A four-month dispute over the chief administrative officer at Birgunj Metropolitan City has escalated further, with the local government deciding to suspend all services and hand over office keys to the federal ministry.

According to Navaraj Phuyal, press adviser to Mayor Rajeshman Singh, a meeting held on Monday attended by the mayor, Deputy Mayor Imtiyaz Alam, and most ward chairpersons decided to shut down services and travel to the Ministry of Federal Affairs and General Administration on Wednesday to submit the office keys.

The metropolitan city has continued to refuse to allow Joint Secretary Reshamlal Kandel, whom the federal government transferred to Birgunj four months ago, to assume office as chief administrative officer.

The government led by then Prime Minister Sushila Karki decided on February 24, 2026, to assign Kandel to Birgunj Metropolitan City. However, city officials opposed the transfer from the outset, saying it had been made without the consent of the metropolitan office.

City officials said Kandel did not report to work immediately after the transfer order and instead stayed in Kathmandu while allegedly attempting to defame the metropolitan office through various media outlets. They said this was the reason they would not allow him to take charge under any circumstances.

Phuyal said the meeting concluded that the metropolitan office could not work with an employee who “disobeys the government and tarnishes the reputation of the city.” He added that the city would accept another chief administrative officer if the ministry sends a replacement instead of Kandel.

As the dispute continues, the metropolitan city has remained without a chief administrative officer for nearly four months, affecting financial and administrative operations. Employees have not received salaries since mid-January, and development and construction work have also been disrupted.

Phuyal said the metropolitan city had previously written to the ministry requesting reconsideration of Kandel’s transfer, but the request was ignored.