Inside Nepal’s Biggest Telecom Scandal: How Smart Telecom’s Collapse Caused Rs 30 Billion Loss to the State

The collapse of Smart Telecom, once Nepal's third-largest telecom provider, has resulted in state losses exceeding Rs 30 billion due to political intervention and license reinstatement. The government, led by then-Prime Minister KP Sharma Oli, annulled the Nepal Telecommunications Authority's decision to revoke Smart Telecom's license in 2019 over unpaid dues. Despite favorable installment facilities, the company failed to meet its obligations, receiving multiple deadline extensions. The company's financial condition deteriorated, with assets significantly less than its liabilities. After its license was automatically revoked in 2023, attempts to revive it through the High Court failed. Subsequently, Nepal Investment Mega Bank auctioned the company's assets, leaving the government with no recovery.