Mohan Bahadur Basnet Corruption Case: Ex-Minister Indicted in Rs 3.2B Teramox Deal

Mohan Bahadur Basnet corruption case: The Commission for the Investigation of Abuse of Authority (CIAA) has filed a major corruption case at the Special Court against former Minister for Communications and Information Technology, Mohan Bahadur Basnet, along with 15 other individuals and two private companies. The case pertains to the controversial procurement of the Telecom...

Mohan Bahadur Basnet corruption case: The Commission for the Investigation of Abuse of Authority (CIAA) has filed a major corruption case at the Special Court against former Minister for Communications and Information Technology, Mohan Bahadur Basnet, along with 15 other individuals and two private companies. The case pertains to the controversial procurement of the Telecom Traffic Monitoring and Fraud Control System, also known as TeraMoniX (Teramox). The CIAA alleges that the government suffered a financial loss of approximately Rs 3.22 billion due to misconduct, procedural violations, and abuse of authority.

What is the Mohan Bahadur Basnet Corruption Case About?

The Teramox system was intended to track international call bypass and prevent telecom revenue leakage. However, according to the CIAA, the project was pushed forward without any feasibility study, cost analysis, technical evaluation, or official proposal.

Role of Mohan Bahadur Basnet in this Corruption Case

Mohan Bahadur Basnet, in his capacity as Minister for Communications, allegedly misused his authority by forcing the inclusion of the Teramox project in the Nepal Telecommunications Authority’s (NTA) budget. This move reportedly disregarded internal objections, including an official statement from the NTA that the system was not an immediate necessity. The CIAA concludes that Basnet’s actions breached the Public Procurement Act and undermined regulatory autonomy.

Who Are the Accused?

Government Officials:
  • Mohan Bahadur Basnet – Former Minister and current Member of Parliament
  • Dhanaraj Gyawali – Then Secretary of Law
  • Digambar Jha, Purushottam Khanal – Former Chairpersons of the NTA
  • Tika Prasad Upreti – Member of the NTA
  • Vijay Kumar Ray, Surendralal Hada, Dipesh Acharya – Directors
  • Rewati Ram Panth, Suresh Basnet, Hiranya Bastola, Achyutananda Mishra, Sandip Adhikari – Deputy Directors and Engineers
Private Sector Representatives:
  • Jamal Anouti – CEO of VineRise Solutions
  • Dilip Gurung – Chairperson of Konection Trade Link Pvt. Ltd.
  • Tej Prasad Kharel – Director, Konection Trade Link Pvt. Ltd.

Role of Involved Companies

VineRise Solutions is a foreign technology vendor accused of bypassing official procedures and directly influencing NTA through ministerial channels.

Konection Trade Link Pvt. Ltd. acted as the local agent, allegedly facilitating illegal pricing, irregular contracts, and collaboration in procedural violations.

Legal Charges and Financial Demand

The CIAA’s charge sheet claims that the actions of Mohan Bahadur Basnet and other accused resulted in a government loss of Rs 3,227,899,000. The CIAA has demanded full restitution and proportionate prison sentences for all defendants based on their level of involvement.

Suspension from Parliament

According to Articles 244 and 238(5) of Nepal’s Constitution, Mohan Bahadur Basnet was automatically suspended from Parliament following the registration of the corruption case. These provisions state that any public office holder charged with corruption or serious crimes by the CIAA becomes ineligible to retain office until a final court verdict is issued.

Political Impact and Reactions

The Nepali Congress party has yet to release an official statement. However, the case has triggered widespread discussion regarding ministerial overreach, regulatory independence, and the need for public procurement reform. Political analysts suggest that the Mohan Bahadur Basnet corruption case could be a landmark moment for governance accountability in Nepal.