The Federal Parliament on Monday, December 23, suspended Rabi Lamichhane, Chairman of the Rastriya Swatantra Party (RSP) and representative of Chitwan Constituency-2, as a lawmaker.
The Parliament Secretariat, in an official notice, stated that the suspension was in accordance with Section 27 of Nepal’s Asset (Money) Laundering Prevention Act, 2008. It states: “Any official or staff of any bank, financial institution, non-financial institution, or civil servant shall be deemed to be in automatic suspension for the period they are in custody under this Act or until the case is decided if charges are filed pursuant to Section 22.”
The suspension follows a case filed against Lamichhane and 30 other individuals , along with eight institutions, at the District Court in Kaski. The allegations are linked to financial irregularities involving the Pokhara-based Suryadarshan Savings and Cooperatives Limited.
Out of the 31 individuals charged, all face accusations of cooperative fraud. Nineteen are also charged with organized crime, and four, including Lamichhane, face charges of money laundering. Lamichhane, a former Deputy Prime Minister and Home Minister, faces all three charges.
Read: Recovery of Funds from Cooperatives Unlikely as their Liabilities Exceed Assets
Lamichhane has been in custody since his arrest on October 18 at the RSP party office in Kathmandu. He was transferred to Kaski for investigation on the same day.
Meanwhile, the RSP, Nepal’s fourth-largest party in the House of Representatives, appointed Vice-Chairman DP Aryal as the Acting Chairman of the party earlier in the day.
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