<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110141148/636d01229c7e80680e0a3614jpeg.jpg" alt="" width="1050" height="637"/><figcaption></figcaption></figure>Nepal Rashtra Bank’s (NRB) tightness on share collateral, signs of a lack of liquidity and the opening up of other investment avenues post-lockdown are some of the factors behind the share market’s sharp decline of late.On Sunday, <a href="http://www.nepalstock.com/" target="_blank" rel="noopener noreferrer">Nepal Stock Exchange (Nepse)</a> recorded the highest-ever fall in its history after the market dropped by 5.03% in just the first two hours of trading. A 40-minute long circuit break was imposed, as 60 companies saw their share values decline by 10%, and the Nepse index to 2782.52 points.A slight recovery was soon posted, but Nepse still fell by 3.7% from the previous day, losing 108.26 points from 2928.8 points to an end-of-day total of 2811.16 points. By day’s end, 31 companies lost up to 10% value on their shares.Despite the fall in the index, there were as many if not more people trading shares and the volume of transactions were unaffected, with 23 million 79 thousand shares of 223 companies clocking in Rs11.24 billion in turnover.The current dip in the share market is in sharp contrast to the <a href="https://www.nepalitimes.com/latest/despite-politics-nepals-stock-market-is-bullish/" target="_blank" rel="noopener noreferrer">boom during the lockdowns and prohibitory orders</a> when other investment sectors remained shut, allowing big and small investors to trade from home with the online trading system flourishing unabated.Bank interest rates also fell as the investment sector shrunk during the closures. As demand for credit in other sectors began to decline, banks also increased their investments in equity securities. As a result, the stock market traded at a record high with a turnover of Rs19.55 billion and Rs21.64 billion on 14 May and 15 July respectively.However, since then with the reopening of other sectors, the demand for bank loans has increased. There are indications that the lack of investment capital will be repeated. As such, banks are preparing to raise interest rates.The share market’s decline has been particularly concerning over the last week, falling from 3044 points to 2817 in five days. This has resulted in a loss of Rs1.5 trillion, down to Rs39.44 trillion on Sunday from last week’s Rs40.89 trillion.<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110141148/636d01249c7e80680e0a3615jpeg.jpg" alt="" width="623" height="351"><figcaption></figcaption></figure>Sunday’s fallout also prompted the Capital Market Reform Struggle Committee, led by investor Ram Krishna Dhakal, to demand the resignation of NRB governor Maha Prasad Adhikari for activities that have negatively influenced the share market.The committee has put forward 15-point demands including the limit of Rs120 million on margin loans brought by the central bank through monitory policy to be scrapped, the cap on dividends distributed by microfinance companies to be removed and the provisioning be modified.As per the NRB’s new stricter monetary policy, banks and financial institutions are allowed to give a maximum loan of Rs40 million to an individual or institution on the security of shares. Similarly, an investor can take a loan of only Rs120 million by pledging shares.Read also: <a href="https://www.nepalitimes.com/latest/instability-to-cost-nepal-dear-in-2021/" target="_blank" rel="noopener noreferrer">Instability to cost Nepal dear in 2021</a>, Ramesh KumarThe NRB didn’t only tighten its monetary policy, but all subordinate banks were also placed under strict restrictions, effectively banning them from share trading.To be clear, the NRB’s austere policies have caused the market correction by dislodging the confidence of large and institutionalised share traders, says share market analyst Mukti Aryal.The <a href="https://www.nepalitimes.com/here-now/insider-trading-taints-nepal-capital-market/" target="_blank" rel="noopener noreferrer">Sarbottam Cement share scandal</a>, in which Nepal Securities Board Chairperson Bhishma Raj Dhungana and Nepse CEO Chandra Singh Saud engaged in insider trading on IPOs, had recently dented confidence in the fledgling stock market.But the only way forward is for the NRB to examine its restrictive policies, adds Aryal: “The tightening of stock pledges is the chief reason for the market’s decline. Pledging one’s own assets as securities for trading should not be restricted.”However, instead of agitating against the regulatory bodies, investors themselves must adopt careful share-trading practices, says a share broker, adding that it is natural for the market to fall after being propped up by companies that very recently had bad portfolios.“If investors had invested in companies with solid portfolios, none of this would be happening,” he says. “Instead of investing smartly in profitable companies, investors hedged their bets on hydropower projects, development banks and finance, following the market rumours rather than prudent investment.”Translated by Kaustubh Dhital from the <a href="https://www.himalkhabar.com/news/125732?fbclid=IwAR1n22ltLRWRA6Yi8Lg23aGzl8ZLzgKvIlBx_UTy1R_3m9GZlgogZ9Y4F80" target="_blank" rel="noopener noreferrer">Nepali language original</a> in Himal Khabar.

