<figure><img width="631" height="374" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221109101120/636b70e39c7e80680e0600a0jpeg.jpg" alt=""/><figcaption>The IPPG-CAN clinic in Machermo of Gokyo is located at 4,550m.</figcaption></figure>Two mountain medicine clinics that have saved hundreds of lives of trekkers and porters in the Khumbu region of Nepal have been forced to close down by the local municipality, allegedly in collusion with a helicopter company that profits from rescues.The clinics at above 4,500m in Machermo village on the Gokyo trekking route are run by the <a href="http://www.ippg.net/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=http://www.ippg.net&amp;source=gmail&amp;ust=1579398240231000&amp;usg=AFQjCNH7q41DuDi5a8006hWovABCGQSm9A">International Porter Protection Group (IPPG)</a> and Community Action Nepal (CAN) with support of the Mountain Medicine Society of Nepal (MMSN).The shelter and rescue centres provided free care for porters and local people, which was paid for by charging trekkers who needed treatment for acute mountain sickness. But a new private clinic set up nearby in October 2019 started lifting trekkers by helicopter to a hospital in Kathmandu appears to have pressured the local government to end the agreement with IPPG.‘The business model for the new clinic would appear to be to evacuate as many trekkers as possible to Kathmandu where it is alleged they are often subjected to excessive or fictitious investigations and treatment,’ wrote Nick Mason, Chair of IPPG, a UK-based charity.Volunteer physicians in Gokyo estimate that the new private clinic medevaced up to 50% of patients to a hospital in Kathmandu partly owned by the helicopter company. IPPG used helicopter evacuation of only 5% of the most serious cases.Last year, the Nepal government promised to investigate after <a href="https://www.nepalitimes.com/banner/heli-rescue-fraud-tarnishes-nepals-image/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://www.nepalitimes.com/banner/heli-rescue-fraud-tarnishes-nepals-image/&amp;source=gmail&amp;ust=1579398240232000&amp;usg=AFQjCNGWgJX6aFv-9F0Q6VuLc_7nemt5-w">a major scandal was reported in the media</a> about an insurance scam involving unnecessary evacuation by helicopter of trekkers suffering from altitude sickness. Trekking insurance fraud has been reported in Nepal <a href="https://archive.nepalitimes.com/article/nation/Insurance,361" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://archive.nepalitimes.com/article/nation/Insurance,361&amp;source=gmail&amp;ust=1579398240232000&amp;usg=AFQjCNF4PxRe1ms5BLm4DgfIig0OukttHA">since 2013</a>.The incidence of fraudulent rescues claiming insurance rose since 2015, <a href="https://www.nepalitimes.com/banner/heli-rescue-fraud-tarnishes-nepals-image/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://www.nepalitimes.com/banner/heli-rescue-fraud-tarnishes-nepals-image/&amp;source=gmail&amp;ust=1579398240232000&amp;usg=AFQjCNGWgJX6aFv-9F0Q6VuLc_7nemt5-w">as reported by this newspaper</a> and others. Trekking companies were also said to have collaborated with helicopter companies and hospitals to entice tourists to opt for medical evacuation at an inflated fee, and share the profits.  <img width="800" height="519" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221109101120/636b70e59c7e80680e0600a1jpeg.jpg" alt="">Nepal’s Tourism Ministry said last year it investigated the scams, issued a report and drafted new rules governing search, <a href="http://archive.nepalitimes.com/news.php?id=19077#.XFOgGM8zYnU" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=http://archive.nepalitimes.com/news.php?id%3D19077%23.XFOgGM8zYnU&amp;source=gmail&amp;ust=1579398240232000&amp;usg=AFQjCNG8pUp8vknGaf5Wpj9PwLidOMmDJA">rescue</a>, and <a href="https://www.nepalitimes.com/banner/going-to-great-heights-to-prevent-altitude-illness/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://www.nepalitimes.com/banner/going-to-great-heights-to-prevent-altitude-illness/&amp;source=gmail&amp;ust=1579398240232000&amp;usg=AFQjCNEOYglxxnP6kUtLn6Dry2H7H79dNw">treatment of trekkers</a> to check fraud. But the <a href="https://www.nepalitimes.com/banner/nepal-trekking-industry-in-damage-control-mode/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=https://www.nepalitimes.com/banner/nepal-trekking-industry-in-damage-control-mode/&amp;source=gmail&amp;ust=1579398240232000&amp;usg=AFQjCNFwZk1fXXI_JA-bv0p3beuIrICJNg">rules were never implemented</a>. IPPG said its its doctors faced ‘hostility and abuse’ from local lodge owners with close ties to the new private clinic. Then the Khumbu Pasang Lhamu Rural Municipality refused the IPPG permission to operate in Gokyo Valley starting spring 2020. This means the clinic would have to shut down.In past 17 years the IPPG posts in Gokyo have treated thousands of patients have been treated and saved hundreds of lives of porters and trekkers.‘We have always viewed ourselves as guests of the Sherpas of the Gokyo Valley, having been originally invited into the valley by the local community and the Sagamartha National Park, and it has been a privilege to serve them,’ Nick Mason wrote. ‘We looked forward to the day when we would be able to hand over the rescue posts and porter shelters fully to the Nepalis.’ <img width="900" height="851" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221109101120/636b70e79c7e80680e0600a2jpeg.jpg" alt="">Most porters accompanying trekkers are from lower valleys, and suffer from altitude sickness because of poor acclimatisation. Sherpas and other high altitude guides do not suffer from acute mountain sickness as much. Trouble reportedly started in the 2019 autumn trekking season, when the new private clinic opened and the IPPG health posts started to feel the pressure from locals. Suspicion has fallen on a private hospital in Kathmandu with its own helicopter company that has started opening a string of clinics in the Khumbu, showing that the over-commercialisation of Nepal’s medical sector is now affecting the Everest region as well.Edi Albert a volunteer physician in Gokyo wrote: ‘You can imagine the size of the bills presented to the insurance companies.”

