Kathmandu, 15 April: Police, who began an investigation after arresting a person with NPR 1.53 million in cash, have uncovered a crypto transaction network worth over NPR 1.36 billion.
On March 19 (6 Chaitra), a team from the Kathmandu Valley Crime Investigation Office arrested 31-year-old Naresh Reule from Samakhusi Chowk. Originally from Nepalgunj Sub-Metropolitan City–20, Smriti Chowk, he was taken into custody after police received information that he was involved in cryptocurrency transactions.
During interrogation, Reule stated that he used to connect people interested in trading cryptocurrency with other individuals and would earn a commission for facilitating such contacts.
Through him, police reached 32-year-old Dipti Pokharel, a resident of Nakhu, Lalitpur Metropolitan City–25. Reule had introduced Dipti to a man named Parvez Ali, also known as SK Basir Iqbal, a 41-year-old originally from Moyna Thana, Medinipur, West Bengal, India.
Police learned from Reule that Dipti had gone to Iqbal to exchange USD 10,000. Acting on this information, police arrested Dipti near Redonpul in Samakhusi with NPR 1.53 million in cash. Following her interrogation, Iqbal was also arrested from Ekantakuna, Lalitpur.
After Iqbal’s arrest, the extent of the crypto operations was revealed. Police found that he had opened a crypto trading account on Binance and used it to deposit and trade in USD. According to his account history, transactions totaling NPR 1,36,80,45,580 (over NPR 1.36 billion) had already taken place, according to an official from the Crime Investigation Office.
Iqbal, who had been conducting crypto transactions worth nearly NPR 1.5 billion, had been living in Nepal for the past 28 years. He was operating a service company named Alibaba Services in Samakhusi.
Police found that Dipti, who worked at the same company, had been involved in crypto trading under his direction. According to investigators, the three arrested individuals were jointly involved in illegal cryptocurrency transactions. Although each blamed the others during statements, police claim the operation was carried out through mutual coordination.
Police also stated that another individual named Anil Ghimire is involved in the case. A case has been filed against him, although his identity and whereabouts have not yet been confirmed. Legal action will proceed once he is identified.
Reule is a repeat offender. He has previously faced charges related to crypto and hundi (illegal money transfer). A banking offense case involving NPR 800,000 has also been filed against him based on a complaint by Jibral Das.
Earlier, another banking offense case was filed against him on Jestha 1 at the Bhaktapur District Police Office based on a complaint by Nisha Dulal.
He is also a fugitive in a foreign employment fraud case filed at the Department of Foreign Employment, Tahachal, based on a complaint by Ram Bahadur Wali.
If released in the crypto and hundi case, he will be presented before other offices where cases against him are pending.
A case worth NPR 1.36 billion has been officially registered against the three arrested individuals at the Kathmandu District Court.
They were initially arrested by the Kathmandu Valley Crime Investigation Office and handed over to the District Police Office, Kathmandu. Based on the completed investigation report, the Government Attorney’s Office has filed charges under offenses related to hundi and unauthorized use of digital (virtual) currency.
The case is currently being heard in the bench of Judge Koshaleshwar Gyawali. Statements from the defendants are ongoing. After the statements are completed, a detention hearing will take place. The court will then decide whether to remand them in custody, release them on bail, or allow release on a general date.
The charge demands recovery of NPR 1,36,00,45,580 under offenses related to the illegal use of virtual currency, as per Section 262 (a), Subsections 1 and 2 of the National Penal Code.
They have also been charged under hundi-related offenses as per Section 125 (1) and (2), involving the unexplained cash amount of NPR 1.53 million. Combined charges of both hundi and illegal virtual currency transactions have been applied.
