Now, they are running 15 companies ? Rajendra Khetan, Executive Director of Khetan Group prefers to call them active companies ? under the sole control of Khetan Group or with their partnership. "We had invested in tens of other companies too, but sold them later, mostly during 1987 to 1997," Rajendra adds.

He calls that decade as one of the most volatile periods for their business. "The country was seeing radical changes and we could not decide which turn we should give to our business."

"However," Rajendra adds, "we were successful in limiting our investment within our capacity. Had we gone for investing beyond our limit, we could have been facing the similar problem that many business houses are facing now."

The Khetan Group now owns stocks worth Rs 250 million, in addition to their investment in Private Limited Companies. And, this is the foundation that Purnamal Khetan, great-grandfather of Rajendra Khetan led more than 125 years ago. Purnamal had come to Nepal at the age of 12 from the Indian State of Rajasthan.

Kishanram Khetan had dropped his son Purnamal at Birgunj to begin a business and become self-dependent. It was the support of other Marwaris that helped settle this young boy in Kathmandu.

After Purnamal, it was his only son Bihari Lal Khetan, who continued and expanded Khetan?s business and image, then came Mohan Gopal Khetan and Hari Gopal Khetan. Now, the business is on the hands of Rajendra Khetan, CP Khetan and PP Khetan.

"We were first on textile trades, then moved on to supply of other essential commodities. Then we operated two petrol pumps, begun third-country exports and imports, took the dealership of Fuji films and Heno motors?and a lot, before entering into investment sector," recalls Mohan Gopal Khetan, Chairman of Khetan Group.

After the entry into industrial and manufacturing sector in 1986, they have been constantly diversifying their businesses.

First, they invested Rs 100 million on three government companies - Nepal Metal Industries, Nepal Orient and Magnesite and Butwal Spinning Mills. Second, they acquired permission to run brewery factories and manufacture instant noodles. Third, they received license to operate airlines, insurance companies and banks.

Had they not been approached by then Nepali ambassador to UK and Denmark in 1988/89 - Bharat Raj Sinha, they might not have been producing Carlsberg Beer in Nepal. An international collaboration in Carlsberg, though could not become successful, their next product, Tuborg has rocked the brewery market.

Rajendra claims that the five companies in which the Khetan Group has lead shares, alone pays Rs 20 million annually as income tax. "The taxes paid on excise and VAT from instant noodles and brewery sales contributed 1.5 percent of total tax revenue," he says adding that this makes them the second largest taxpaying group in the country.

He proudly claims that Khetan Group is one of the best running corporate houses in Nepal. It is mainly because they have the best debt-equity management, as the group has no problem in managing debt and have sufficient capital base.

Further, they are the second largest taxpayers and majority of their products are ruling over the market. "We want to hold number one position in every sector that we have been engaged in," Rajendra says adding that they will stick with their existing sectors, but will give in-depth thoughts before entering into a new business.

Among the failures of Khetans, the most remarkable is the collapse of the Everest Air. "We failed, but do not have any dues owed to the Everest Air," Rajendra says claiming that the Airlines could not run because of the differences among the partners ? Captain R B Pradhan and R R Pandey and the Khetan Group.