MONEY»
Dynamic’s cheque dies
KATHMANDU, AUG 22 -
Everest Bank Limited (EBL) has clarified that the cheque deposited by Dynamic Airlines for a cash guarantee to get the license for international flights bounced.
The Ministry of Tourism and Civil Aviation (MoTCA) had granted the license to Dynamic without ensuring the guarantee amount of Rs. 5 million deposited in the government’s account.
Despite a refundable amount, the cash guarantee would have gone into the government’s revenue if the concerned airlines had failed to start international flights following set criteria. Thanks to the boomerang, the government has failed to secure Rs. 5 million in revenue. On Feb 22, Dynamic had deposited a cheque for Rs. 5 million at the Lazimpat
branch of EBL. Bank officials said the cheque bounced as there was no cash in the account for the aforesaid.
Two receipts were written while depositing the cheque in the bank. One was given to the customer and another was kept at the bank. Three documents were created while issuing revenue receipts.
Ministry officials have expressed surprise at why the license was given to Dynamic without confirming if the money was deposited.
The bank said it obtained both documents after it took back the receipt given to Dynamic to return the cheque that bounced. The ministry officials have been claiming that license was granted to Dynamic after it handed over the cheque receipt.
The airline should take an air operator certificate (AOC) within one year from the date of obtaining license and also that it should start international flights within a year of getting the AOC.
Ministry officials say that Dynamic will lose its license for duping the ministry. The MoTCA has also asked the Ministry of Finance to take action against EBL for ‘not informing’ the MoTCA regarding the cheque bouncing. MoFA has urged Nepal Rastra Bank to take action.
Curiously, MoTCA did not look into whether the money was deposited even when it granted license to Dynamic after more than a month after the cheque was deposited in EBL.
Posted on: 2010-08-23 08:04
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