Nepal’s Anti-Money Laundering Agency Recommends Prosecution Against 29 Individuals in Multi-Billion Rupee Financial Case

Nepal’s Department of Money Laundering Investigation has recommended legal action against 29 individuals, including controversial businessmen Deepak Bhatt and Sulabh Agrawal, in one of the country’s largest financial crime investigations in recent years. The department has submitted its investigation report to the Kathmandu District Government Attorney’s Office, seeking prosecution under money laundering laws while claiming irregular transactions amounting to nearly Rs. 20 billion.

The recommendation comes after months of investigation into alleged financial misconduct involving insurance companies, securities trading, investment structures, and share transactions. Investigators claim the accused used interconnected companies and layered financial arrangements to move large sums of money in ways that violated existing financial and securities regulations.

Among those named in the recommendation are Shankarlal Agrawal, Shahil Agrawal, Shekhar Golchha, Raj Bahadur Shah, Upasana Paudel, Rohit Gupta, and Rishiraj Mor, alongside other individuals linked to the alleged network. Authorities believe the transactions were not isolated incidents but part of a coordinated financial structure designed to conceal the source and movement of funds.

According to the department, the accused allegedly transferred around Rs. 3.73 billion through various companies and investment entities before using those funds to acquire shares in competing businesses. Investigators suspect that the transactions were structured in a manner intended to hide the original source of the money while creating layers of ownership and investment exposure across multiple sectors.

The investigation has raised serious concerns over weaknesses in Nepal’s financial oversight mechanisms, particularly in the insurance, securities, and capital market sectors. Officials involved in the case claim several transactions bypassed the spirit of regulatory transparency despite operating through formally registered corporate structures.

Authorities have alleged violations related not only to money laundering laws but also to insurance regulations, securities laws, and rules governing share trading and investment management. Investigators argue that the accused used complex business structures and investment vehicles to obscure financial flows and avoid regulatory scrutiny.

The case gained further attention after the department arrested Sulabh Agrawal on April 3 and Deepak Bhatt on April 1 as part of the investigation process. While some individuals connected to the case remain in custody, authorities say several others are currently out of contact or believed to be absconding.

Officials at the Kathmandu District Government Attorney’s Office confirmed that the legal review of the investigation report is in its final stage. Once the review is completed, prosecutors are expected to formally file the case in court, possibly within the coming days.

Under Nepal’s anti-money laundering laws, individuals found guilty could face prison sentences ranging from two to ten years, fines equivalent to the claimed illegal amount, and confiscation of assets whose sources cannot be legally verified. Legal experts say the case could become a major test of Nepal’s ability to pursue high-profile financial crime investigations involving politically and economically influential figures.

The development has also intensified debate over transparency within Nepal’s corporate and investment sectors. Financial analysts argue that the investigation reflects growing concern among regulators about the misuse of public investment, weak corporate governance practices, and the increasing complexity of financial transactions taking place through interconnected business groups.

The outcome of the case is likely to have wider implications beyond the individuals directly involved. Market observers say the investigation could influence future regulatory reforms, strengthen scrutiny over investment structures, and reshape public confidence in Nepal’s financial and capital market institutions.