Former Speaker Krishna Bahadur Mahara arrested in multi-million gold smuggling scandal at TIA

KATHMANDU: In a major anti-corruption breakthrough, Nepal Police’s Central Investigation Bureau (CIB) has arrested former Speaker of the House of Representatives Krishna Bahadur Mahara for his alleged involvement in a multi-million-dollar gold smuggling case linked to Chinese nationals and Tribhuvan International Airport (TIA) operations.

According to the CIB, Mahara was detained on Sunday after conclusive evidence tied him to the high-profile gold trafficking network that brought contraband gold disguised as electronic vape cartridges into Nepal. The gold smuggling case dates back to December 25, 2022 (Poush 10, 2079 BS), when a Chinese citizen named Li Hansong arrived in Kathmandu on a Fly Dubai flight (FZ0587) from Dubai, carrying two suitcases containing 73 vapes. Investigations later revealed that the vapes concealed 730 gold-filled cartridges worth approximately Rs 85.52 million (US$640,000) in the illegal gold market.

Police investigations exposed deep-rooted customs corruption and institutional collusion involving Customs Officer Revanat Khadka, who allegedly assisted in releasing the smuggled gold through manipulated paperwork. Mahara, a former top political figure, is accused of exerting political pressure on the customs office to free the seized gold and shield the smugglers.

The CIB confirmed that Mahara’s son, Rahul Mahara, had already been arrested and jailed in the same gold smuggling scandal months earlier. Officials said forensic call records and digital communications show frequent contact between Mahara, his son, and two Chinese nationals — Li Hansong and Daoniz Wang — who are believed to be key operatives in the gold smuggling syndicate.

Sources within law enforcement disclosed that Mahara was recently interrogated under money laundering and organized crime laws, following which the CIB decided to take him into custody for further financial investigation and evidence verification. The bureau plans to present him before the Kathmandu District Court on Monday to seek judicial remand.

This case has drawn significant attention from international anti-money laundering agencies, as Nepal continues to face scrutiny over financial crimes, smuggling networks, and governance transparency. Experts say that the gold smuggling racket highlights Nepal’s growing challenges in border security, customs enforcement, and anti-corruption governance, potentially affecting foreign direct investment (FDI) confidence and the nation’s global business image.

Despite Mahara’s long-standing influence within Nepal’s political landscape, law enforcement officials say that the ongoing investigation represents a turning point in Nepal’s anti-corruption efforts. Authorities are now expanding the probe to uncover the financial flows, political protection networks, and international criminal connections behind the Tribhuvan International Airport smuggling route.

The case has also stirred public debate about Nepal’s political accountability, rule of law, and transparency in governance, as the country seeks to strengthen its image as a secure investment destination amid growing concerns about corruption, financial fraud, and cross-border organized crime.