NADA Flags Risk to Investment Climate After Golchha Arrest

The NADA Automobiles Association of Nepal (NADA) has expressed concern over recent developments involving its former president, Shekhar Golchha.

In a statement, the association said it was seriously attentive to the situation and cautioned against any unfair treatment toward Golchha, who it described as a key figure in providing direction to Nepal’s private sector and contributing to the country’s economic development. It said such treatment would send a negative message to the broader business community.

“NADA fully believes that facts must be investigated. The private sector has always cooperated with state-led investigation processes and will continue to do so,” the statement read. “However, actions such as sudden arrests or detentions of businesspersons in the name of investigation undermine investor confidence.”

The association further said that at a time when efforts are being made to attract investment, any action that creates uncertainty around respected business figures could foster a climate of fear among both domestic and foreign investors. It added that this could weaken the government’s goal of promoting an “investment-friendly Nepal.”

Golchha was arrested on April 23 by the Central Investigation Bureau (CIB) of Nepal Police in connection with an alleged illegal share trading scheme.

The former president of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) was taken into custody from Naxal, Kathmandu, following an arrest warrant issued by the Kathmandu District Court. He also chairs the Golchha Group, one of Nepal’s major business conglomerates.