Over 200 Businesspeople from Biratnagar Under Scrutiny as VAT Fraud Scandal Widens; Two Dozen Firms Under Watch

Kathmandu, Nepal — The arrest and imprisonment of Saurabh Kumar Biyani, a hardware trader from Biratnagar, on charges of involvement in fake VAT billing has sent shockwaves through the city’s business community. The Inland Revenue Department and the Inland Revenue Office, Biratnagar, apprehended Biyani on Asar 16 (early July), imposing a hefty fine of NPR 1.31 billion for his alleged fraudulent activities.

According to sources close to the investigation, the scandal is far from limited to one individual or a single firm. It has the potential to implicate hundreds of people and dozens of business entities. “More than 200 individuals and nearly two dozen commercial firms could be drawn into this case,” a well-informed source told uknepalpress.

Madan Dahal, Director General of the Inland Revenue Department, confirmed that the investigation has identified the core mastermind behind the issuance of fake VAT bills. “We have caught the root of the problem. He is the main figure responsible for generating counterfeit bills,” Dahal stated. “Naturally, there are many others who have used these bills. As the investigation progresses, the number of implicated individuals could easily grow from 200 to 2,000.”

Dahal’s remarks suggest that the investigation’s scope could significantly widen, potentially ensnaring major business houses as well. Authorities are now closely monitoring additional suspects and firms suspected of using fraudulent VAT bills, signaling what could become one of the largest tax fraud investigations in Nepal’s recent history.