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Inside Nepal’s biggest stock market tumble

<img width="1508" height="900" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110141124/636cfbb39c7e80680e0a0b49jpeg.jpg" alt=""/>The heads of the Nepal Stock Exchange (Nepse) and Securities Board of Nepal (SEBON) as well brokers and industrialists have been found to have profited from insider training and conflict of interest, eroding the <a href="https://www.nepalitimes.com/latest/despite-politics-nepals-stock-market-is-bullish/" target="_blank" rel="noopener noreferrer">public’s trust in the country’s stock market</a>.   Documents show that they were engaged in ‘front running’ in contravention of existing rules governing the role of regulators and brokers in stock valuation and transactions. An investigation by <a href="https://www.himalkhabar.com/news/125318">Himal Khabar</a> this week found Nepse CEO Chandra Singh Saud and SEBON Chair Bhishma Raj Dhungana bought shares for family members in Sarbottam Cement at far lower prices just before its Initial Public offering (IPO). The board of directors of Sarbottam Cement decided to sell 6 million shares in the company through a book building process. The shares were valued at Rs750 per unit to raise Rs4.65 billion, of which only 12.9% were included in the initial public offering.  However, many of the shares were sold pre-IPO for less than Rs250 per unit even before the public offering, and others are believed to have been given for free as ‘presents’ to important people. Benefiting were close family members of SEBON’s Chair Dhungana, Nepse CEO Saud, as well as Global IME Capital which was handling Sarbottam’s IPO. <img width="2284" height="1512" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110141124/636cfbb69c7e80680e0a0b4ajpeg.jpg" alt="">Says share market expert Rabindra Bhattarai: “This is a clear case of an attempt by insiders to unethically influence the market price of a company offering premium shares.”Global IME Capital’s parent company Global IME Bank is headed by Chandra Dhakal, who is vice-chair of FNCCI and is also a member of SEBON. Dhakal’s brother has 30% share in an investment company that bought some of the shares. Chandra Dhakal therefore had a conflict of interest in being in a position to be the regulator in the sale of investment vehicles in a company that his family had invested in. Documents show that Saud and Dhungana also used their positions to leverage cheap purchases of the shares in the cement company, while Sarbottam benefited by getting permission to enter the share market, illegally influencing the regulators’ decision-making. In the eyes of the law, this is equivalent to corruption and considered a crime.  <img width="1028" height="718" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110141124/636cfbba9c7e80680e0a0b4bjpeg.jpg" alt="">“For a CEO of the Stock Exchange or its employees to use information about an IPO to personally buy shares is a direct and serious conflict of interest,” explains capital market expert Mukti Aryal. “Buying shares in a company that is going to be traded on its own platform opens up the possibility of share price manipulation. In a case like this the SEBON official has to declare a conflict of interest and step down.”Front running is a form of insider trading where those with knowledge of a company’s share value use it to make a personal profit at the expense of the public. For example, it is ‘front running’ when a stockbroker receives customer orders to purchase a large stock in a company, but instead speculates the value of the shares and buys or sells off shares for themselves accordingly. Such actions are not just unethical, but can even be considered a financial crime. Nepal’s Securities Act 2007 Clause 91 codifies into law measures against front running, prohibiting SEBON staff from divulging and profiting off any inside information received by their position. Regulatory authorities are also not allowed to be in contact with company executives, founders and managers or exchange any benefits with them.  <img width="2288" height="482" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110141124/636cfbbd9c7e80680e0a0b4cjpeg.jpg" alt=""><a href="https://www.himalkhabar.com/news/125244">Nepse CEO Saud told Himal Khabar</a> he did nothing wrong, and admitted that he bought shares in Sarbottam at Rs250 per unit in the name of his wife, Sushila Kumari Bohara, but only after the cement company’s book building process had started. “It is only prohibited to buy and sell in the secondary market, there are no restrictions on buying shares in a company’s initial public offering,” Aryal told the magazine.However, Saud has been accused of purchasing the shares at a price lower than the company’s book-building, or share price evaluation.  <figure><img width="2000" height="1026" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110141124/636cfbbf9c7e80680e0a0b4djpeg.jpg" alt=""><figcaption>Nepse CEO Chandra Singh Saud.</figcaption></figure>Companies that are going public must disclose all operations to regulators to ensure market transparency, but in no way are regulator officials, investment executives, brokers, company employees and others with an inside track allowed to enrich themselves using the company’s open books. Similarly, the investigation showed that SEBON chair Bhisma Raj Dhungana had also bought 11,992 shares in the name of his US-based daughter, Rebika Dhungana, in Sarbottam Cement before its book building process had started. SEBON’s Code of Ethics bars the board’s members and chair and their families from engaging in any transaction from which they can financially benefit.“Yes, my daughter sent me money from the United States to buy the shares, and yes, they are her shares,” Dhungana admitted. “Just because I am the chair of SEBON does not mean the law bars my married daughter from buying shares from any company she wants.”Dhungana was formerly with Nepal Rastra Bank, and is believed to have been nominated for the four-year term in SEBON at the recommendation of President Bidya Devi Bhandari. <figure><img width="1604" height="860" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110141124/636cfbc39c7e80680e0a0b4ejpeg.jpg" alt=""><figcaption>SEBON Chair Bhishma Raj Dhungana.</figcaption></figure><a href="https://www.himalkhabar.com/news/125258">An expert in share market regulations told Himal Khabar</a>: “This is a straightforward case of insider trading. There is no question about it.”Sarbottam Cement had signed an agreement with Global IME Capital to handle the IPO in March in the presence of SEBON officials, but the process has been delayed till later this month. Nepal’s manufacturing companies, especially in the construction and hydropower sector are currently riding a wave of market confidence. Another compnay, Shivam Cement, recently went public clocking a similarly strong stock market performance. The revelation of insider trading has been greeted by outrage on Nepal’s social media, and is likely to erode people’s growing trust in the stock exchange, with many commentators and financial analysts equating the secondary market with skulduggery, insider trading and outright theft.‘Are board members allowing suspicious companies to release shares under the temptation of illicit rewards?’ asked one social media post. Another went: ‘Is the share distribution process transparent?’ Yet another said: ‘Have finance bosses, chiefs and sales executives rigged the process to earn favourable shares for themselves?’ The share market had been anticipating a surge, riding a wave of investment interest of the Nepali public in the manufacturing and construction sectors. But the reports of insider trading confirm the public’s suspicions of hanky-panky, and are expected to dampen the stock market.  Moreover, moving forward, companies wishing to list their IPOs via book building will be cautious of possible behind-the-scenes dealings.The irregularity in Sarbottam Cement share offering is not the first of its kind, with the Securities Act 2007 violated previously.  In 2014, investors at Citizens Investment and Employees Provident Funds were caught exchanging investment with the Upper Tama Kosi Hydropower with shares for themselves in return. The regulations were subsequently overhauled and loopholes plugged.The Upper Tama Kosi and Sarbottam Cement cases are similar in the sense that they were both examples of graft, wherein two parties are believed to have exchanged confidential information for personal profit. Given the impunity that is rife in Nepal’s political and business spheres, the Sarbottam issue will further damage the reputation, trust and transparency of the share market, hurting an already moribund economy.Stock exchange legal expert Amrit Kharel is clear about the rules: “Three generations of the family members of a person with inside information about an initial public offering are barred from benefiting from any transaction, It is not just unethical, it is considered insider trading. And if any member of staff of SEBON is found to be violating this, they are liable to prosecution.”Links to Himal Khabar series on this subject:<a href="https://www.himalkhabar.com/news/125318">https://www.himalkhabar.com/news/125318</a><a href="https://www.himalkhabar.com/news/125244">https://www.himalkhabar.com/news/125244</a><a href="https://www.himalkhabar.com/news/125258">https://www.himalkhabar.com/news/125258</a>Translated by Kaustubh Dhital

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Insider trading taints Nepal capital market

Sometimes, we need to take a step back to realise what a tectonic movement Nepali politics witnessed this month.
