Nepal has booked 33 people in a Rs 130 crore fake air rescue insurance scam where foreign tourists were allegedly poisoned or coerced into unnecessary rescues and hospitalisation to inflate insurance claims. Several arrests have been made, and investigations are ongoing.
A court case has been filed against 33 individuals in Nepal for their alleged involvement in a large-scale fake “air rescue” insurance scam targeting foreign tourists, with fraudulent claims amounting to around Rs 130 crore.
According to Nepal Police’s Central Investigation Bureau (CIB), the case was registered on March 20 after the bureau submitted its investigation report to the government attorney’s office on March 15. Of the 33 accused, 10 have been arrested, while the remaining are absconding.
The investigation revealed that the accused collectively defrauded insurance companies by creating fake documents related to tourist rescues and medical treatments. The total fraud includes approximately NPR 94.84 crore, USD 2.99 million, and EUR 14,500. Based on 2022 exchange rates, the total claim value is estimated at around Rs 130.42 crore.
The case pertains to fraudulent rescue operations carried out since 2022. Authorities have recommended prosecution under multiple charges, including crimes against national interest, criminal gain, document-related offences, and organised crime.
The accused include stakeholders across the tourism and rescue ecosystem: 16 trekking companies, five rescue companies, three hospitals, four helicopter companies, three local agents, and one independent guide.
The CIB began its probe on January 25, leading to the arrest of several company owners, managers, a hospital operator, an aviation expert, a trekking company operator, and a guide. Among those arrested are individuals linked to Mountain Rescue Service, Nepal Charter Service, and Everest Experience and Assistance.
Investigators found that the accused had filed insurance claims worth Rs 285.62 crore using fake documents since 2022. Mountain Rescue Service alone conducted 1,248 rescues, of which 171 were found to be fake, leading to claims of around Rs 149.49 crore, out of which nearly Rs 130 crore was paid.
Similarly, Nepal Charter Service carried out 471 rescues, with 75 deemed suspicious, resulting in claims of about Rs 119.39 crore. Everest Experience handled 601 rescues, including 71 suspicious cases, claiming around Rs 16.73 crore.
The probe also uncovered that tourists were often forced into unnecessary hospitalisation after rescue. In some cases, tourists were sent shopping during the day and admitted to hospitals only in the evening. Authorities found that passports were withheld until insurance payments were guaranteed.
Victims were allegedly coerced into signing documents stating they were not forced into rescue and were satisfied with hospital services. Hospitals were found to admit patients primarily to inflate insurance claims, even allowing them to stay in hotels and roam freely before issuing discharge papers later.
Fake medical reports and inflated bills were used to extract money from insurers, which was then shared among hospital operators, rescue firms, and trekking agencies.
The investigation was conducted following recommendations from a high-level committee formed on October 19, 2025, under the coordination of Culture, Tourism and Civil Aviation Minister Anil Sinha. Complaints from victims and whistle-blowers also played a key role in advancing the probe.
Police have recommended prosecution of all accused under combined charges, as the case exposes deep collusion across Nepal’s tourism, healthcare, and aviation sectors
