The Kathmandu District Court has issued arrest warrants against 24 individuals, including Gitendra Babu (GB) Rai, Chair of the Gorkha Media Network, for alleged misappropriation of funds at the Swarnalakshmi Multipurpose Cooperative, headquartered in Kalimati, Kathmandu.

At the request of the Kathmandu Metropolitan Police Range, the court approved the warrants for GB Rai and others connected to the cooperative, which operates branches in New Road, Maharajgunj, Swayambhu, and Jorpati. The cooperative reportedly collected deposits totalling Rs2.65 billion from 6,669 members, with over 645 depositors filing complaints about the alleged misappropriation of Rs1.11 billion by the cooperative’s officials and employees.

The police cited reports by affected depositors and a Parliamentary Special Investigation Committee as grounds for the arrest warrants. Among those facing charges are Swarnalakshmi Cooperative’s vice-chair Devendra Babu Rai, treasurer Kumar Ramtel, secretary Iran Lama, joint secretary Kabita Lama, and other current and former officials.

The investigation follows recommendations from the committee, led by CPN-UML lawmaker Surya Bahadur Thapa, urging authorities to prosecute those responsible. Former deputy prime minister and home minister Rabi Lamichhane and former deputy inspector general Chhabilal Joshi have already been detained in connection with the case and are currently held at Kaski District Police Office on related charges of cooperative fraud, organised crime, and money laundering.

Lamichhane and Joshi are also under investigation in other cases involving similar allegations with cooperatives in Pokhara, Butwal, Bharatpur, and Birgunj, where funds were reportedly channelled through Gorkha Media Network.