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Khumbu shuts trekker clinics

<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108101136/636a239d9c7e80680e0417f8jpeg.jpg" alt="" width="1500" height="1125"/>Responding to a slew of reports in the international media about <a href="https://www.nepalitimes.com/banner/heli-rescue-fraud-tarnishes-nepals-image/" target="_blank" rel="noopener">insurance fraud in the trekking industry</a>, the Nepal government says it is cracking down on perpetrators, while planning action against an insurance investigator said to be behind the sustained negative coverage.Reports this week in <a href="https://www.nytimes.com/2019/01/25/world/asia/nepal-everest-insurers-fraud.html" target="_blank" rel="noopener">The New York Times</a> and <a href="https://www.independent.co.uk/travel/news-and-advice/nepal-everest-helicopter-scams-evacuation-rescue-travel-insurance-a8745601.html" target="_blank" rel="noopener">The Independent</a> quote a letter written to Minister of Tourism Rabindra Adhikari by Jonathan Bancroft, Managing Director of <a href="https://www.travellerassist.co/" target="_blank" rel="noopener">Traveller Assist</a>, in which he has threatened to get his clients to cut coverage if Nepal does not press charges against 17 trekking agencies, helicopter companies and hospitals it says are involved in claiming insurance for fake rescues.Read also:<a href="https://www.nepalitimes.com/banner/heli-rescue-fraud-tarnishes-nepals-image/">Heli rescue fraud tarnishes Nepal's image</a>, Robert SkinnerBoth stories quote Danny Kaine of Traveller Assist, who is said to have personally delivered the letter to the ministry in which Bancroft bluntly writes: ‘To be clear, this is an ultimatum! If our clients stop issuing travel insurance policies in Nepal … (it) will have a devastating effect on the tourism industry in Nepal, and your country’s reputation.’ (See box below.)<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108101136/636a23a19c7e80680e0417f9jpeg.jpg" alt="" width="181" height="172">The government appears to be taking the damaging media coverage seriously, and called an emergency meeting in Singha Darbar on Tuesday with Tourism Minister Rabindra Adhikari, representatives of the Ministry of Finance, the Central Bureau of Investigation and others.Read also:<a href="https://www.nepalitimes.com/latest/choppers-to-abc-banned/">Choppers to ABC banned</a>, Yuvaraj ShresthaAdhikari told Nepali Times: “We are committed to cracking down on insurance fraud, and set up a Committee last year to investigate. After that, the number of cases of helicopter rescues, especially unnecessary ones, had actually started to drop. Which is why we are concerned by the continued leaks to the international press, and the threatening tone of this letter.”The Ministry of Tourism says its statistics show that there were only 186 helicopter rescues in the autumn trekking season last year, a sharp drop from the 1,532 between March and May of 2018. (See graph below.)In the letter to the minister, Bancroft says his company had issued the 15 February deadline since ‘not a single charge has been laid’ on the companies named in the ministry’s report, which it said were still in business.<a style="color: #989898!important; text-decoration: none!important;" href="https://infogram.com/f3a5c6ea-cddc-4183-b708-ea4f7e14ab05" target="_blank" rel="noopener">Helicopter rescues</a><a style="color: #989898!important; text-decoration: none!important;" href="https://infogram.com" target="_blank" rel="nofollow noopener">Infogram</a>The incidence of fraudulent rescues claiming insurance has risen in the past four years, <a href="https://www.nepalitimes.com/banner/heli-rescue-fraud-tarnishes-nepals-image/">as reported by this newspaper</a> and others. Some trekking companies, in collusion with helicopter charters and hospitals, entice trekkers to opt for medical evacuation at an inflated fee, and share the profits. There have even been rumours of guides deliberately spiking the food of trekkers so they fall sick.Stung by the flurry of reports, the Tourism Ministry set up an investigation committee which issued its report in August. The Ministry then drafted new rules governing search, <a href="http://archive.nepalitimes.com/news.php?id=19077#.XFOgGM8zYnU" target="_blank" rel="noopener">rescue</a>, and <a href="https://www.nepalitimes.com/banner/going-to-great-heights-to-prevent-altitude-illness/">treatment of trekkers</a> to check fraud.However, Tourism Ministry officials themselves admit that the rules have not been enforced because of a lack of manpower. Says Secretary Krishna Devkota: “We are committed to investigate and take action against the guilty. These scams are having a negative impact on the industry ahead of Visit Nepal 2020.”A source at the Tourism Ministry disclosed that last August, after the investigation committee presented its report, a delegation led by Nabaraj Dahal of <a href="http://www.taan.org.np/" target="_blank" rel="noopener">Trekking Agents Association of Nepal</a> met the co-Chair of the ruling NCP Pushpa Kamal Dahal who then put pressure on Minister Adhikari to let those named off the hook.