Rift widens in FNCCI‚ infighting continues

Thu, Sep 11, 2014 12:00 AM on Others, Others,

KATHMANDU:

‘Unity? What unity?’ Such remarks are being made by key members of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), as the fissure in the largest private sector umbrella organisation, which until some time ago was hidden, is getting exposed.

This is an ominous sign of corrosion taking place in the body, which has to lobby with the government on behalf of the entire private sector.

If the infighting continues, many warn, the FNCCI may not be able fulfil its fundamental duty of protecting the interest of its members that include an array of businesses from large-scale industries to small and medium enterprises.

The FNCCI had elected its new executive committee on April 12.

The election concluded peacefully, without incidents of scuffles as in the previous one, although most of its members were divided into two panels. The election was later won by the panel led by Pradeep Jung Pandey.

Soon after getting elected, Pandey, the new FNCCI president, promised to lay the groundwork for unity among the umbrella body’s members.

“I wish to accommodate everyone by forgetting the rivalry seen during the election,” he had said soon after assuming office.

But five months down the line, the rivalry, seen during the election, seems to be getting worse.

“The meeting of the office bearers, (that includes president, senior vice president, three vice presidents and immediate past president), which takes place every Sunday, has not been held for the last one month, as the president and two vice

presidents close to him are always absent,” a reliable source said.

“This means the president is taking most of the decisions on his own, without consulting many senior executive members.”

Similar is the case with key appointments at various levels, the source informed.

“For instance, the president appointed the head of FNCCI’s Agro Enterprise Centre without consulting senior executive members,” the source said, adding, “He did the same thing while appointing heads of various forums.”

Because of these acts, many executive members are getting frustrated.

“The president is not trying to compromise and the state of uncertainty is causing effectiveness of the FNCCI to erode,” another source said. “The FNCCI will lose its influence if this continues for long.”

Though spurned by many, Pandey retains enormous influence in the FNCCI.

A senior FNCCI member, who is close to Pandey, told The Himalayan Times that some FNCCI members have ganged up against Pandey to ‘settle their personal scores’.

Pandey himself says he has not done anything wrong. “I’ve done everything to unite the two panels. But what can I do if they do not wish to cooperate?” he questioned, adding, “Regarding the complaint on meetings, I’ve called 17 meetings

of the executive committee since taking office. So, rumours that important meetings are not taking place are baseless.”

The comments in the support of Pandey and against him depict clash of egos at the FNCCI. But that’s only a facade.

Many are speaking against Pandey as they say he is not fit for the president’s post because of his conviction in a corruption case, for which he spent some time in jail.

“Corruption is a criminal offence,” they assert, “And Pandey should show some respect to the FNCCI’s charter and step down because the charter bars people involved in criminal cases from assuming the umbrella body’s topmost post.”

Documents obtained by THT show that Pandey was handed down a jail sentence of three years on June 30, 1982, after the Commission for the Prevention of Abuse of Authority found him guilty in a corruption case. Pandey was serving as an account officer at the Department of Drinking Water and Sewerage at that time. The Appeals Court of the Prevention of Abuse of Authority had upheld this decision on June 20, 1984.

Pandey himself agrees that his sentence was later commuted by a royal decree and he did not have to serve the full jail sentence.

“What is important to note here is that Pandey was convicted in a corruption case and he was made to spend some time behind the bars. So, reduction in his jail sentence does not mean he was given a clean chit,” another FNCCI source said.

But the question is: why is over three-decade-old issue being discussed now? Why didn’t it surface before FNCCI’s election on April 12?

Actually the issue had surfaced, but after the deadline for filing complaints against electoral candidates expired.

A commission that was monitoring FNCCI election had set 11:00am deadline on April 11 to file complaints against candidates. “But we came to know about Pandey’s case only at around 3:00pm,” the source informed.

After that several former FNCCI presidents talked to Pandey. Pandey, at one point, even decided to yield group and walk away from the election, ‘but some of the former presidents did not let him do that’, sources said.

“After winning the election, he (Pandey) said he’d deal with the issue after the FNCCI’s special general meeting was over,” the source said. “But after the special general meeting (on June 11), he started resisting calls to step down.”

Many say Pandey’s decision to dig in his heels has further widened the rift in the FNCCI. “If this continues for long, the biggest loser will be FNCCI itself.”

Source: THT