KATHMANDU, March 14: Nepal Police’s Central Investigation Bureau (CIB) has been investigating allegations of fraud involving tourists through fake rescue operations for the past 46 days. However, the probe has struggled to move forward due to a lack of concrete evidence, as the complaints were largely submitted via email and are difficult to substantiate.
Investigators say that, at present, the case largely relies on statements from arrested individuals and conversations with certain people linked to the case. The CIB is probing the detainees under charges of organized crime and acts against national interest.
Officials involved in the investigation admit that the evidence provided by complainants, as well as the inquiry report prepared by the Ministry of Culture, Tourism and Civil Aviation (MoCTCA), has not been sufficient to firmly establish wrongdoing.
“We are in a situation where statements and conversations have to be used as the basis,” said a police officer involved in the probe.
Despite this, CIB spokesperson SSP Shiva Kumar Shrestha insists that the investigation is progressing. “All evidence has been collected,” Shrestha said, adding that the probe has entered its final stage.
Concerns over selective investigation
The investigation has drawn criticism from tourism entrepreneurs who claim that companies most implicated in alleged fake rescues have been excluded from the probe.
Among those reportedly left out are Easy Heli Charter Service and Seven Summit Treks—both previously linked to controversies in Nepal’s tourism sector. Entrepreneurs argue that excluding such companies raises questions about the credibility and impartiality of the investigation.
“Many companies appear to have been left out while only a few are being investigated,” said one tourism entrepreneur. “It looks like certain companies have been targeted while larger offenders remain untouched.”
Investigators are currently focusing on incidents that allegedly occurred between 2022 and 2025, even though concerns about fake rescue operations first surfaced several years ago.
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Findings from earlier government inquiry
In 2018, the MoCTCA formed a study task force led by then Joint Secretary Ghanshyam Upadhyay to examine alleged fraud in tourist rescue operations.
The task force report highlighted irregularities involving several hospitals, including Vayodha Hospital in Balkhu, Grand International Hospital in Dhapasi, Norvic International Hospital in Thapathali, Era Health Center in Sorhakhutte, Swacon Hospital in Battisputali and CIWEC Hospital in Kapurdhara.
According to the report, these institutions issued bills under different headings in violation of medical ethics. The Ministry of Health and Population was urged to conduct further investigation and monitoring.
The report also pointed to alleged irregularities involving helicopter operators such as Air Dynasty, Heli Service, Manang Air and Heli Everest.
In addition, several trekking and rescue companies—including Easy Heli Charter Service, Flight Connexion Domestic, Mountain Rescue Service, Himalayan Social Journey Trekking, Alpine Rescue, Kailash Charter Rescue, Mountain Heli Charter and Eagle Heli Charter Service—were implicated.
However, critics say the current CIB investigation appears to focus mainly on Mountain Rescue Service.
Scale of alleged fraud
According to investigation findings, Mountain Rescue Service Pvt Ltd carried out fake rescues in 171 out of 1,248 recorded rescue cases, allegedly claiming insurance payouts exceeding USD 100 million.
Nepal Charter Service Pvt Ltd reportedly conducted 471 rescues, of which 75 were suspected to be fake, claiming insurance worth about USD 8.2 million.
Similarly, Everest Experience and Assistance Pvt Ltd handled 601 tourist rescues, with 71 cases believed to be fabricated, allegedly claiming insurance payments amounting to USD 1.53 billion.
Long-ignored report
The Upadhyay task force produced a 700-page report detailing alleged fraud in tourist rescue operations and recommending action against several companies. The report was submitted to the Prime Minister’s Office, the Ministry of Home Affairs and other agencies.
Despite the recommendations, no significant action was taken.
The task force included representatives from several government agencies, including the Department of Tourism, Nepal Police, the Civil Aviation Authority of Nepal and the Department of Inland Revenue.
Controversial complaint source
The investigation was triggered by an email complaint reportedly filed by an organization called Travel Assist. However, the organization itself has been accused of fraud.
Its director, Denny Kun, has also faced allegations of sexual misconduct. CIB has not disclosed the identity of the alleged victims or formally clarified who filed the complaint.
Adding to the controversy, police sources say no tourist has filed a complaint claiming they were part of a fake rescue.
Allegations of industry rivalry
Some tourism entrepreneurs suspect that the issue may have been fueled by business rivalries within the tourism sector.
They argue that certain individuals may have used the police investigation to target competitors at a time when the tourism industry was already under strain.
The sector had been hit by disruptions such as the Gen-Z protests held on September 8 and 9.
A broader pattern of alleged fraud
According to the Upadhyay task force report, some travel agencies, in collusion with helicopter companies and hospitals, allegedly served contaminated food to foreign tourists to make them ill. The tourists were then evacuated by helicopter and treated in hospitals, allowing agencies to claim large insurance payments from foreign insurance companies.
The task force recommended action against three helicopter companies, six hospitals, eight travel agencies and several trekking companies for staging fake patients and generating fraudulent bills.
The MoCTCA also reported that some helicopter companies charged excessive fees, issued inaccurate bills, transported multiple tourists on a single flight while issuing separate invoices, and in some cases claimed insurance payments without providing treatment.
“It remains unclear whether the companies mentioned in the report were cleared or whether investigations are still pending,” said one entrepreneur. “At the same time, companies not even mentioned in the report have conducted rescues, but there appears to be no investigation into them either.”
