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Two weeks ago, Culture Secretary Modraj Dotel resigned from his post amidst speculation about a controversial Chinese-backed supposedly multi-billion dollar investment to develop Lumbini into a religious and cultural hub.
Dotel didn't say so explicitly, but expressed dissatisfaction over political interference from his Maoist minister. The resignation coincided with intense pressure from the Maoist hierarchy to sanction the Lumbini project even though there were serious questions about its legitimacy.
"He must have known what was going on from the very beginning and resigned because he did not want to become a part of what followed", a senior Lumbini Development Trust (LDT) member told us.
Over the decades many organisations have tried to pour money into Lumbini's development, which is supposed to follow a UNESCO-backed masterplan sketched by Japanese architect Kenzo Tange, to have been completed in 1980. Successive governments have used Lumbini as a cash cow, and didn't do much to further the masterplan.
The latest grandiose plan is the one backed by a Hong Kong based quasi-NGO called Asia Pacific Exchange Cooperation Foundation (APECF) with a slapdash way of functioning that has raised serious doubts about its authenticity. But the Maoist party, especially its chairman Pushpa Kamal Dahal, seems to have fallen for it and even serves in its board.
In June, Chinese state media reported that APECF and the Vienna-based United Nations Industrial Development Organisation (UNIDO) and its Investment and Technology Promotion Office in China had signed an MoU titlted, 'Promotion South East Asian IPA Network'. UNIDO in Vienna has no clue about this supposed agreement, and the plan has raised alarm bells in New Delhi prompting its diplomats in New York to query the UN.
Nepali Times has obtained a copy of the MoU which specifies UNIDO's role as a 'consultant' and APECF as a 'strategic development partner' of Nepal's Ministry of Tourism. The document says the project has been in effect since 15 July with support from the Government of Nepal. The only problem is the rest of the Nepal government doesn't know anything about it.
APECF's vice-chairman Xiao Wunan had led a four-member delegation to Kathmandu in May and signed a 'framework agreement of Buddhist Special Cultural Zone of Lumbini' with Tourism Minister Khadga Bahadur Bishwakarma (pictured above).
The MoU and APECF's website raise more questions than answers. The MoU does not specify committed budget amount or its source, raising questions on the intent and objective of the project and its protagonists. Clause 1 of Article 8 of the MoU, which specifically talks about financial contribution, states: 'the implementation of activities and projects envisaged in the Memorandum will depend on the availability of the necessary financial resources.'
Further, the brief description of the project in Annex document IP/GLO/2011/008 states: 'The program shall lead to billions US dollar investment in Lumbini area, about 171 Km southwest of Nepal's capital Kathmandu.' (sic) However, the same annex shows UNIDO project inputs amounting to 100,000 euros with actual breakdown of costs with a detailed ToR and timeframe.
Amidst serious doubts and misgivings the parliamentary committee formed to monitor the development of Lumbini has asked the government to declare its official position on the APECF project. The vice chairman of the LDT, Karma Syangbo Sherpa, told Nepali Times: "We have not signed any agreement with external bodies that I know of."
Pushpa Kamal Dahal and Krishna Bahadur Mahara attended an AEPCF meeting in Malaysia last week and returned to Kathmandu with board members in the same aircraft from Bangkok. Dahal's son, Prakash, was present at an AEPCF press meet in Kathmandu in which Xiao Wunan was unable to provide convincing answers about AEPCF's funding, governance, or the agreements it says it reached with the government.
"We are still in a preliminary stage of the project and will officially approach the government after we have done our homework."
Narendra Ulak, Deputy Secretary, APECF
"The LDT is not aware about any project involving APECF currently working on Lumbini. We have our own Lumbini Master Plan and we have not signed any agreement with external bodies, not that I know of."
Karma Syangbo Sherpa, Vice Chairman, Lumbini Development Trust.
Anurag Acharya with additional reporting by Dewan Rai
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