From The Nepali Press Wilful defaulter Ghatana Ra Bichaar, 28 December
FROM
ISSUE #279 (30 DEC 2005 - 05 JAN 2006)
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The Indian government has asked Nepal to pay unpaid bills for military assistance it supplied to the Royal Nepali Army since 2002. Sources in New Delhi say the palace has not responded to repeated requests. The equipment included vehicles, helicopters, machineguns, motors, Insas rifles, ambulances and bulletproof jackets worth IRs 5 billion and was provided on condition that Nepal pay 30 percent of the cost while the Indian government bore 70 percent. The unpaid bills amount to over $26 million, according to reports. But it appears that the government is simply not interested in paying the bill. While New Delhi has not heard from the Nepali government, private Indian companies that sold the hardware are now preparing to drag the Indian government to court because they have not been paid. The firms include Ashok Leyland, Tata Motors, Hindustan Aeronautics and Bharat Electronics, among others. In contrast, the Nepali government has paid Rs 70 billion to the Chinese government for military assistance received a few months ago, according to Nepal Rastra Bank records. The equipment includes 18,000 grenades, arms and ammunition.
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