Fiscal Nepal
First Business News Portal in English from Nepal
KATHMANDU: A massive corruption case has been filed against 109 individuals involved in the Karnali Development Bank scam, with the government claiming a total loss of NPR 3.20 billion (Rs 3 Arba 20 Crore 11 Lakh).
The District Government Attorney’s Office in Banke filed the charge sheet on Wednesday at the Nepalgunj bench of the High Court, Tulsipur, after completing an in-depth review of the police investigation report.
Assistant District Government Attorney Govinda Bahadur Shahi confirmed the development: “We have submitted the charge sheet today. All 109 people have been named as defendants.”
Among the key accused are:
Rajendrabir Raya, former chairman of the Board of Directors of Karnali Bikas Bank,
Pashupati Dayal Mishra, another former chairman, and
Bhuvan Basnet, a then-official at Nepal Rastra Bank (NRB) who had supervised the bank during key periods.
While the court had already issued arrest warrants against all 109 accused, only four individuals, including Raya, Mishra, and Basnet, are currently in police custody.
Raya was arrested on Jestha 18,
Mishra was taken into custody about a month later, and
Basnet, who has already retired from Nepal Rastra Bank, was arrested on Shrawan 2.
The remaining 105 suspects are on the run.
According to the Central Investigation Bureau (CIB) of Nepal Police, the accused include former board members, bank employees, and external collaborators who conspired in misappropriating NPR 3.20 billion from the development bank over several years.
On Shrawan 8, the CIB submitted a report to the District Government Attorney’s Office, recommending that 111 individuals be named as defendants. After legal review, 109 were formally charged.
The Karnali Bikas Bank case has sparked concern across Nepal’s banking and financial sector, prompting scrutiny over regulatory oversight by Nepal Rastra Bank and the corporate governance failures within the bank.
This financial crime scandal is now one of the largest of its kind in Nepal, with authorities under pressure to bring all absconding individuals to justice and safeguard investor confidence in the country’s banking sector.
Your email address will not be published. Required fields are marked *
Comment *
Name *
Email *
Website
Save my name, email, and website in this browser for the next time I comment.
