Police seized 17kg gold from a man in Khudi, Lamjung, on Thursday. Pasang Lama of Nasong Rural Municipality-9, Manang, was held along with the gold and Rs 30,500 cash as he was heading towards Besishahar, the district headquarters, on a motorcycle.

Deputy Superintendent of Police Padam Bista said 17 gold bars with stamps of five  companies were recovered from Lama.

He added that Lama had smuggled the gold through the Larke pass near Manang-Gorkha border.

Following his arrest, Lama had told police that he was just a transporter and that he was paid Rs 20,000 for taking the gold to Besishahar from Manang.

DSP Bista said the gold may have entered Nepal from China via the Ruila border point in Gorkha district.