7-MEMBER JOURNALIST PROBE TEAM TO INVESTIGATE KOURNALIST MURDER

7-MEMBER BODY FORMED TO PROBE JOURNALIST MURDER

Kathmandu, 4 April: Shiba Gaule heads a 7-member committee of journalists
formed Wednesday to probe the murder of journalist Yadav Paudel in Jhapa overnight.
by journalists.
Gaule is an elected chief of journalists.
Paudel was district secretary of Press Union affiliated with NC.
Prime Minister Minister Babruam Bhattarai has condemned the murder.
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NILAMBAR ACHARYA, PRACHANDA MEET

Kathmandu, 4 April: Chairman of the main constitution drafting committee
Nilambar Acharya held discussions
Wednesday morning with Maoist Chairman Prachanda.
The meeting was held as a deadline to of a sub-committee chaired by the Maoist chief to resolve differences on themes of a proposed constitution expired without
accomplished its assigned task.
Acharya is meeting other top party leaders Wednesday to discuss the expiry of
the deadline.
A constitution has to be promulgated 27 May.
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INDIAN ARMY ACHIEF ARRIVES WEDNESDAY

Kathmandu, 4 April Indian Army Chief General Vijaya Kumar Singh will address the closing session Thursday of a South Asian seminar on Disaster Management and Humanitarian Assistance Operation organized by Nepal Army (NA). whchgot underway Tuesday.
Gen. Singha arrives for a two-day visit Wednesday.
He’ll have political meetings before flying back home.
General Singh will hold discussions with, Prime Minister Baburam Bhattarai, Deputy Prime Minister, Home and Defence Minister Bijay Kumar Gachchhadar and Chief of Army Staff General Chhatra Man Singh Gurung.
He’s scheduled to call on President Dr. Ram Baran Yadav.
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HIDC CONFUSED AS REGULATOR YET TO BE NAMED
Kathmandu, 4 April: Management of Hydroelectricity Investment and Development Company (HIDC) has bogged down in confusion as the government has not decided which of its agencies should oversee it—the Ministry of Energy or Nepal Rastra Bank (NRB), Prithvi Man Shrestha writes in The Kathmandu Post..
The government established HIDC to fund large hydel projects and accelerate hydropower development in the country as lack of financial resources has been one of the major stumbling blocks. Though the HIDC has planned to get the go-ahead for its banking activity, its regulatory body has not been determined.
Currently, a team headed by NRB deputy governor Maha Prasad Adhikari has been reviewing a report on HIDC’s investment and recovery policy submitted by a technical team. Adhikari’s group is expected to give the final shape to the policy for the central bank’s approval.
An HIDC board member said that as the central bank has approved setting up the company in principle, it will also okay starting transactions and regulate the company. “As the company won’t be collecting deposits from the public, the central bank may regulate its activities,” said the board member.
However, another official said that the Energy Ministry could handle the company instead of banks and financial institutions registered under the Bank and Financial Institution Act (BAFIA). NRB spokesperson Bhaskarmani Gnawali said that the central bank’s regulating the company will depend on how it functions as an institution.
The NRB legal department had advised against the central bank regulating HIDC. “As NRB’s regulatory job is to protect the interest of depositors, it is not necessary for it to regulate a company that does not collect public deposits,” said Dharmaraj Sapkota, chief of NRB’s legal department.
The biggest concern for HIDC officials is the company’s role in loan recovery after it lends to hydropower projects and the measures to be taken in the case of loan defaults. “That’s the reason why it is taking so long to finalise the recovery guidelines,” said an official involved in reviewing the guidelines.
A member of Adhikari’s team said that they would complete reviewing and preparing the final document within the next two months and submit it to the central bank for approval to start operations. HIDC has deposited most of the funds collected from its promoters with the aim of earning interest while the company prepares to go into business.
Meanwhile, the Employees Provident Fund (EPF) and the Citizens Investment Trust (CIT) have been providing loans to hydropower projects although they have not been practically regulated by the central bank. Last year, the government had asked the central bank to regulate these institutions too, but NRB is yet to do so formally. However, their own independent acts guide them with regard to recovering their lending.
“We are not sure whether a separate act is necessary to ensure recovery of loans,” said an HIDC board member. HIDC officials fear whether the guidelines alone would be enough to stop possible defaults.
For example, the EPF Act 1962 has empowered it to recover loans by foreclosing on property put up as collateral or wealth guarantee if any industry, enterprise, corporate body or employee fails to pay the advance, loan and interest. Similarly, the CIT Act 1991 has given it the power to recover loans.
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