Kathmandu. KATHMANDU: The Commission for the Investigation of Abuse of Authority (CIAA) has filed a corruption case at the Special Court against five persons, including the then chairperson of Gadhawa rural municipality in Dang, on the charge of embezzling Rs 14.15 million.

According to the CIAA, in the fiscal year 2076/77 BS, a contract agreement was signed with Sagoon Construction for the excavation and export of river-based products from the Rapti River area under ward no 1 and 2 at a cost of Rs 28.2 million (excluding Value Added Tax). However, the CIAA has alleged that Rs 14.1 million was waived off as bank guarantee for the second tranche without on-site inspection, measurement and technical report of the excavation work.

The CIAA has accused the then chairman of Sagun Ram Ahir, the then Chief Administrative Officer Lal Bahadur Yogi, the then chief of revenue section Shambhu Chaudhary, managing director of Sagoon Construction and Engineering Pvt Ltd Shahdev Khadka and the representative of the company Bikash Pun to misappropriate the revenue to the provincial government and rural municipality.

According to the CIAA, it has been proved that the defendants had given illegal benefits to the contractors by giving them tax exemption from the village assembly against the existing law and river based management procedures, thereby causing damage to public property.

According to the CIAA, a charge sheet has been filed at the Special Court, Kathmandu demanding imprisonment with a fine of Rs 14.15 million, double the fine and additional punishment as per the law, accusing them of being the offence under the Prevention of Corruption Act, 2059.