<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221108101136/636a23a29c7e80680e0417fajpeg.jpg" alt="" width="640" height="480">Some of the unscrupulous companies involved in the scam enjoy high-level political protection because they are party donors, offer free helicopter rides during elections, or provide complimentary hospital treatment.Prakash C Lohani of <a href="http://www.alpine-rescue.com/" target="_blank" rel="noopener">Alpine Rescue Service</a> which represents half the foreign insurers says: “The rescue business needs to be better regulated. We need to punish the guilty, and stop maligning the whole trekking industry.”Those involved in fake rescues play on the grey zone in which even physicians are not able to tell if a patient suffering from <a href="https://www.nepalitimes.com/banner/going-to-great-heights-to-prevent-altitude-illness/">altitude sickness</a> or <a href="https://www.nepalitimes.com/opinion/trekkers-with-the-trots/">severe diarrhoea</a>  needs immediate evacuation or will get better by simply descending and taking medicine. Many trekkers themselves agree to be evacuated at the slightest sign of trouble.Read also:<a href="https://www.nepalitimes.com/banner/going-to-great-heights-to-prevent-altitude-illness/">Going to great heights to prevent altitude sickness</a>, Peter Hackett <a href="https://www.nepalitimes.com/opinion/trekkers-with-the-trots/">Trekkers with the trots</a>, David R ShlimRam Sapkota of <a href="https://www.hsj.com.np/" target="_blank" rel="noopener">Himalayan Social Journeys</a> says the real problem is unnecessary rescues rather than fake rescues. “Some trekkers get seriously sick, others pretend to be more ill than they are. <a href="http://archive.nepalitimes.com/news.php?id=2912#.XFOhDc8zYnV" target="_blank" rel="noopener">Up in the mountains no one wants to take a risk</a>,” he adds.After the investigation and new rules, the Tourism Ministry says the number of unnecessary rescues have gone down. Strict enforcement of the guidelines, setting an upper limit for <a href="https://archive.nepalitimes.com/article/nation/Insurance,361">helicopter rescues</a>, a fixed price for hospital treatment, and monitoring compliance would prevent price gouging.“All they have to do to control fraud rescues is to enforce existing rules,” says Rajendra Bahadur Singh of <a href="http://mtnhelicopters.com/" target="_blank" rel="noopener">Mountain Helicopters</a>, who knows of rescues in which charter companies evacuate more than one trekker, but bill them separately. There is also conflict of interest: some travel and trekking agencies represent insurance companies, and approve final compensation payments to themselves.Says mountaineer Kaji Sherpa: “This scandal has tarnished Nepal’s image, and that of the many upright companies here. There should not be a cover-up, we should correct ourselves and book the guilty.”<h2>What is Traveller Assist?</h2>This Ireland-based company works on behalf of international insurance underwriters in Nepal and other ‘difficult countries’ on medical assistance, insurance processing and ‘cost containment’ – a euphemism for investigating and reducing false claims.All stories in the international media in the past year exposing insurance fraud in Nepal’s trekking industry quote <a href="https://www.travellerassist.co/" target="_blank" rel="noopener">Traveller Assist</a>’s Danny Kaine, an ex-soldier and a frequent Nepal visitor. This week, Kaine is said to have delivered a letter from Traveller Assist Managing Director Jonathan Bancroft addressed to the Minister of Tourism Rabindra Adhikari in which he has threatened to get his clients to stop issuing coverage for Nepal after 15 February unless those guilty of fraudulent rescues are charged. The letter was leaked to international media and got wide coverage.Ministry officials say they are now strictly monitoring unnecessary rescue flights, and claim that the numbers have come down. “We are surprised by these damaging leaks to the international press at a time when we were cleaning up the industry,” said a Ministry official. “We have taken note of the threatening tone of the letter. Who are they to be giving an ultimatum to the Government of Nepal on behalf of their clients?”Indeed, reputable agencies and hospitals in Nepal, while admitting there are dodgy companies involved in insurance scams, accuse Kaine of writing them emails soliciting all insurance business for himself. Ministry officials also refuted Kaine’s claim that he has an agreement with the government to uncover rescue fraud. The Police Central Investigation Bureau is reportedly probing Kaine’s activities in Nepal, and confirmed that he flew out this week.Many media reports quote Traveller Assist’s statistics on the fraudulent rate for the 3,200 helicopter rescues in 2018. Doctors specialising in high altitude medicine interviewed by Nepali Times say that even if a company had access to so many medical records of rescues, it would still be difficult to determine the exact condition of the patient, and whether a rescue was necessary or not in cases of Acute Mountain Sickness.In an interview in Kathmandu last week, Kaine denied writing emails to trekking agencies and hospitals, and demanded to see them. He added: “I don’t have any personal interest in this, but Nepali companies are cheating American, British and Australian insurance firms as reported in the international media. If the guilty are not charged, we will increase international attention on this issue.”In a separate note to Nepali Times on 29 January, Kaine said the emails about him were ‘fabricated … by one of the companies named in the fraudulent investigation’. He went on to accuse this paper of ‘acting on behalf of the companies accused of fraud … a very dangerous precedent to set for a journalist from a respected news agency in Nepal’.Earlier, in answer to a simple email query about whether Kaine really worked for Traveller Assist, Jonathan Bancroft was needlessly abrasive, and accused this reporter of trying to play him off against Kaine. Bancroft went on to add: ‘Mr Sharad, after asking some questions in the industry in Nepal about you … (it) _gives me the inclination to no longer communicate with you or your organization…’.

