yet another festival of Hindus of Nepal, doing sutpid acts during holi, the festival of color.All the normal stuff a normal kid normally would do at this stage.I remember reading some science fiction and science books when I was growing up and I credit those for the initial spark that led me to a career of science.

I have never been to my ancestral homi in Doti but I have been to far west Nepal and experienced the simple lifestyle of people in rular Nepal. In my opinion, that sort of lifestyle is the best.

Your sister told us you were average student here. So, what helped you reach the next level in your studies over there?

I was and am still an average student. I did not achieve any milestone in terms of my studies. I wouldn't say that I reached the next level of my studies here. I am still the same student but in the university in science with a lot of opportunities.These opportunities made me who I am today.

What attracted you to geophysics and planetary research?

Lujendra: I was most interested in physics when I was growing up. I wanted to pursue research in theoretical physics and astrophysics but owing to some choices that I had to make I chose geophysics in the end. One of the reasons is that geophysics is more applicable for solving problems directly related to our life. Planetary science was my dream major, but my university does not offer a bachelor's degree in planetary science, so I decided to learn planetary science by actually working in the field.

How did you all reach the conclusion that there may be briny water (slight salty) in Mars?

The research process initially began with the discovery of the so called RSL, "Recurring Slope Linea" (name given to the streaks of gullies and deltas on the Martian surface). After the initial discovery, we started looking for more of these features on Mars visually. I found several more examples of confirmed and probable RSL around Mars. What I also found was that these features were forming only during the Southern Summer when the temperature is around the range of 250-300kelvin (-23 to 27 C) 

The fact that these features only form and grow in the summer implies that these are temperature-related processes. Carbon Monoxide and methane are too volatile around the temperature range.Dry mass flow can explain these features also. But if these features were dry mass flow, they would be found at all latitudes  and not just in southern latitudes. RSL are only found in southern mid latitudes.

Also there is a distinct relationship between these features and the slope aspect. Slope aspect is generally a term used to define which direction these features face.So far a majority of these features have a slope aspect of north. North facing slopes at the southern mid latitudes of Mars get more heat that the polar facing slopes.Also, these features are only found in steep slopes. ( Slopes greater than 30 degree)

All these observations point to one thing, that these are highly dependent on temperature  and that they are geographically constrained. For these reasons and many others, we believe that the most compelling hypothesis is a briny flow.

How does it feel to be the toast of world media and be reconized by as big an institution as NASA?

Lujendra: I feel lucky. It could have been anyone instead of me. It is definitely a proud moment for me. But I know that if I hadn't been lucky enough to spot these features first, I wouldn't  be here. Although as a rational scientist I do not believe in luck, I would at least call my stumbling upon these features luck, if nothing else.

What do you plan to do in future?

I hope to pursue a Master's or PhD program in planetary science. I also play for a local death metal band. I wouldn't mind doing a little touring with them before pursuing further studies.

Do you have anything to say to guys of your age here in Nepal?

Political Chaos back in Nepal seems to be never ending and I think the biggest reason for that is we lack unity. How did India win over the British?. They had a unified goal  to gain freedom. How did the french revolution succeed?. They had  a unified goal to end persecution by the monarchy.

My question to Nepali politicians is: What is our goal? What unites us? And what have we done so far? What will we do to achieve our goal? Never forget: Unified we stand, divide we fall.

To guys and girls of Nepal : The old generation has failed us. Let us not give our future generation a chance to call our generation a failure. Jai Nepal !!

Higher education

 The University of Cambridge is an institute of higher learning.

Higher education, also called tertiary, third stage, or post secondary education, is the non-compulsory educational level that follows the completion of a school providing a secondary education, such as a high school, secondary school. Tertiary education is normally taken to include undergraduate and postgraduate education, as well as vocational education and training. Colleges and universities are the main institutions that provide tertiary education. Collectively, these are sometimes known as tertiary institutions. Tertiary education generally results in the receipt of certificates, diplomas, or academic degrees.

Higher education includes teaching, research and social services activities of universities, and within the realm of teaching, it includes both the undergraduate level (sometimes referred to as tertiary education) and the graduate (or postgraduate) level (sometimes referred to as graduate school). Higher education generally involves work towards a degree-level or foundation degree qualification. In most developed countries a high proportion of the population (up to 50%) now enter higher education at some time in their lives. Higher education is therefore very important to national economies, both as a significant industry in its own right, and as a source of trained and educated personnel for the rest of the economy.