The High Court of Tulsipur, Nepalgunj, has ordered three individuals—including the founding chairman of Karnali Development Bank to remain in custody while their trial proceeds.
Charges of Large-Scale Financial Misuse
The accused are facing charges linked to a major financial scandal involving the misuse of over Rs. 3.2 billion from the bank. Out of 109 total defendants, 103 are still on the run.
Among those sent to judicial custody are:
- Rajendra Bir Ray, Founding Chairman
- Pashupati Dayal Mishra, Former Chairman
- Bed Prakash Singh Thakuri, Former Head of the Finance Department
According to the court, releasing them could influence the investigation or damage the ongoing legal process.
One Released on Bail (But Still in Custody)
Former Nepal Rastra Bank employee Bhuvan Basnet was granted release on a Rs. 200,000 bail, but has not paid the amount yet. As a result, he is still being held in custody. The court stated he will be released once the bail is paid.
Over 100 Still at Large
The court has also issued public notices for more than 100 absconding defendants. This comes after the Central Investigation Bureau (CIB) submitted its investigation, declaring financial misconduct and recommending prosecution.
Massive Claims Against Individuals
The prosecution has demanded repayment and penalties from the main accused:
- Rajendra Bir Ray: Rs. 2.63 billion
- Pashupati Dayal Mishra: Rs. 824.6 million
- Bed Prakash Thakuri: Rs. 246.3 million
- Bhuvan Basnet: Rs. 100.9 million
The case was filed by the Government Attorney’s Office based on CIB’s report, which recommended a lawsuit to recover Rs. 3.2 billion misappropriated from the bank.
