NEPAL: CORRUPTION CONVICTION AGAINST FORMER

UNCLAS KATHMANDU 001406

SIPDIS

SENSITIVE

STATE FOR SA/INS
STATE ALSO FOR INL JWHITAKER
LONDON FOR POL/GURNEY
NSC FOR GREEN

E.O. 12958: N/A
TAGS: KCOR PGOV KCRM NP
SUBJECT: NEPAL: CORRUPTION CONVICTION AGAINST FORMER
MINISTER WAGLE



1. (U) On July 22, the Special Court convicted Chiranjivi
Wagle, former deputy prime minister and Central Committee
member of Prime Minister Deuba's Nepali Congress (Democratic)
party, on corruption charges. The court sentenced him to two
and a half years in jail, a fine of NRs. 27.2 million
(approximately USD 368,000) and ordered him to provide the
court with information explaining his sources of income and
assets. This is the first time in Nepal that corruption
charges against a senior-level politician have resulted in a
criminal conviction. The Commission for the Investigation of
Abuse and Authority (CIAA) filed the case against Wagle over
a year and a half ago. According to CIAA sources, there are
additional corruption cases against three former ministers
awaiting trial by the Special Court. News reports indicate
that Wagle will appeal his conviction.


2. (SBU) COMMENT: The Wagle conviction, if it withstands
the appeal process, will send shivers down the spines of
Nepal's many corrupt politicians. This guilty sentence
results from three years of the CIAA's tireless
investigations and filings of criminal cases against powerful
personalities. What is most significant on the Wagle verdict
is the judges' unanimous decision on the case. In the past,
there have been indications the Special Court's judges
appeared too intimidated to rule against powerful political
interests and personalities. Up to the Wagle verdict, the
judges had only handed down rulings against low and mid-level
officials on minor charges (mostly false educational diplomas
used to qualify for promotions). If this verdict stands, it
could provide a timely boost for rule of law as the Palace,
parties and Maoists vie for dominance in the state. END
COMMENT.
MORIARTY