The outsourcing sector has witnessed a sharp rise in fraud cases in the last two months after its fall to the lowest point in Kartik (mid-October to mid-November) of the current fiscal year.

Department of Foreign Employment had recorded 81 fraud cases against agents (67) and outsourcing agencies (14) in Kartik. The total number of outsourcing fraud cases touched 1,012 till mid-January. 

Outsourcing fraud cases have gone down following Prime Minister Dr Baburam Bhattarai’s directive in August last year to make the business transparent and responsible. However, with the current trend that started in Bhadra (mid-August to mid-September), the number of fraud cases related to foreign employment is going to break the previous record. According to the department, Bhadra witnessed the highest number of fraud cases in the foreign employment sector. “About 238 fraud cases— 153 against agents and 85 against outsourcing agencies— were registered at the department,” said Kashiraj Dahal, director at the department. Around 215 fraud cases were registered in the department in Shrawan (mid-July to mid-August). 

PM Bhattarai has ordered the department to stop the growing number of fraud cases in the sector. He formed a high-level committee under expert Dr Ganesh Gurung to suggest reforms in the sector in late August. The committee has suggested a 20-point reform for immediate enforcement including the installation of CCTV in the department premises, cash transactions through banks and keeping a record of returning migrant workers. “We have installed CCTV in the department and cash transactions through banks have begun. But there is a problem in recording migrant workers who have returned,” he said. 

The department has not started the registration process of returning migrant workers as Tribhuwan International Airport (TIA)’s administration has not provided sufficient space for a labour desk. “We are talking to TIA and hope it will start soon,” he assured. According to the department, outsourcing fraud cases registered in the department have claims worth over Rs 578.22 million. However, the department has resolved claims worth Rs 317.01 million and cases worth Rs 261.21 are under the consideration of the Foreign Employment Tribunal. 

The biggest fraud case perpetrated by Bell International was registered at the tribunal two weeks back. The outsourcing agency has cheated Rs 130 million from over 600 youths promising them jobs in Poland in the last one and a half years.

Published on: 11 February 2012 | The Himalayan Times