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Nepal trekking industry in damage control mode

<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221107161120/636922949c7e80680e03a137jpeg.jpg" alt="" width="1400" height="1050"/><figcaption>PICS: RESPONSIBLE ADVENTURES</figcaption></figure>Widespread international coverage of an <a href="https://archive.nepalitimes.com/article/nation/Insurance,361" target="_blank" rel="noopener">insurance scam</a> in Nepal that involves some helicopter companies, private hospitals and trekking agencies has hurt the country’s image abroad, and impacted an industry just recovering from the <a href="http://archive.nepalitimes.com/blogs/kundadixit/2015/05/27/a-month-that-felt-like-a-year/" target="_blank" rel="noopener">2015 earthquake</a>.Nepal’s government, in responding to an AFP exposé of malpractice earlier this year, may have made things worse with a slapdash report that accuses everyone of being in on the scam.There is evidence that some trek organisers, hospitals and helicopter companies in Nepal connived to create fake medevacs of trekkers, or sometimes deliberately made hikers sick, so that they could collect and share insurance compensation.Insurance watchdog <a href="https://www.travellerassist.co/" target="_blank" rel="noopener">Traveller Assist</a> claimed its own investigations showed that 35% of the 1,600 helicopter rescues in Nepal this year were fraudulent, costing up to $4 million. The company said it had intercepted and stopped 160 of the claims. The cost was serious enough for some international travel insurers to give the Nepal government till September to do something about it.Reacting to the ultimatum, the Ministry of Culture, Tourism and Civil Aviation formed a fact-finding committee last month to investigate how insurance companies had been defrauded with fake medical bills and fake rescues, with kickbacks sometimes being shared with trekkers who pretended to be sick.Only four pages of the aforementioned report were leaked to the media, naming 13 companies allegedly involved in the scam, including three helicopter operators, four hospitals and eight trekking agencies. It went so far as to make the impractical suggestion that only the <a href="https://www.nepalitimes.com/here-now/nepal-army-inc/" target="_blank" rel="noopener">Nepal Army</a> conduct helicopter mountain rescues.“The investigation itself needs to be investigated, the findings were as fake as the scams that were probed,” stated Rajendra Bahadur Singh of the Airline Operators Association of Nepal. He added that airlines were never asked about the questionnaires they filled out or data provided about their rescues. “What kind of investigation was this, without any follow up, only conclusions based on assumptions?” Singh asked.There is speculation the investigation was conducted to target selected companies while letting the real <a href="http://archive.nepalitimes.com/news.php?id=19147#.W6N5TM4zbIU" target="_blank" rel="noopener">culprits off the hook</a>. A trekking company founder Nepali Times spoke with feared the process had tarnished companies which are not after kickbacks as guilty, while influential people with political protection would walk free.<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221107161120/636922979c7e80680e03a138jpeg.jpg" alt="" width="900" height="851">Ethical trekking outfits, transparently-run hospitals and helicopter companies that follow rules appear to have all been lumped together with the fraudsters.“The rot goes right to the top, so they will make a few examples of the small fries, while the big fish will keep doing what they were doing,” the source said.One of the hospitals named in the committee report is <a href="http://ciwec-clinic.com/" target="_blank" rel="noopener">CIWEC Hospital</a> which mainly treats expats and tourists in its clinics in Kathmandu and Pokhara. Medical director Prativa Pandey hosted a media briefing recently to clarify her hospital’s stand.“All we have done is take care of patients who come to us or who are sent to us by insurance companies, Nepal should be proud of its helicopter rescue pilots who put their own lives at risk to save lives,” Pandey said.<img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221107161120/636922999c7e80680e03a139jpeg.jpg" alt="" width="800" height="519">Pilots and their machines are working at their performance extremes in the topography and high altitude of the Himalaya. Last week, Capt Nischal KC, a veteran of many daring mountain rescues, was killed with five others when his chopper hit a forested mountainside in Nuwakot.Pandey said the report has implicated parties, sullying hospitals like hers, with the mainstream media labelling everyone guilty without due process. Releasing only parts of the report, implicating certain companies and hospitals and not being consistent with facts, was a trial by media “based on assumptions and predjudice”.Rajendra Bahadur Singh, also managing director of <a href="http://mtnhelicopters.com/" target="_blank" rel="noopener">Mountain Helicopters</a>, agrees: “Those companies listed in the report have had their names tainted, who will take the blame and compensate them?”The negative publicity has already led to some cancellations by trekking groups booked for the autumn season.It is not just the companies but Nepal’s international image that has been smeared. Trekking agencies in Pokhara say they have been getting cancellations from groups already booked for the autumn season.<h4>How to commit insurance fraud</h4><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221107161120/6369229c9c7e80680e03a13ajpeg.jpg" alt="" width="1400" height="1050">More than 10% of the 900,000 visitors to Nepal last year went <a style="background-color: #ffffff; letter-spacing: 0.01em;" href="http://archive.nepalitimes.com/article/business/trekking-in-nepal-booming-but-face-stiff-competition-from-underpricing-and-road-network,1703" target="_blank" rel="noopener">trekking</a>. With such a large number on the move, altitude sickness, infections and accidental falls are frequent. Since <a style="background-color: #ffffff; letter-spacing: 0.01em;" href="https://archive.nepalitimes.com/article/nation/trekking-trails-not-as-empty-as-expected,2676" target="_blank" rel="noopener">trekking routes</a> are usually remote, hikers in genuine emergencies are evacuated by helicopters to Kathmandu. Nepal has an advanced rescue network.Most rescued trekkers are really sick. But it is often difficult to determine whether hikers suffering from Acute Mountain Sickness (AMS) will get better by descending or if they need to be medevaced. Since there is room to fudge it, greed and competition has brought together some private helicopter companies and hospitals to cheat with false claims.In 1989, there were 75 rescues per 100,000 trekking permits. By 2000 the number had soared to 373 per 100,000. In the past year, there were 3,000 rescues per 100,000 trekkers. (See graph)“From a medical point of view, the most challenging aspect of helicopter rescues is confirming the need for rescue after the person is back in Kathmandu … the rescue may have been totally legitimate, and yet the patient may have improved dramatically since the moment the rescue was requested,” wrote Prativa Pandey in 2013, in a prescient article for for the Himalayan Rescue Association magazine.