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The Chhaya Center, a commercial hub in Thamel, has become embroiled in a legal and cultural dispute over land that was traditionally owned by the Pradhan Newar community.

Kathmandu: In a significant move prompted by mounting human rights concerns, Visa Facilitation Services (VFS) Global, a commercial company, working in partnership with Consulate General of Italy, to provide support services to people applying for a visa to Italy, has announced it will vacate its office at the Chhaya Center in Kathmandu’s Thamel district. The decision comes after a formal complaint filed with the Swiss National Contact Point for Responsible Business Conduct (NCP), accusing the company of failing to address human rights violations linked to its involvement with the controversial property.

On December 9, VFS Global informed the Swiss NCP in writing that it would not renew its lease at the Chhaya Center and would relocate as soon as possible. This follows the publication of the Swiss NCP’s initial assessment on December 18, which accepted the complaint filed by two individuals from Nepal. The NCP offered mediation services, noting that if VFS follows through with its relocation, the basis for further discussion would cease, closing the case.

The Chhaya Center, a commercial hub in Thamel, has become embroiled in a legal and cultural dispute over land that was traditionally owned by the Pradhan Newar community. This land, which includes a sacred pond, has been at the heart of a decades-long legal battle. The case remains pending before Nepal’s Supreme Court, with the community and activists asserting that the land was wrongfully converted to private ownership.

The complaint alleges that VFS Global, by continuing its operations at the Chhaya Center, failed to conduct proper human rights due diligence regarding its involvement with the property. The activists claim that the company’s association with the center has worsened the harm done to the Pradhan Newar community, particularly by infringing upon their cultural and religious heritage. The complainants are calling on VFS to suspend or sever ties with the center until the land dispute is resolved and to ensure its operations align with international human rights standards.

Concerns over the safety of local activists involved in opposing the Chhaya Center’s construction have also been raised, with reports of harassment and threats. The complainants are seeking a public acknowledgment from VFS of its role in the alleged human rights violations and a commitment to engaging with the affected community to remedy the situation.

VFS’s decision to relocate comes amid growing international attention to the issue, which has also drawn scrutiny from other multinational companies. In August 2023, a similar complaint was filed with the United States National Contact Point against Marriott International, which operates the Aloft Kathmandu franchise at the Chhaya Center. The case remains under review.

As VFS prepares to leave the complex, the future of the sacred pond and the disputed land remains uncertain. Activists continue their efforts to restore the land to the Pradhan Newar community, calling for justice for the cultural and religious significance of the area.