In a region and world ruled by elected authoritarians, Nepalis &nbsp;went to the ballot box freely to express a collective will for change.
These faces in this group photo of the RSP’s 180 freshly-minted MPs at the ballroom of the Royal Tulip Hotel on Wednesday is symbolic of what Nepal has come through.&nbsp;
The ship of state righted itself after the September Storm, installing an interim government that held an election within six months in which voters banished obsolete politicians and their parties into oblivion.
Nepalis, fed up with the inept kakistocracy of the past three decades, took the country into a post-ideological phase — replacing Marxists, Maoists and monarchists &nbsp;with a belief in a new governing culture that rewards delivery and accountability. And they have trusted the RSP to carry it through.
Nepal’s history has never been linear, it jerks ahead in lurches. The polity also tends to take one step forward and two steps back, so the public’s great expectations is tempered by a sense of cautious optimism and guarded pessimism.
This could be the great leap forward that Nepalis have waited for and deserve, but it could also be a Gramscian interregnum in which the old is dead and the new is not yet born. We will have to wait to see whether this transitional period will also see ‘morbid symptoms’.
As disruptor-in-chief, it was the Balendra Shah ‘wave’ or ‘craze’ that propelled the RSP to power. The former Kathmandu mayor needed a party platform, and the RSP’s tainted leader Rabi Lamichhane required a booster. Nepal's voters were looking for a saviour.
Personality-wise Shah and Lamichhane are poles apart: one is Type B and the other Type A. One is enigmatic, the other phlegmatic. But yin and yang do also tend to complement each other.&nbsp;
Kathmandu’s chattering class is already making self-fulfilling prophecies about the two falling out, and are fishing for hints that they already have. Shah’s absence from the RSP’s orientation this week was taken as a clue.&nbsp;
Closing the two-day tutorial on Wednesday, Lamichhane delivered a fiery 30-minute speech that laid out the RSP’s main agenda: to function differently from the old parties, serve the people, avoid middlemen, become true lawmakers without taking the law into their own hands.&nbsp;
“The old political parties contributed to history, we will build the future with a new political contract with citizens,” he said, trying to rise over past controversies and his abrasive rhetoric to sound statesmanlike.&nbsp;
GIVE AND TAKE
Lamichhane is said to be in touch with the reclusive Shah to announce a compact cabinet next week. Its composition will be an indication of how much give-and-take there was, and whether the criteria for selecting ministers is competence or loyalty.
Will RSP ministers behave like rulers or service providers? The new government will dive right into the economic fallout of the West Asia war with soaring fuel &nbsp;prices, inflation and uncertainty about remittance inflows.
On Thursday, Gagan Thapa resigned as NC chair, taking moral responsibility for the party’s election loss. The UML’s unrepentant K P Oli does not share the same sentiment about who is responsible for his own party’s historic downfall.&nbsp;
NCP chair Pushpa Kamal Dahal, who was luckier than his cross-party cohort, is now a comparative relic in a Parliament largely comprised of freshmen and sophomore lawmakers.
But the NC, UML and NCP still control provincial and most municipal governments. The old parties could try to make things difficult for the RSP at the centre, but it is also an opportunity for them to clean up their act ahead of local elections next year.&nbsp;
Another test for the RSP will be dealing with a heavily-politicised klepto-bureaucracy which has to frontend its policy decisions. &nbsp;

People’s power

This week, the RSP held a two-day closed orientation camp for its newly elected members of Parliament. The party has also decided to assign parliamentary and Cabinet roles to leaders only after the new MPs are sworn in on 28 March.&nbsp;
This means the new prime minister and his cabinet of 15 ministers are likely to be installed closer to the Nepali New Year, and the expectation is that it will also usher in a new era of governance and politics in Nepal.&nbsp;
Between now and then, there is much speculation regarding who will become new ministers and from which camp—Balendra Shah's or Rabi Lamichanne’s. Meanwhile, the final argument in the petition against the Rabi Lamichanne case revision is set for Thursday, with a verdict expected on the same day.
