Nepal arrests six in tourist rescue fraud

THREE companies had claimed insurance payouts of approximately $19.69 million.
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THREE companies had claimed insurance payouts of approximately $19.69 million.
ILLUSTRATION BY PIPPIT

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KATHMANDU (AFP) — Nepal has arrested six people after an investigation into fraudulent helicopter rescues of travelers in the Himalayan nation in a $19.69 million insurance scam, police said Monday.
Thousands of trekkers visit Nepal every year for its stunning views of the Himalayas and routes lined with picturesque villages — and emergency helicopter rescues are a critical part of the tourism industry.
Police said they uncovered evidence of multiple insurance claims filed for a single rescue operation, or chartered flights falsely presented as emergency evacuations, and fabricated medical bills issued with the involvement of private hospitals.
The arrests follow a two and a half month investigation by the Central Investigation Bureau that revealed a trail of forged and manipulated documents.
Three companies had claimed insurance payouts of approximately $19.69 million, according to a police statement.
“This has been a long-standing issue and we have been investigating. Six have been arrested and our investigations will continue,” Shiva Kumar Shrestha, the bureau’s spokesperson, told Agence France-Presse.
A 2018 government probe identified 15 companies — including helicopter firms, trekking agencies and hospitals — linked to the lucrative racket. But no action was taken against any of the alleged perpetrators.
Scams continued — despite Nepal introducing guidelines to control fake rescues following a warning from insurers.