Government Website Hacking Ring Active to Grab Contracts; CIIA Arrests 6 Construction Entrepreneurs
KATHMANDU — A ring actively hacking government websites to secure contracts has been uncovered. The Central Investigation Bureau (CIB) has arrested six construction entrepreneurs during the investigation. Those arrested include Diwakar Deuba, 33; Bharat Thami, 25; Sanjay Bhatt, 39; Bhaskar Raj Aryal, 35; Sagar Katwal, 40; and Jeevan Kumar Das, 62.
CIB Spokesperson SSP Shiva Kumar Shrestha stated that they were arrested on charges of unauthorized access to the office’s e-Government Procurement (e-GP) system and manipulating tender details. They are being investigated under the Electronic Transactions Act, 2063. Every government office invites tenders for contracts, and contractors must submit applications online. Preliminary investigation has revealed that influential businessmen hacked the website, viewed financial proposals, and submitted bids lower than those proposals, thereby securing numerous contracts.
After receiving information about tenders being obtained by hacking the website, the office’s IT team began an investigation. Spokesperson Ram Prasad Acharya said that after irregularities were detected in the website during the investigation, the office wrote to the CIB. “We received information and also had suspicions. Our IT team conducted an investigation. When IP address investigation revealed system irregularities, we wrote to the CIB,” he said.
Kathmandu Upatyaka Khanepani Limited (KUKL) had invited tenders worth approximately Rs 10 billion for laying pipes at various locations in the Kathmandu Valley with assistance from the Asian Development Bank. Ashish Nirman Sewa submitted the lowest bid. After receiving information that the tender was secured through hacking, the office conducted an investigation. When hacking was confirmed, arrest warrants were issued against the service’s chairman, Rishikesh Gauli, and his son, Nirman.
In a tender opened by the Road Division, Bhaktapur, Routada Construction was found to have tampered with the process. The office has issued a warning to the company. Sagar Katwal, Senior Vice President of the Construction Entrepreneurs Association, Makwanpur, was arrested during the 13th Convention of the Nepal Construction Entrepreneurs’ Federation. He was preparing to run for a central membership. Businessmen from Makwanpur had come to Kathmandu to support his victory, but he was caught in the hacking case on the night of Chaitra 17. Afterwards, the disappointed businessmen returned. The CIB has stated that investigations are ongoing against many other construction entrepreneurs. SSP Shrestha told Jana Aastha, “The investigation is ongoing, so we cannot disclose much information.”
Recently, the 26th General Assembly and 13th Convention of the Nepal Construction Entrepreneurs’ Federation concluded. The convention held at the National Pragya Pratisthan in Kamaladi elected a new working committee under the leadership of Nicolas Pandey. Pandey is the son of former Member of Parliament from the Rastriya Prajatantra Party (RPP), Vikram Pandey. According to sources, the Pandey faction spent heavily during the election. They held meetings and discussions at expensive hotels. “Representatives were called to a large hotel for discussions. A huge amount of money was involved,” a source said.
The Federation is purely a social organization with no salaries or benefits. Yet, there is fierce competition among contractors to become office bearers. Sources claim that since they can earn double during the day and quadruple at night by hacking, there is intense competition to become officials of the Federation. Most of the newly elected members are young. “Most of those who have won now are young and know how to hack. They have long been spreading terror through hacking — how much more will they do? The government must investigate this strictly,” the source added.