“Financial reward for requesting a helicopter rescue could certainly be an added incentive.”Pandey is a physician at CIWEC, which treats many sick tourists, and says the threshold for heli-evacuation has decreased substantially since domestic aviation was commercialised. Before 1990, all rescues were performed by Royal Nepal Army.Studies have shown that there has not been an increase in the proportion of trekkers suffering from AMS, but the numbers of rescues of trekkers with altitude sickeness has soared. Most symptoms can be alleviated by descent, while more serious pulmonary or cerebral oedema require emergency rescue.However, a Nepali Times investigation showed that there are trek leaders who insist on a chopper rescue at the slightest complaint of headache or nausea. Some helicopter companies are partly owned by private hospitals in Kathmandu, and the fake <a href="http://archive.nepalitimes.com/article/nation/insurance-post-earthquake,2646" target="_blank" rel="noopener">insurance </a>claims are shared, and kickbacks offered.One trekking agent who helicoptered a genuinely sick client from Khumbu to a well-known private hospital in Kathmandu last year was taken aside and offered an envelope containing Rs150,000 in cash – he was told it was his ‘commission’ for bringing the patient.This spring, a trekking group leader on Island Peak ordered a helicopter from Kathmandu to evacuate a sick trekker. The pilot brought along 10kg of unsolicited chicken as goodwill payment for the rescue. Trekking groups say such ‘bribes’ are standard operating procedure.There are horror stories about some trekking guides deliberately making clients sick by contaminating their food. But there are also lazy trekkers who do not want to walk back, so pretend to be sick and are helicoptered out with the active connivance of their agency. Stiff competition, undercutting in the tourism business, and the slim margins for helicopter companies, has made insurance scams too tempting for some to resist.Private hospitals offering kickbacks to helicopter companies is just an extension of their standard practice of paying ambulance drivers who bring patients to the emergency.There have been many heroic rescues in the Nepal Himalaya. Airlines have invested in high performance helicopters that can make rescues up to 6,500m. Many hikers and mountaineers would have died if the option were not there. During the 2015 earthquake, 140 climbers were rescued from above the Khumbu Icefall on Mt Everest. In 2010 three Spaniards were winched up by long-line at 6,950m on Annapurna IV.Such necessary rescues are now in jeopardy because of a few unscrupulous operators. The government, which should regulate the business, has botched its investigation by implicating everyone, but punishing no one.<h4>Frequent fliers</h4>Here are some ways unnecessary helicopter rescues are organised for fake insurance claims:1 Trekkers too lazy to walk back the same way down pretend to be sick, and with active connivance of their trekking agency, order a helicopter ‘rescue’.2 Trekkers with mild symptoms of altitude sickness are persuaded or pressured to be choppered out to Kathmandu.3 Unscrupulous trekking groups contaminate food, or force group to climb faster than recommended so they get sick.4 Hospitals offer kickbacks to trekking groups and lodges which fly patients to them. Some hospitals own shares in helicopter companies and vice-versa.5 Overcharging for helicopter rescues.6 Hospitals ordering unnecessary tests so billing is heftier.Read also:<a href="https://www.nepalitimes.com/banner/kleptocrats-of-kathmandu-and-kualalampur/" target="_blank" rel="noopener">Kleptocrats of Kathmandu and Kuala Lumpur</a><a href="http://archive.nepalitimes.com/news.php?id=19077#.W6N5yM4zbIU" target="_blank" rel="noopener">Rescue in the Himalaya</a><h2>Reader's response</h2>Allow me to add some information to readers about the development of unnecessary rescues in Nepal.When climbing near Langtang in 1976, the lack of dependable communication required the support team to be able to physically carry someone out (or, at least, to a lower altitude) rather than waiting too many days for a helicopter to come. The required extra level of self preparedness was not guaranteed, as it meant more expenses and many groups were unwilling or unable to do that.Even in 1981, while instructing at the Nepal Mountaineering School in Manang, a severely ill trekker whom we accidentally stumbled across,necessitated my borrowing the Pradhan Panch’s horse to ride in haste to Humde Airstrip, where the Police Post havildar had to pedal on an‘exercise cycle’ to power the telegraph and request heli-aid from Kathmandu and, somehow to guarantee payment from a dying patient (I covered that with assistance of my colleagues). The flight, with weatherissues, happened only 4 days later. It was, literally, borderline survival for the trekker.As from the mid 1990s, heli-rescues began to be shared by the military with private operators and new helicopters were enabled to go to higher altitudes. This period inchoated a gradual change in high altitude rescues. Like the advent of the cross-country ski patrol in Canada, many users of the hills now felt it less necessary to be as prepared as before, as rescues were relatively easy to obtain. Rescue flight insurance was now de rigeur and, as with most policies and regulations in any country or company, some people devise ways to circumvent and misuse facilities and services.From my experience of having been on 12 climbs in Nepal, plus years of work in high altitude regions, the reasons noted in the article are all correct. Naturally some aspect could happen only with certain individuals or companies; but, by and large, all the possibilities on the cyclicalpicture have been or can be present.In one of my consultancies, with the Ministry of Health and Ministry of Tourism and Civil Aviation in 1994, I had been requested to look into and report on the establishment of a comprehensive rescue/medical system in tourist areas. One of my recommendations at that time was improved and mandatory training for local guides, monitoring of credentials of foreign leaders, clarity on the decision-making process when there is both a local as well as an expatriate leader. And ethics must be an element of any training with the tourism industry.-Ivan Somlai

