Sanjiv Gautam, the former Director General of the Civil Aviation Authority of Nepal (CAAN), will remain in custody as the trial for a corruption case related to consultancy procurement for the Pokhara Regional International Airport begins.
The Supreme Court, led by Justices Dr. Nahakul Subedi and Tek Prasad Dhungana, has confirmed the Special Court’s order for Gautam’s detention. The Supreme Court found no legal reason to overturn the lower court’s decision.
Case Involving Airport Consultancy Procurement
The corruption case focuses on the procurement of consultancy services for the Pokhara Regional International Airport’s construction.
Prosecutors claim that the consultancy costs were meant to be covered by a provisional sum outlined in the agreement between CAAN and China CAMC Engineering Co. Ltd. for the airport project.
They allege that the consultancy services were obtained in violation of the original agreement, with a separate cost estimate prepared at a higher amount, allowing for unauthorized spending.
Gautam’s Alleged Involvement
Authorities allege that Gautam approved the consultancy proposal on September 2, 2016, while he was CAAN’s director general.
He is also accused of being involved in the consultancy procurement agreement on May 7, 2018.
The Special Court ordered his detention on June 16, 2026, based on preliminary evidence and his alleged role in the decision-making process.
The court identified him as a key figure in the decision based on initial evidence. The Supreme Court has upheld this order, allowing the case to move forward with Gautam in custody.
Alleged Financial Loss
This case is part of broader corruption allegations linked to the construction of the Pokhara International Airport.
In a related investigation, the Commission for the Investigation of Abuse of Authority (CIAA) claims that consultancy costs under the EPC arrangement for the airport were inflated, leading to an alleged loss of approximately Rs 89.5 million to CAAN.
The consultancy-related case also implicates other former CAAN and government officials.
While Gautam has not been definitively found guilty of misappropriation, the court’s decision to keep him in custody is tied to the ongoing judicial proceedings.
With the Supreme Court’s support of the Special Court’s order, Sanjiv Gautam will remain in custody as the corruption case advances to trial.