“In the past, parties did anything to form coalitions and to keep them from splitting ministries and appointing anyone they wanted to, even going against the spirit of the Constitution, but the RSP doesn’t need to partake in any such activities,” says political analyst Indra Adhikari.
Adhikari notes that governance failures in the past was often the result of coalition governments formed through political bargaining that meant the primary party often had to compromise on their agenda.&nbsp;
“But nothing is stopping the party from fulfilling its election manifesto,” she says. “And if they aren’t able to deliver, we know Nepalis are prone to protests, so another revolt is also a possibility.”
Journalist and author Mohan Mainali agrees that the everyday Parliamentary proceedings should go smoothly for new government because of their majority.&nbsp;
But there are questions as to what a near two-thirds majority allows the RSP to achieve in Parliament. Its 182 seats in the Lower House allows the party to enact and amend laws without hurdles and bypass Upper House’s request for Bill revisions. But the RSP has no presence in the National Assembly, and that means that its majority in the Lower House is not enough to amend the Constitution.&nbsp;
“The Constitution poses no obstacles for the RSP to work on improving governance, development and delivery,” says Mainali. &nbsp;“If they do show some performance, it will be easier for them to go into the next election and ask for a two-thirds majority to also amend the constitution,” he adds.
The last coalition government of the UML and Nepali Congress before the GenZ protests had been built upon a primary agreement to make amendments to the Constitution. So, depending on the nature of amendments, the RSP might find some support within the National Assembly at a time when some of the older parties, such as the Nepali Congress, have committed to supporting the new government as well as internal party reforms.
“What we need is a structural overhaul, from our laws and foreign policy to economy and security apparatus, and for this the RSP needs to champion collaboration and consultation for the sake of nation building,” says Indra Adhikari. “So it all comes down to the understanding and judgment of the RSP’s leadership. If they try to go at it alone, it will lead nowhere.”
To be sure, the provincial government could also clean up their act before the next local and provincial elections, which would help the older parties to regain some of their lost footing and rebuild trust.
As it stands, RSP lawmakers will also have to learn to work with each other. Mainali notes that the RSP not being bound by one clear ideology might lead to future problems, including the rumoured animosity between party president Rabi Lamichhane and prime minister-in-waiting Balendra Shah.
“Parties that came before the RSP had an ideology, whether they followed them or not, but the RSP is made of different kinds of people,” says Mainali. “If they are not motivated by a common goal of achieving something tangible in the next five years, it might be difficult for them to stay together.”
Adds Adhikari: “Balendra and Rabi don’t seem to be compatible. Rabi has already failed when it comes to the matters of governance, and Balendra won’t carry that burden. Additionally, there is a struggle between the two in terms of party hierarchy.”
Speaking at the closing of the two-day orientation, from which Balendra Shah was noticably absent, Rabi Lamichanne said that the RSP’s image as intolerant needs to be changed, and that the country is not heading towards totalitarianism but is in the hands of good, new people.
Regardless of the assurance, the general public has seen Balendra Shah and Lamichanne’s disposition in the last several years, and analysts are worried that their personalities and ambition might lead to an environment of increased intolerance.&nbsp;
As it stands in absence of a strong opposition, the responsibility falls on the media and the civil society to be the watchdog and play an effective check and balance role.&nbsp;
“Seeing how Balendra has ignored the media so far and Rabi has made inflammatory remarks in the past, they are probably more intolerant than the likes of Trump and Modi,” says Mainali. He notes that the party does not just have technical human resource and cyber army but a large number of dedicated supporters.&nbsp;
The media must thus continue to build trust by highlighting good work, educating the public on the importance of impartial journalism in democracy and debate any Bill purposed in Parliament, Mainali adds.&nbsp;
Says Adhikari: “The media should praise the government when they do well, motivate them, but it should also point out wrongdoings without fear, and provide recommendations to do better. Otherwise, absolute power corrupts absolutely, which we have seen happen happen in America with Trump and in India with Modi, where extremism has taken over and democracy has been curtailed.”

