Kathmandu, Jan 8: The Patan High Court has upheld a compensation order against renowned mountaineer Nirmal ‘Nims’ Purja, confirming his company’s legal responsibility for a devastating explosion that destroyed a rented house in Kapan, Kathmandu.
A division bench comprising Judges Keshav Prasad Bastola and Tejendra Sharma Sapkota affirmed an earlier verdict of the Kathmandu District Court, which directed Purja and his firm, Elite Himalayan Adventure Pvt. Ltd., to compensate the property owner for damages caused by the blast.
The explosion, which occurred on September 21, 2022, was triggered by the unauthorised storage of LPG and oxygen cylinders inside the residential building. The house, rented for tourism-related business operations, was completely destroyed and later declared unfit for habitation following a technical inspection.
Purja’s company had challenged the District Court ruling, arguing that it should not be held financially liable. However, the High Court dismissed the appeal, concluding that the tenant company bore full responsibility under the rental agreement and general principles of tort law.
The court also rejected the argument that insurance coverage could absolve the responsible party of liability, establishing a clear judicial position that insurance compensation does not negate accountability for wrongful acts.
The Kathmandu District Court had earlier ordered Rs 11.3 million in compensation to landlord Tanka Bahadur Ghising, after finding Purja and his company guilty of negligence. The victims, including Ghising and his wife Dalamu Kitar Ghising, had filed a counter-appeal seeking higher damages, claiming losses that included household property, cash, and valuables.
The destroyed structure was a two-and-a-half-storey concrete house built on one ropani of land in what is now Budhanilkantha Municipality Ward No. 11. Despite repeated assurances from the tenant company and appeals to various state authorities, no compensation was paid, prompting the homeowners to seek legal remedy.
Following the filing of the case, the District Court ordered the freezing of share transactions and land registered in the names of the company’s directors to secure potential compensation.
With the High Court’s ruling, the compensation order remains in force, reinforcing legal accountability for commercial entities operating in rented residential properties.