NRCS prepares for election as corruption files gather dust

The status of Nepal Red Cross Society (NRCS), a charitable social organization, is currently illegal as it has been failing to provide the necessary documents for registration renewal as requested by the District Administration Office (DAO) in Kathmandu for the past five years. Consequently, in Sept 2020, the Kathmandu DAO ordered the NRCS not to hold its annual general meeting (AGM) until further notice. However, to the surprise of many stakeholders, the Kathmandu DAO has now allowed the NRCS to hold the AGM. This decision has taken stakeholders by surprise. They are concerned that the NRCS is on the verge of dissolution due to the lack of organization registration and the confusion surrounding the AGM. Moreover, questions are being raised about the very existence of the NRCS because of political interference and corruption scandals. Nineteen study committees were formed to investigate irregularities within the NRCS, and sixteen of them have already submitted their reports. These reports have unanimously exposed rampant corruption within the NRCS. The International Committee of the Red Cross (ICRC) based in Geneva has also acknowledged that corruption  is rampant with NRCS, posing a challenge to the fundamental principles of humanity, impartiality, and neutrality upheld by the Red Cross movement.

Since NRCS is a social organization, corruption and irregularities within it do not fall under the jurisdiction of the Commission for Investigation of Abuse of Authority (CIAA). Nevertheless, cases have been filed with the Central Investigation Bureau (CIB) of Nepal Police, the Department of Money Laundering Investigation, and the DAO in Kathmandu. However, these bodies have not been actively investigating and making those responsible accountable.

In 2018, a task force formed by the Ministry of Women, Children, and Senior Citizens, through the Social Welfare Council, investigated NRCS activities and uncovered irregularities amounting to Rs 16bn over a span of 10 years. Min Bahadur Shrestha, a member of the National Planning Commission at the time, served as the coordinator of the task force. Between 2008/09 and 2018/19, the NRCS received Rs 15.95bn in foreign assistance. The NRCS audit reveals that Rs 15.61bn was spent during the period. However, the NRCS sought spending approvals for only Rs 2.86bn from the Social Welfare Council. Over the course of 10 years, the NRCS spent over Rs 15bn without seeking approval from the council. Another study committee, led by Laxmi Koirala in 2018, also identified irregularities and corruption within the NRCS. The committee recommended dissolving the working committee of the NRCS and making the office-bearers and members ineligible to hold office for a certain period. Ten years ago, the CIAA instructed the police to recover approximately Rs 20m from office-bearers and members for irregularities in procuring materials for the blood transfusion center. Similarly, a study conducted by the Kathmandu DAO revealed embezzlement of Rs 19.3m during the procurement of land to build a warehouse in Bhaktapur. The land was bought for Rs 63m. Although 84 aana of land was purchased, NRCS records show a shortfall of 4 aana. Furthermore, another committee, led by Mohan Raman Bhattarai, suggested the regulation of organizations like the NRCS. The State Affairs Committee of the House of Representatives also engaged in a serious discussion concerning the NRCS and issued instructions for necessary actions. Between 2014 and 2020, five other study committees were formed, but the government failed to take any action to implement their study reports. Same general secretary for 35 years! Devratna Dhakhwa served as the General Secretary for a long period of 35 years, four months and 14 days. He was associated with the NRCS from 1986 until 2020. Similarly, Dr Jaya Narayan Giri held the position for 18 years, five months and 29 days, assuming the post in 1963 and continuing until 1982. The position of Chairman has also been occupied by individuals for an extended period. Princess Princep Shah chaired the organization for 18 years, eight months and 20 days. Helen Shah succeeded her and held the post of chairperson for seven years, nine months, and 26 days. Ramesh Kumar Sharma served as the chairman for 16 years, three months and 26 days, while Sanjiv Thapa held the position for 13 years, one month and 27 days between 2007 and 2020. Although no longer in the NRCS executive committee, Thapa remains an influential figure within the organization. His close aide, Umesh Prasad Dhakal, currently serves as the executive director. Study reports indicate various irregularities have been orchestrated under his involvement. Despite efforts by the NRCS executive committee to remove him from his position, he continues to hold it due to pressure from certain interest groups. Same leadership in districts for four decades Nepotism has become a hallmark of the NRCS. The central office is filled with relatives of the district chairpersons and other influential figures. The same situation prevails in district chapters, where individuals have held positions for decades. For instance, Rajendra Singh Khadka has been the chairperson of the Bara chapter of NRCS since 1982. Rajendra Man Talchabhadel has been the district chairman of Sindhupalchowk since 1984. The involvement of the same individuals for an extended period has led to the misuse of NRCS resources. Office-bearers have been using NRCS cars for personal purposes, and some have been using NRCS funds to pay the salaries of their drivers and maids. The NRCS administration, led by the executive director, paid Rs 30m to Lama Construction for the construction of the Central Blood Transfusion Center building at Exhibition Road. Since the administration is not allowed to issue checks exceeding Rs 2m, it bypassed the rule by issuing 15 checks of Rs 2m each.