Investor Associations Urge Finance Minister to Accept Sharad Ojha’s Resignation

19th September 2025, Kathmandu

Five investor associations in Nepal have submitted a joint petition to Finance Minister Rameshwar Khanal, urging him to accept the resignation of former Nepal Insurance Authority’s (NIA) Chairperson Sharad Ojha and to promptly appoint a qualified, credible leader.

NIA’s Sharad Ojha’s Resignation

Five investor associations in Nepal have submitted a joint petition to Finance Minister Rameshwar Khanal, urging him to accept the resignation of former Nepal Insurance Authority’s (NIA) Chairperson Sharad Ojha and to promptly appoint a qualified, credible leader. This action follows a period of significant controversy and legal disputes surrounding Ojha’s tenure and his recent attempt to return to the office.

The Ongoing Controversy

The controversy surrounding Sharad Ojha’s leadership at the Nepal Insurance Authority (NIA) has been a significant point of contention in Nepal’s financial sector for months. Ojha, who was appointed as chairman, had his credentials questioned shortly after his appointment. A government probe committee, formed in July, found that he had submitted fake documents regarding his experience and qualifications. Based on the committee’s recommendations, he was formally relieved of his post by a cabinet decision.

However, the situation took a new turn when Ojha filed a writ petition in the Supreme Court, challenging his dismissal. A single bench of the Supreme Court issued a short-term interim order that temporarily stayed the government’s decision to remove him. Relying on this order, Ojha returned to the NIA office, but the Ministry of Finance swiftly intervened, issuing a directive to the Authority not to allow him to resume his duties. This created a state of administrative confusion and a leadership vacuum.

The five investor associations, in their petition to Finance Minister Khanal, highlighted this instability. They argued that the protracted dispute and the accusations of Ojha acting as a “middleman” were severely damaging the reputation and credibility of the Insurance Board, which is a key regulator of the country’s financial sector. The associations’ petition included a copy of Ojha’s purported resignation letter, though the circumstances of this letter’s submission remain unclear.

The Investors’ Demands

The investor associations have made two primary demands to the Finance Minister:

Accept the Resignation: They have urged the Minister to formally accept Ojha’s resignation, which would bring an immediate end to the legal and administrative ambiguities surrounding his position. This would allow the Ministry to move forward with a new appointment process without the encumbrance of the ongoing court case.

Appoint Qualified Leadership: The associations have called for the immediate appointment of a new chairman who is both capable and free of any allegations of misconduct or acting as a middleman. They stressed that the leadership of a financial regulatory body must be beyond reproach to restore public and investor confidence. The ongoing situation has caused significant concern in the insurance sector, especially after the massive claims filed following the recent “Gen Z” movement.

Implications for the Insurance Sector

The controversy at the Nepal Insurance Authority comes at a critical time for Nepal’s insurance sector. In the aftermath of the “Gen Z” movement protests, the sector is dealing with a massive influx of claims, totaling over NRs 20 billion. The lack of stable and credible leadership at the regulatory body could hinder the claims settlement process and create further uncertainty. A stable and competent chairman is essential for providing clear directives, ensuring fair practices, and building resilience in the sector.

The Ministry of Finance had already initiated a process to appoint a new chairman after Ojha’s dismissal. A three-member recommendation committee, led by National Planning Commission Vice-Chairman Dr. Shivaraj Adhikari, had invited applications, and 14 candidates had applied. The investor associations’ petition adds to the pressure on the government to expedite this process and ensure that the new appointment is based on merit and impeccable qualifications, thereby addressing the concerns of both investors and the public. The continued uncertainty at the helm of the Insurance Authority poses a risk to the stability of the entire insurance market, making the swift resolution of this leadership crisis a top priority for the Finance Ministry.

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