Former Tourism Minister and Karnali Province MP, Jeevan Bahadur Shahi, has been acquitted in the high-profile corruption case involving the purchase of wide-body aircraft for Nepal Airlines Corporation (NAC). The decision came after the Special Court found only four individuals guilty in the case, exonerating Shahi and others.
The court’s partial ruling on the alleged irregularities in the aircraft procurement process has resulted in Shahi’s suspension being lifted. Shahi, who had been suspended after the corruption charges were filed against him, is now cleared to resume his duties as a lawmaker.
The controversy began when NAC purchased two wide-body aircraft as part of its market expansion strategy. During procurement, NAC initially selected AAR International, a U.S.-based company. However, complications arose during the signing of the Memorandum of Understanding (MoU).
Instead of finalizing the deal with AAR International alone, two additional companies—German Aviation Capital and HiFly Aros Portugal—were included in a consortium. This consortium subsequently established a company named HiFly X in Ireland, which became the contractual partner for NAC.
The arrangement raised concerns about procedural irregularities and potential corruption, leading to the filing of cases against multiple individuals, including Shahi, who was a key decision-maker during that period.
The Special Court’s decision concluded that procedural lapses did occur but found only four individuals guilty of wrongdoing. Shahi, along with others, was cleared of all charges, citing insufficient evidence to prove his involvement in corrupt practices.
Shahi’s acquittal marks a significant turning point in his political career. His suspension, imposed following the filing of the corruption case, has now been officially lifted. This decision also highlights lingering concerns over transparency and accountability in high-value public procurement processes in Nepal. The case has reignited debates on the need for stringent oversight mechanisms to prevent such controversies in the future.