Heli rescue fraud tarnishes Nepal’s image

The monsoon has got bad press because Nepal’s tourism operators actively told visitors to avoid <a href="https://nepalitimes.com/opinion/managing-the-monsoon?%2F">the rainy season</a>. It is time to change that. The reason can be found right here in the vast alpine meadows of Central Nepal where this time of year you can walk on velvet grass of pastures abloom with delicate pink, red and yellow flowers as the mist rolls up the valley. There is no sound except the hum of bumble bees. &nbsp;&nbsp; There are dozens of places across high Nepal called Chaurikharka, which means yak pasture. But this particular Chaurikharka in Rukum East located at an altitude of 4,000m stands out for its serene beauty, rustic charm and bucolic setting. There is just the occasional chime of <a href="https://nepalitimes.com/here-now/when-yaks-go-so-does-culture">yak bells</a> in the distance, and the sharp whistle of herders corralling sheep. &nbsp;&nbsp; The grass shoots are so fragile that one hesitates to step on them, the rounded ridges appear and quickly vanish in waves of mist. With the<a href="https://nepalitimes.com/here-now/before-the-next-monsoon"> arrival of monsoon</a>, these meadows are a soothing shade of green dotted with millions of <a href="https://nepalitimes.com/review/the-anatomy-of-a-flower?%2F=">multi-coloured flowers</a>. Until very recently, it took a week or so to hike up to places like Chaurikharka, but with the expansion of the road network even to these far-flung mountains in the lap of Dhaulagiri, they are much more accessible. It is just a three-hour uphill from the Mid-Hill Highway on the border between Baglung and Rukum East.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250802130828_a0b06b494d751b2144ffbbf10894ea64b29e8aed844bc8c66171783abfaf4e16.jpg" data-media-id="editor_4" data-image-id="20250802130828_a0b06b494d751b2144ffbbf10894ea64b29e8aed844bc8c66171783abfaf4e16" data-rendition-name="original" width="2048" height="1365" loading="lazy" alt="Visit Nepal in the monsoon"> </figure>  Purists would say that such easy access devalues the sanctity of these remote high meadows, but it also means more people will be moved to treasure the experience, appreciate <a href="https://nepalitimes.com/banner/natures-fragile-gift-to-nepal">the value of nature </a>so they can take steps to protect it.&nbsp; To be sure, the <a href="https://nepalitimes.com/here-now/deadly-monsoon-in-nepal-turns-deadlier">monsoon season can be challenging for road travel</a>. The roads are rough even at the best of times, and in the monsoon they become muddy and treacherous, often blocked by<a href="https://nepalitimes.com/news/monsoon-deluge-in-nepal"> landslides</a>. But that could be precisely the kind of adventure that the more intrepid visitors crave. Improved road connectivity has already made Chaurikharka and places like Badimallika &nbsp;and other sacred lakes in the mountains of western Nepal popular with domestic tourists. What is driving this traffic is the urge to go to exotic new places and share videos and selfies on social media. Several of Nepal’s travel vloggers have visited Chaurikharka and popularised the place, enticing followers on TikTok or YouTube to retrace their footsteps. But even as they become more popular, these fragile and once-remote places should be protected from over-tourism.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250731110736_f97110b7cdc3e7f80d5877690948fc9f4c95a09c583deb23b07355491e6c5446.jpg" data-media-id="editor_8" data-image-id="20250731110736_f97110b7cdc3e7f80d5877690948fc9f4c95a09c583deb23b07355491e6c5446" data-rendition-name="original" width="1083" height="699" loading="lazy" alt="Visit Nepal in the monsoon NT"> </figure>  <h2>INCREASING FOOTFALL</h2> Chaurikharka is located in Bhume Rural Municipality of East Rukum, near the scenic valley of Dhorpatan in Baglung district. Even in the <a href="https://nepalitimes.com/banner/monsoon-culture">middle of the monsoon</a>, there is a steady stream of Nepali hikers trooping to these high pastures – especially during festival days like Saune Sankranti which this year was on 17 July and actually marks the auspicious beginning of the monsoon here. “This year the rains have not been as heavy and there have been some clear mornings when we could see everything from Dhaulagiri to Machapuchre,” says Khageswar Bhandari, who trekked up here from the road. “The flowers, the greenery and the snowy mountain views make this an incredibly unique place.”&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250802130824_1b9e26f2e9853fdfe69154bb42a7c9ea6da4bf4940efc1da99b304dcfbd7d3d9.jpg" data-media-id="editor_10" data-image-id="20250802130824_1b9e26f2e9853fdfe69154bb42a7c9ea6da4bf4940efc1da99b304dcfbd7d3d9" data-rendition-name="original" width="2048" height="1152" loading="lazy" alt="Visit Nepal in the monsoon"> </figure>  Chaurikharka is worthwhile to get to in any season, but it has a different charm during the monsoon. Word has spread and because it is now easy to get to from Baglung or even Pokhara, people have been flocking here.&nbsp; “Holidays and Saturdays see the largest crowds, with up to 500 visitors every day,” says ward chair Mankaji Pun of Bhume.&nbsp; There was a time not too long ago when local herders brought sheep, goats, cows, buffaloes, horses, and mules to graze here during the monsoon. Although there are still livestock around, animals have been replaced by visitors taking selfies. Read also: <a href="https://nepalitimes.com/here-now/the-monsoon-and-nature-s-arithmetic">The monsoon, and nature’s arithmetic</a>, Tom Robertson Ward Chair Pun says infrastructure development is his main priority. A foot trail to Chaurikharka was built last year by the Tourism Division Office in Kohalpur, but access via the Raniwas-Koipa road section still remains challenging.&nbsp; “If we get more budget, we can improve the road and facilities to make Chaurikharka the main tourist attraction of this region,” says Bhume Municipality Chair Hom Prakash Shrestha. “After that, we hope to promote Chaurikharka as a top tourist spot.”&nbsp; Economic activity is also picking up with the arrival of visitors, but there seems to be a need to manage the makeshift sheds made of corrugated sheets that spoil the beauty of the place. Tea shops and lodges are also available but facilities are basic. Kuldeep Neupane took a three-day trip from Ghorahi in Dang to visit Chaurikharka recently, and says: “This is an ideal trip to make a quick getaway and let nature recharge your mind and body. And it is much more fun with a tent, to watch the sunrise over the Himalaya or the mist blowing in.”

