Kathmandu, July 1 -- Prime Minister KP Sharma Oli on Monday came down heavily on Nepal Airlines Corporation, saying that repeated management failures were not acceptable and it has become "critically ill".

"Why is the state-backed Nepal Airlines in a loss while private players are making profit?" Oli questioned while addressing the 61st anniversary of the national flag carrier. "It's an irony that corporation, which has turned 61, has made all the progress in accumulating a loan of Rs36 million."

The cash-strapped corporation which has struggled to stay afloat has now started defaulting on loans despite procuring new planes and making money from TIA ground handling. The company historically has poor financial performance.

"The corporat...