Climbing
Authorities in Nepal have charged 32 people in connection with an alleged large-scale fraud scheme targeting foreigners trekking in the Himalayas, according to a March 23, 2026, report by the Organized Crime and Corruption Reporting Project (OCCRP).
Prosecutors allege that trekking guides and tourism operators deliberately made clients ill—sometimes by secretly adding baking soda to food—to trigger symptoms resembling altitude sickness or food poisoning. Once incapacitated, trekkers were reportedly pressured into emergency helicopter evacuations, which were then used to generate fraudulent insurance claims.
The charges, filed in the Kathmandu District Court, name a broad network of tourism stakeholders, including trekking agency operators, helicopter companies, and hospital executives. According to court spokesperson Dipak Kumar Shrestha, “a charge sheet has been filed at the court,” and proceedings are underway in what authorities describe as a high-priority corruption case.
Nine suspects have been brought before the court, while 23 others remain at large. In January, six executives from three mountain rescue agencies were arrested as part of the same investigation.
According to the OCCRP report, the scheme involved falsified medical and flight documentation to bill international insurers for unnecessary evacuations. Profits were allegedly shared among guides, trekking agencies, helicopter operators, and cooperating hospitals.
Police records cited in the report indicate that at least $19.69 million in insurance claims may have been fraudulently obtained. Prosecutors are seeking fines totaling 1.51 billion Nepalese rupees (approximately $11.3 million).
Several companies are named in the investigation. Authorities allege that Mountain Rescue Service P. Ltd. orchestrated 171 “suspicious rescues” out of 1,248 operations, generating an estimated $10.3 million. Nepal Charter Service P. Ltd. is accused of siphoning off approximately $8.2 million, while Everest Experience and Assistance P. Ltd. is accused of obtaining approximately $1.1 million.
The alleged fraud has long been considered an open secret in Nepal’s tourism sector. According to reporting by Bhadra Sharma and the OCCRP, concerns over fraudulent rescues have already had international consequences. Some insurers, including Travellers Assist, have stopped offering coverage for trekking in Nepal in recent years.
Efforts to investigate similar allegations date back to 2018, when the Nepalese government formed a probe panel following international media reports. However, its findings were never made public, and no disciplinary action was taken at the time.
Authorities say the current case is among the most significant crackdowns on corruption in Nepal’s adventure tourism industry to date.
