Former home minister and chief of Rastriya Swatantra Party (RSP) Rabi Lamichhane, who has been held in Kaski police custody for investigations.

Lamichhane, who has been facing charges of cooperatives fraud, organised crime, and money laundering, was brought to Kathmandu on Thursday evening for investigation in a cooperative fraud case registered at the Kathmandu District Police. He has been accused of being involved in the Kalimati-based Swarnalakshmi Cooperative fraud case.

According to police officials, they transferred Lamichhane to Kathmandu after recording his statement on the charges of embezzlement of deposits from the Suryadarshan Cooperative in Pokhara. The Kathmandu District Court issued an arrest warrant against Lamichhane on November 17 for his alleged role in misappropriating funds from the Swarnalakshmi Cooperative.

An arrest warrant was also issued against former DIG Chhabilal Joshi, one of the partners of Lamichhane in Gorkha Media Network, in connection with the Swarnalakshmi Cooperative case. Joshi’s statement was recorded at the District Attorney’s Office in Kathmandu.

The Kaski District Court on November 24 extended his remand for an additional 15 days for further investigation. Lamichhane was already in custody for over 40 days when the latest remand was granted. While investigations in Kaski focus on cooperative fraud, organised crime, and money laundering, Lamichhane is also implicated in similar allegations involving Butwal's Supreme Cooperative and has previously been questioned by the Rupandehi District Attorney’s Office.

Following his statement in Kathmandu, Lamichhane will be returned to Kaski. Additionally, arrest warrants have been issued against Lamichhane and others in Chitwan.

Lamichhane was apprehended by a Central Investigation Bureau (CIB) team from the RSP’s central office in Banasthali, Kathmandu on October 18, and transported to Pokhara for investigation. Previous probes including the one conducted by a special parliamentary probe committee alleged that he, as managing director of the now-defunct Gorkha Media Network, was involved in diverting funds from multiple cooperatives, including Rs30 million, into personal accounts.