KATHMANDU — Following the arrest of celebrity chef Santosh Shah on banking offense and fraud charges, the severe commercial negligence and deep financial crisis within his famous restaurant 'Mithila Thali' in Gairidhara, Kathmandu, have come to light. Scratching beneath the glamorous branding reveals that the restaurant has engaged in tax evasion, house rent disputes, misuse of partners, and failure to pay millions in market dues.

According to sources, although the restaurant spread across 24 ana of land in Gairidhara appears attractive from the outside, its internal business discipline has completely collapsed.

Preparation for Tax Evasion and Land Vacation at the Ward Office

'Mithila Thali' has been operating on the 24 ana of land owned by Bishnu Raj Koirala. However, it has been revealed that the restaurant has not paid business tax and rental tax to the local ward office for the past year and a half.

Citing non-payment of taxes and breach of agreement, an official application has been registered at the local ward office on behalf of the landowner, giving an ultimatum to relocate the business and completely vacate the house and land by the upcoming Kartik 21. The restaurant has also failed to pay the house rent to the landowner for the past 5 months.

Rent Recovery through a Partner's Bounced Check

Previously, the landowner had to face massive hurdles to recover NPR 2.4 million in outstanding rent. According to sources, Santosh Shah and his group brought another partner, Rajendra Maharjan, into the business and only recovered the NPR 2.4 million rent after bouncing a check issued in his name.

Millions in Market Dues: Lines of Creditors Waiting for Money

Daily lines of vendors supplying goods and individuals who invested loans have formed at the Gairidhara outlet. Since the restaurant has left payments pending for many market parties, suppliers are facing severe hardships.

Details of Outstanding Dues:

Details (Party/Individual) Outstanding Amount/Period Remarks
Naresh Karki Rs. 4,000,000 Payment halted for a long time
Meat Shop (Vendor) Rs. 350,000 Dues for daily consumable goods
House Rent 5 months pending Due to the landowner
Government Tax 1.5 years pending Business and rental tax evasion

Bragging of 'Power' and the Shield of a British Passport

Sources claim that even when surrounded on all sides financially and facing legal questions, Santosh Shah and his business partner Dilip Shah used political and administrative power to intimidate creditors.

Complaints have emerged that Santosh Shah used to threaten the concerned parties, saying, "I am the Food Advisor to Prime Minister Balendra Shah, no one can do anything to me."

Not only that, partner Dilip Shah was also found to create fear and terror among creditors coming to demand their money by claiming that he has direct contact with the Prime Minister and that they are the 'Prime Minister's Food Advisor.' Due to their rude tone and behavior, creditors were afraid to even ask for their money.

Meanwhile, it has been confirmed that the arrested celebrity chef Santosh Shah is actually a British citizen and holds a UK passport. Business insiders state that he ultimately fell into a legal trap because he flouted Nepal's legal and commercial decorum under the guise of foreign citizenship and failed to run the business in a disciplined manner.