Visit Nepal in the monsoon

Two weeks ago, Prime Minister KP Sharma Oli announced jubilantly on social media that Nepal had achieved a historic annual growth of 81.8% in exports. He was right. Nepal’s trade did take a great leap forward compared to last year. But the dramatic rise was mainly due to processed soya bean oil.&nbsp; However, Nepal does not produce the edible oil it exports. In fact, the soya and palm oil that make up 44% of total exports are imported from Southeast Asia and South America, and simply re-exported, mostly to India.&nbsp; Under the SAFTA (South Asian Free Trade Area) Agreement, Nepal can export products to India duty-free if it has at least 30% value-added. Nepal’s traders have taken advantage of SAFTA even though the edible oils they export do not reach that value addition threshold. “The 30% value addition requirement is often only on paper,” says former commerce secretary Purushottam Ojha. “It is clear that simply packaging edible oils in Nepal does not fulfil the terms of the trade agreement.” Prime Minister Oli is aware of this, and even called Nepal’s export figures “fake” at an earlier event. The government is relying on other iffy figures to suggest that Nepal’s economy is strong and getting stronger. For example, the value of imports rose by 13.25% in 2024-25 compared to the previous fiscal year.&nbsp; Some of it was due to a jump in electric vehicle imports worth Rs 31.76 billion, but mostly it was because more wholesale soya oil was imported to be re-packaged and sold in India. The very fact that the government boasts about increased imports is an indication of how much it relies on taxing them for revenue. Touting such trade figures cannot be the basis to claim an economic rebound.&nbsp; “A jump in the value of imports can be interpreted as an increase in purchasing power, but it is not evidence of a stronger economy,” says economist Keshav Acharya. “Even though imports have increased, Nepal's domestic production and productive capacity have not improved.” Nepal Rastra Bank's semi-annual economic activity study report shows that industrial production was down in the first six months of the last fiscal year. This despite an increase in the number of new industries registered and investment commitments. Out of the Rs70.2 billion proposed foreign investment, Nepal received only Rs17.9 billion last year.&nbsp; Meanwhile, the rate of capital formation was limited to 24% last year, which is lower than the year before, suggesting that new investment, job creation and economic expansion all declined. If domestic production does not improve in relation to this year’s inflated trade figures, the outflow will put pressure on foreign exchange reserves like it did three years ago. At that time, Nepal borrowed from the IMF under its Extended Credit Facility Program to kickstart the economy.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025080710084_2cdaaa5795828c4a7de93a0604ba884ef0a8b8f24cccd939f6c24e279ab6058f.jpg" data-media-id="editor_0" data-image-id="2025080710084_2cdaaa5795828c4a7de93a0604ba884ef0a8b8f24cccd939f6c24e279ab6058f" data-rendition-name="original" width="1633" height="723" loading="lazy" alt="Nepal's bubble economy NT"> <figcaption>Source: NEPAL RASTRA BANK</figcaption> </figure>  The macroeconomy is on firm footing with foreign exchange reserves at a comfortable Rs2,520 billion in May, up 23% from last year. This was largely due to remittances, and partly due to a falling NPR exchange rate. Real estate transactions and the stock market index have also been climbing as a result of government policies to revive the sector.&nbsp; However, former executive director of Nepal Rastra Bank Nar Bahadur Thapa cautions: “This is not organic growth, it is the result of deliberate policy decisions to relax rules on real estate and stock markets transactions.” In reality, the sharp rise in land prices have increased the cost of production, and excessive monetisation of the real estate has become the main source of Nepal’s economic woes. The central bank has announced a slew of new policies, shifting the terms of loan repayment for industrialists and entrepreneurs, reducing interest rates, and injecting more working capital — all designed to inject adrenaline into the real estate and stock market sectors.&nbsp; When he was governor, Mahaprasad Adhikari made several financial reforms during the latter half of his tenure to stimulate the economy, including tightening credit flow.&nbsp; By the last fiscal year, additional financial reforms had resulted in a credit expansion rate of around 8%. As the pace of credit expansion slows, real estate prices have started to fall. This is actually beneficial to the economy, because it lays the foundation for improvements in land-related entrepreneurship, production, and the construction sector. Just because real estate and the stock market transactions increase, it does not indicate an economic turnaround — especially when manufacturing and productive sector continues to languish.&nbsp; “It is foolish to believe that real estate and the stock market have magically revived our economy. Agriculture employs more than half of the population, but it is in decline. Investment in the productive sector has not increased, and job creation has not increased.” Two years ago, Nepal’s industrialists, business leaders, and political leadership predicted a recession amidst a sluggish business, declining market demand, large-scale job loss, and a shrinking real estate and share market.&nbsp; Still, the economy grew by 3.36% in fiscal year 2023/24. In fact, Nepal’s economy has grown nominally over the last two decades even when all sectors of the economy are in decline.&nbsp; Says Keshav Acharya: “The growth in trade, real estate, and the stock market are bubbles. The real economy remains stagnant.”

Nepal’s bubble economy

The final investigation report on the crash of a Saurya Airlines jet on 24 July 2024 at Kathmandu airport has revealed flaws in the carrier’s technical operation procedures, poor monitoring by the Civil Aviation Authority of Nepal (CAAN) and gaps in the airport’s emergency response. Eighteen people including a child were killed, and only the captain survived as the plane plunged seconds after takeoff, crashing within the airport perimeter. This was the latest in a series of aircraft accidents in previous years, and further tarnished Nepal’s already poor aviation safety record and contributed to the country being retained in the EU’s air safety list. &nbsp;&nbsp;&nbsp; The circumstances in the Saurya crash were different from the Yeti Airlines crash in Pokhara in January 2022 that killed all 72 on board, and two Tara Air crashes in February 2016 and May 2022 on approach to Jomsom that together claimed 45 lives. However, all four tragedies were a result of negligence of carriers and crew, failure to follow procedures, regulatory slackness, and overconfidence. The Saurya crash, especially, was a glaring example of how an ailing airline broke its own rules to allow passengers, including non-employees, a joy ride to Pokhara on a maintenance ferry flight. CRASH REPORT The Final Investigation Report prepared by the Aircraft Accident Investigation Commission and released on the first anniversary of the crash last week carried a long list of rules that were ignored or broken, and of regulatory failure. The first mistake was to cram spares, tools and inflammable chemicals needed for the aircraft’s C-Check in Pokhara into the cargo hold flouting its own ground handling procedures.