Nepal police arrest 6 tour operators in USD 20 mn fake rescue insurance scam

Kathmandu, Jan 25 (PTI) Nepal police have arrested six officials of tour operators and mountain rescue agencies for their alleged involvement in a "fake rescue" scam that defrauded international insurance companies of nearly USD 20 million, authorities said on Sunday.

The arrests were made after the Central Investigation Bureau obtained court-issued warrants following an extensive probe into fraudulent helicopter evacuation claims in Nepal's trekking sector, CIB chief and Additional Inspector General of Police Manoj Kumar Kesi told a press conference here.

Those arrested are Jayaram Rimal and Bibek Pandey of Mountain Rescue Service Pvt Ltd, Rabindra Adhikari and Bibekraj Thapaliya of Nepal Charter Service Pvt Ltd, and Mukti Pandey and Subhash KC of Everest Experience and Assistance Pvt Ltd. All of them served as directors or senior managers of their respective companies, police said.

According to investigators, the accused staged medical emergencies to justify costly helicopter evacuations, which were then falsely claimed from international travel insurance providers.

"The investigation has uncovered a well-organised network involved in crimes against the national interest," Kesi said.

CIB data showed that Mountain Rescue Service Pvt Ltd conducted 1,248 rescues, of which 171 were allegedly fake, resulting in insurance claims exceeding USD 10.3 million.

Nepal Charter Service Pvt Ltd carried out 471 rescues, including 75 fake cases, claiming USD 8.2 million, while Everest Experience and Assistance Pvt Ltd conducted 601 rescues, with 71 fraudulent cases involving claims of USD 1.15 million.

In total, 317 fake rescues were detected out of 2,320 operations, leading to fraudulent insurance claims of nearly USD 20 million, the bureau said.

The suspects are being investigated on charges of organised crime, criminal profit, money laundering and offences against national interest.

The CIB said the scam involved collusion among trekking guides, helicopter operators and medical facilities.

In some cases, trekkers with minor altitude-related discomfort were allegedly pressured into helicopter evacuations. In others, multiple patients were transported in a single flight but billed separately to different insurance companies at full cost.

Kesi said fake rescues not only generate illegal profits but also damage Nepal's international reputation and could jeopardise insurance facilities in the country. PTI SBP SCY SCY SCY