Balancing act

The sense of sight is front, centre, and everywhere else as hundreds of eyes follow visitors while they move from one painting to the next at Nikhil Bahadur Shakya’s ongoing exhibition at Siddhartha Art Gallery. Shakya has used blank canvases as well as partially-done thangka and paintings as a base for more than 50 works on display. The exhibit takes visitors beyond the physical world into a surreal spiritual realm. Shakya strips the human body down to muscle, tendon, networks of nerves, and skeleton. But all the while, eyes are a constant presence.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2026031708034_dddbfedc57433dc528fbf032642abea4ee67e63875091b06a7804cecdc7716cf.jpg" data-media-id="editor_0" data-image-id="2026031708034_dddbfedc57433dc528fbf032642abea4ee67e63875091b06a7804cecdc7716cf" data-rendition-name="original" width="1080" height="720" loading="lazy" alt="Nikhil Bahadur Shakya"> <figcaption>Artist Nikhil Bahadur Shakya with a visitor.</figcaption> </figure>  The central theme is self-reflection and the journey from one’s outward to inward self, and the works offer a glimpse into the artist’s world of mindfulness.&nbsp; Shakya grew up watching his artisan grandfather design jewellery, which he says cultivated in him an interest for art. During the Covid-19 pandemic, confronted by the fragility of life and the stark reality of death, his art took an introspective turn. The paintings have splashes of neon yellow, pink, red, orange, green, and gold, and Shakya combines them with black and white to create the human body, sunflowers, geometrical shapes, and the cosmos — turning these motifs into elements of devotion and spirituality. In Wheel of Life, Shakya adds to an incomplete thangka, contrasting traditional Buddhist devotional imagery with contemporary mosaic art to create a demon holding on to a wheel with a yin and yang symbol.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2026031708034_f2a8e10c73aa83a67e5de06a3f0acff9aa35c1cda278b36fed76ed03e71a7014.jpg" data-media-id="editor_1" data-image-id="2026031708034_f2a8e10c73aa83a67e5de06a3f0acff9aa35c1cda278b36fed76ed03e71a7014" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="Nikhil Bahadur Shakya"> <figcaption>Wheel of Life (centre)</figcaption> </figure>  “I wanted to reflect the elements of life and the balance of good and bad in this painting,” explains Shakya. “I took a lot of time to complete this particular piece, but it felt as though my vision flowed out of the brush onto the canvas.” The neon colours used means that visitors can see his artwork under blue light as well, giving viewers a chance to look at a single artwork from two different perspectives. His Sunflower series draws from a field of blossoms, and the eyes stare back at visitors in an almost-hypnotic gaze. In An Ancestral Visit, Shakya goes transcendental to depict the connection of living beings to their forebears.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2026031708038_0fbe465b3af872d04f699030ba093d97aad182221730aef535dbf7d059fb57cf.jpg" data-media-id="editor_2" data-image-id="2026031708038_0fbe465b3af872d04f699030ba093d97aad182221730aef535dbf7d059fb57cf" data-rendition-name="original" width="1500" height="1431" loading="lazy" alt="sunflower painting"> </figure>  “In my father’s last days, he was unwell and often unable to eat, it left his body very frail,” explains Shakya. “An Ancestral Visit was inspired by a dream in which I saw my father as his former healthy self. That dream made me feel deeply connected to my ancestors.” In another one of his works titled Devotion, a woman prays to a Shivalinga against a background of red-and-white stripes, which was inspired by the tradition of women being at the forefront during religious and spiritual ceremonies.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2026031708038_75e30a4fd339257fbc108e3a326f732fd33d25af0428add0d305b8b7824c558c.jpg" data-media-id="editor_3" data-image-id="2026031708038_75e30a4fd339257fbc108e3a326f732fd33d25af0428add0d305b8b7824c558c" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="devotion"> <figcaption>Devotion</figcaption> </figure>  In Sunyata, which shows a skeletal figure meditating as they are surrounded by flames, Shakya captures the chaos of the outside world with peace of the inner self. Shakya was compelled to create Sunyata when he saw a monk, his body thin and face gaunt, meditating peacefully. “Many viewers might find the painting frightening, but when they take it home, I think it will give them strength whenever they feel like they need it,” says Shakya. The exhibit also includes a gigantic painting of Masan Bhairav spread across two canvases, capturing the majesty of the original work housed at Banepa’s Chandeswori Temple. Shakya met the artist who painted it, and asked to reproduce it.