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Sunday, September 18, 2011

GOVT. DEFENDS POLYMER CURRENCY NOTE PRINTING IN AUSTRALIA

GOVT. DFENDS POLYMER CURRENCY NOTES PRINTING IN AUSTRALIA
Kathmandu, 19 Sept.: Defending the printing of polymer notes, the Ministry of Finance told the Commission for the Investigation of Abuse of Authority (CIAA) that the notes were printed as per the Cabinet decision, a highly-placed CIAA source said today [Sunday], The Himalayan Times reports.

“The ministry stated that the printing was in line with the policy decision of the Cabinet and Nepal Rastra Bank tender was within the legal parameter,” the source said, quoting the ministry’s written clarification. The CIAA had taken control of relevant documents from the NRB after it did not furnish a written explanation to the CIAA.

According to the ministry, the Cabinet had approved the printing of polymer notes on January 31, 2002, considering the benefit that polymer notes have over paper notes.

The anti-graft body has been conducting preliminary investigation on polymer notes responding to a report of the Australian Federal Police. The report states that the Australian notes printing company — Note Printing Australia — had bribed NRB officials and former prime minister through Himalayan Bahadur Pandey to get the tender.

Nepal Police had recently forwarded the Australian report to the anti-graft constitutional body for further investigation.

Immediately after getting the report, the CIAA had issued separate letters on August 16 to the NRB and the ministry to provide the details within seven days. The Australian report stated that the printing company had bribed Nepali politicians and the central bank through local agent Pandey while awarding the contract for printing 100 million notes of Rs 10 denomination in 2002 to the printing company.

“Now, we will appoint an investigation officer and begin a thorough probe. We may summon the NRB officials and other officials of then government and do the needful,” the CIAA source added
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