&nbsp; There was no check-in of passengers, some of whom were not even employees – even though regulations say only flight and maintenance crew should be on board a maintenance positioning flight. Many brought their own luggage into the plane and stored it unsecured in the cabin. There was no flight attendant to give a safety briefing to passengers. The load and trim charts given to the flight crew were rough estimates, and the total takeoff weight of the plane was 18,300kg plus or minus 200 kg. That would still have been all right, but there was a glaring mistake in the speedchart Saurya pilots were using to calculate the minimum takeoff speed (known as VR), and it had been wrong ever since the 21-year-old aircraft entered service with the airline in 2017. FAULTY DATA&nbsp; The Commission probed Flight Data Recorder inputs from previous takeoffs of the Canadian-built CRJ200-LR in 2023-2024 and found that the undetected error in the speedchart had caused the plane to pitch up at an abnormal rotation rate at least 18 times on previous takeoffs.&nbsp; Any rotation rate more than 3°/sec is regarded as unusual. But on at least two occasions, this aircraft with tail number 9N-AME had rotation rates of 5.8°/sec and 5.5°/sec, the second one was when the pilot who survived was flying in March 2024.&nbsp; On this particular day, the plane’s rotation rate was 6.5°/sec, causing it to go into a deep stall soon after takeoff, the Commission report said. Essentially, the plane was not flying fast enough down the runway to take off safely.&nbsp; It is not yet clear whether excess weight, unsecured luggage, wrong centre of gravity were also factors, but relying on a faulty speedchart for the given takeoff weight, the captain flying pulled back on the yoke before the plane had reached takeoff speed and at a pitch angle that was too steep. The investigation report says the plane then went into a deep stall and started banking right with the stick shaking. At this point, the flight officer on the right hand seat is heard on the cockpit voice recorder saying: “Whoa, whoa, whoa. Sir, Sir, Sir…” It then banked left before the pilot flying turned the plane sharply to the right again in an evasive action to avoid the parking aprons of the international and domestic terminals. Had he not done so, there would have been a disaster of a much greater magnitude at Kathmandu airport that day. The plane scraped the runway with its right wingtip, collided with a container having helicopter spare parts, and plunged into a gully east of the runway, exploding in a fireball. The investigation also noted that the impact forces seemed to be survivable for some occupants. The fire trucks took unnecessarily long to reach the site even though it was inside the airport perimeter. The absence of an ICAO-standard runway strip, inadequate rescue drills, lack of training, and a blocked emergency service gate leading to the crash site were cited as other factors. &nbsp;&nbsp; <h2>Timestamp of a Disaster</h2>  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250731110724_39cdd04693994ce6e55a5b302905c0fa4884fe85bed21ff0779bb1439f3a5725.jpg" data-media-id="editor_0" data-image-id="20250731110724_39cdd04693994ce6e55a5b302905c0fa4884fe85bed21ff0779bb1439f3a5725" data-rendition-name="original" width="778" height="826" loading="lazy" alt="Flouting rules caused Saurya tragedy NT"> </figure>  11:10:34 - The Saurya Airlines CRJ200 on the takeoff roll from runway 02. It had a takeoff weight of about 18,300kg, but the pilot’s speedcard had a previously undetected mistake about the minimum takeoff speed. 11:10:55 -The plane with tail number 9N-AME goes into deep stall soon after takeoff because it does not have enough speed to lift its weight. The plane also has an abnormally steep nose-up attitude.&nbsp; 11:11:03 - Without enough speed to generate lift, the plane banks right, then left and right again in CCTV photos taken from the domestic apron (below). If it had not banked right, it could have hit the aprons and terminal buildings. Seen parked is Saurya’s other CRJ200 with tail number 9N-ANM.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250731110732_608132f7225c649125cca2691dd6a6bf930984c5b359e888d7ad9e5eacce3afd.jpg" data-media-id="editor_1" data-image-id="20250731110732_608132f7225c649125cca2691dd6a6bf930984c5b359e888d7ad9e5eacce3afd" data-rendition-name="original" width="770" height="555" loading="lazy" alt="Flouting rules caused Saurya tragedy NT"> </figure>  11:11:08 - The plane scrapes the runway with its right wingtip, and falls into the gully. The captain is thrown off the left side of the cockpit and survives. 11:11:15: Plane explodes in a fireball inside the airport perimeter. Firefighters take time to reach the site because of lack of access road and a blocked gate. Read the full investigation report <a href="https://www.tourism.gov.np/files/9N-AME%20AIC%20Final%20Report.pdf">here</a>.

Flouting rules caused Saurya tragedy

American artist Peter Makela was in Nepal in 2022 on a Fulbright scholarship when he experienced the Matya festival in Patan in which devotees made the rounds of the city’s shrines.&nbsp;
He joined the procession, walking through 2,600 stupa and 140 bahal of the town. That immersion left a lasting impression.
As part of Gallery Mcube’s international residency program in Patan, he put his inspiration to canvas in the exhibition Yala Yatra: Walking, Working, Worshipping. The exhibition also coincides with this month’s Matya festival.&nbsp;
Makela has visited Nepal often in the past 11 years but he mostly stayed in and spent his time around Boudha. “This time I stayed in Patan, put the sites I wanted to visit on my map, and off I went,” he tells us. “Each of my artwork is inspired by the stupas and shrines in Patan that I visited.”
The stupa and Ganesh are recurring motifs in his watercolours, and the elephant gods are located in chaityas — reflecting the interplay and blending of the Hindu and Buddhist faiths in Kathmandu Valley.&nbsp;
The stupas and Ganesh are painted in vivid red, yellow, blue and green against abstract backgrounds meant to represent the sky.
“I use the sky as a backdrop because the sky has no border,” says Makela. “The four colours represent the four elements, the different Buddha families and also lights bouncing off of a rainbow.”
The use of just four colours for all the artwork stands out, and combined with the absence of heavy canvases, frames or stands render Makela’s art striking in its simplicity.&nbsp;
The Ganesh is always holding something and the art also portrays the elephant god’s sacred vehicle, the mouse.
While his vibrant stupas and Ganesh reflect the tangibility of Patan’s tradition and heritage, it is as if the backdrops with their shades of grey and red and yellow capture the soul of the city’s shrines.
“If you look closely, there is a sense of form and formlessness at the same time,” he says.&nbsp;
Makela walked 108 kora around the shrines during his exploration of the town, and in the process developed a spiritual connection with Patan’s heritage and traditions.&nbsp;
The exhibition connects with visitors on a deeper, more spiritual, level as well. And with it, they feel a sense of pride as well as the need to urgently preserve Patan’s heritage for future generations.
“Peter’s inclination and approach towards Nepali art and culture is fascinating, and it reflects in his work,” says Mcube curator Manish Lal Shrestha, whose international artist residency program promotes Nepal’s cultural heritage. &nbsp;&nbsp;
Yala Yatra: Walking, Working, Worshipping
1-5 August&nbsp;
10AM-7PM
Gallery Mcube, Patan