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2026031708034_0216eac587827b02982f5addbd67c6f852fd7f9f47b477267ea7430d5f862a9b.jpg" data-media-id="editor_4" data-image-id="2026031708034_0216eac587827b02982f5addbd67c6f852fd7f9f47b477267ea7430d5f862a9b" data-rendition-name="original" width="1500" height="1030" loading="lazy" alt="art review"> </figure>  Geometric figures are another recurring motif on Shakya’s creations, which he says were inspired by mathematics textbooks from his school days. He says, “Art channels the strength of our minds and brings about change in our lives. My paintings reflect the fact that we are all made up of some madness, magic, and love.” Journey to a Visionary Artworld by Nikhil Bahadur Shakya Siddhartha Art Gallery, Baber Mahal Till 6 April 11AM-5PM

In the mind's eye

Deadly floods two years ago along the southern fringes of Kathmandu Valley killed 200 people. Climate change was blamed, but the destruction was magnified by quarries and sand mining owned by local politicians and crony contractors. Disaster mitigation and environmental risk was not a priority for any of the political parties that ran and won Nepal’s election last week. Although the RSP has a supermajority, rural municipalities that grant mining contracts are still ruled by the established parties that supply aggregates and sand to feed &nbsp;Kathmandu’s construction boom. Here in Lele Valley, residents are worried about another monsoon season that will start in June and fear more floods bringing unmanaged gravel from quarries down the Nallu River.&nbsp; The house of Sanumaya Nagarkoti, 65, and ten neighbours were washed away by the flood on the night of 28 September 2024. She and her husband petitioned the ward and municipal council to remove the crushers but no one listened. The slopes above are scarred by landslides from two years ago, and the banks of the river are strewn with bounders the size of cars that were brought down. “We live in constant fear of landslides,” says Chakra Nagarkoti, “the heavy crusher machinery and tipper trucks also constantly shake the house.”&nbsp; Google Earth images show that 24.6 hectares of mountain flanks have been excavated since 2010, and despite the disaster no lessons have been learnt.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260319090348_bdce7f17500eadac0ce0814c32c2b4190d01325976fd4d29db9985148459c0bc.jpg" data-media-id="editor_0" data-image-id="20260319090348_bdce7f17500eadac0ce0814c32c2b4190d01325976fd4d29db9985148459c0bc" data-rendition-name="original" width="1500" height="907" loading="lazy" alt="Lele"> <figcaption>Photo: GOOGLE EARTH</figcaption> </figure>  The RSP might have got a near two-thirds majority in Parliament but decision-making at the community level is controlled by politicians in cahoots with contractors.&nbsp; Along the Mahadev Khola, the Department of Mines cancelled excavation permits for crushers citing flood and landslide risk. Yet there are still 21 contractors mining stones and sand.&nbsp; Nearby Godavari Municipality also instructed operators who had not renewed permits to close down. No action was taken. One of them is Vinayak Multipurpose which delivers aggregate and stones for United Cement. Local ward chair Milan Silwal, has a stake in Vinayak and locals accuse him of taking the side of industry.&nbsp; Another slope is being gouged out near Mahadev Khola, and comparing satellite imagery from 2010 shows that the scar on the mountain is now five times bigger.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260319090348_21a8f7f7f9d6cc784c35719da737b20283f934bbe16c9de971d91bf01012499a.jpg" data-media-id="editor_1" data-image-id="20260319090348_21a8f7f7f9d6cc784c35719da737b20283f934bbe16c9de971d91bf01012499a" data-rendition-name="original" width="1500" height="1125" loading="lazy" alt="Lele"> <figcaption>United Cement operating near Mahadev Khola. Photo: ARCHANA DARJI</figcaption> </figure>  Nearby stands the lone house of 55-year-old Sabina Tamang, who lives with her husband and daughter. Due to the sound of the stone-breakers, they cannot hear each other speak. “Last year, a landslide destroyed our cowshed and latrine,” she says. “Next it is going to be our home.”