Ncell admits to buying and selling shares in the paradise of black money

Kathamndu, Decemeber 7 . Ncell is becoming 100% Nepali-Origin, owned company and now our focus is to create value for Nepali consumers, contributing towards the government in achieving the aspirations of Digital Nepal vision through operations of Ncell.

However, in the same statement, “Aziata adopted a competitive process for the sale of its shares in Reynolds Holdings (a company based in St. Kitts) and Spectralite was selected as the first among many competitors…”. Acharya, who is said to have bought the shares of Aziata, admitted in writing that he bought the shares of the company in St. Kitts, which is considered a haven for hiding black money and tax evasion. The facts mentioned in the latest statement have provided additional evidence to confirm the tax evasion in the case of Ncell’s share sale to Nepal’s regulatory bodies.

Saint Kitts and Nevis is a Caribbean island nation. The island nation has a worldwide reputation for money laundering due to the ease with which illegal assets can be hidden and taxes not paid. It has been mentioned in various research reports that since a long time, tax evasion money has been coming in from this country in the name of foreign investment, and black money is leaving Nepal in the same way in the name of getting returns.

 To shed some light on recent developments on shareholding in Ncell,below are some key facts which need to becommunicated. The shareholder of Spectrlite UK, Mr Satish Lal Acharya, who is of Nepali origin said, “Axiata ran a competitive process for the sale of its shares in Reynolds Holdings (a St Kitts company), with Spectrlite emerging as the winner amongst several bidders.  The pricing and structure of the transaction was determined through a willing buyer and seller basis. As per the agreed deal structure, Axiata is set to receive a base payment, along with additional benefits in the form of profit-sharing for the next five years, extending until 2029.

The transaction places the Enterprise Value of Ncell at approximately ~400 million USD, to be realized gradually over time contingent upon the company’s performance. Beyond the financial aspects, this transformative deal signifies the evolution of Ncell towards a greater Nepali-origin ownership and management”.

Axiata has provided comprehensive details of the transaction in their press releases, ensuring transparency.

Ncell has till date fulfilled its tax obligations, as verified by the Tax Office. Additionally, any taxes applicable to this deal will be handled in strict accordance with the laws of Nepal. Ncell is committed to upholding tax compliance throughout this process, reassuring stakeholders of its responsible financial practices.

Ncell is currently in discussions with the Nepal Telecommunications Authority (NTA) to secure the necessary consents.

While changes are occurring at the Ncell, customers can rest assured that this will have no impact on the quality of services provided. The company remains fully committed to delivering high-quality services to all its customers.

In conclusion, Ncell is poised with a strong commitment and capability to diversify its digital services, enriching the lives of millions of Nepalis. The imperative for ongoing expansion of network infrastructure, beyond mobile connectivity, further underscores the significant opportunities that lie ahead for the country. As Ncell embarks on this transformative journey, it is not merely adapting to change but actively contributing to the digital evolution of Nepal.