&nbsp; DRY SPRINGS Lele gets its water from several perennial springs which have gone dry in recent years. One of them is near where the cement factory quarries limestone. “We hardly get any water, and the little that does flow is murky and red,” says local resident Rajesh Shrestha. A parliamentary committee directive ordered excavation to stop 15 years ago after a similar flood to the one in 2024.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260319090352_af7da754299116578cc1dd91d5318ec337b69e74b0676599260b7c57c6ec6fd7.png" data-media-id="editor_2" data-image-id="20260319090352_af7da754299116578cc1dd91d5318ec337b69e74b0676599260b7c57c6ec6fd7" data-rendition-name="original" width="1440" height="494" loading="lazy" alt="Lele"> <figcaption>Lele over the years. Photo: GOOGLE EARTH</figcaption> </figure>  United Cement’s manager Hari Upreti says his company has fulfilled all requirements and has permission to mine 15 hectares of its own property and 4 hectares of government land. “We have the Department of Mines permit which is valid till 2036 and extract 1,600 tons of limestone every day,” says Upreti. “The local community knew about the mining and if there is a problem with springs going dry it is not because of us.” Environmental researcher Uttambabu Shrestha, however, says there is a direct correlation between the quarry operation and floods, landslides and dry springs.&nbsp; “Extraction should not be allowed without an environmental impact assessment, and companies must stick to set limits,” he says. Investigation of permits show that there is collusion between local officials and contractors. Godavari-6 Chair Bishnuman Maharjan has investment in two quarries and crusher companies operating along Nallu Khola. A paper trail links Maharjan also to Sagarmatha Stone Crusher and Mankamana Aggregate Industries. IMPUNITY&nbsp; Godavari Municipality published a notice in June 2024, instructing crusher companies to submit environmental reports within two weeks, covering initial examination and impact assessment. It also told them to pay local development fees and clear outstanding dues. The municipality even wrote to the Department of Mines clarifying that it had issued permits to only five out of 27 contractors. Within a month, the Department wrote to the District Administration Office (DAO) and District Police Office instructing them to stop illegal excavation, and sent a copy to the Lalitpur Division Forest Office. The DAO then wrote to Lalitpur Police naming Machindranath Multipurpose as operating illegally and should be shut down. There was no followup. The municipality then issued fines worth Rs 60 million to it and one other company for non-compliance. The companies stalled, disputing the calculations.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260319090356_6e96403d3c5be4aef4d030974d6d92029a0eb396deafd19c511978dae30dd3d2.jpg" data-media-id="editor_3" data-image-id="20260319090356_6e96403d3c5be4aef4d030974d6d92029a0eb396deafd19c511978dae30dd3d2" data-rendition-name="original" width="4000" height="2250" loading="lazy" alt="Lele"> <figcaption>Another site of extraction near Mahadev Khola in Godavari. </figcaption> </figure>  Machhindranath Multipurpose operator Kedar Timalsina Shashi denies doing anything wrong, and says the landslides were collateral damage because of the steep terrain. When contacted Godavari Municipality Deputy Mayor Muna Adhikari declined to comment. It has been 10 years since Rajesh Shrestha, Nikesh Shrestha, and others raised their voices against the environmental destruction caused by the construction mafia. An agreement was finally reached two years ago between locals and mining and transport businessmen, stipulating that stone mines must close permanently by mid-2025. The agreement also stated that check dams must be built to manage mining debris, and damaged structures must be restored to their original state. Trees were to be planted at sites where stone mines had operated. But the mines in the catchment are still in operation with 500 tipper trucks working on the site every day, transporting stones and aggregate. Local youth have continued holding sit-in street protests and at Lalitpur DAO.&nbsp; After one sit-in, the mines closed for about a month but they started back up a month later.&nbsp; Birendra Maharjan owns one of the crusher units, and says he follows all environmental protocols. He told us: “You need stones to build, and we must dig to extract stones. Some trees have to be cut, people get employment, and besides, floods and landslides happen across Nepal.” &nbsp;&nbsp; Centre for Investigative Journalism – Nepal.

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