The Patan High Court on Thursday ordered the release of former speaker Krishna Bahadur Mahara on Rs2 million bail, overturning an earlier decision of the Kathmandu District Court to send him to judicial custody in connection with an ongoing gold smuggling investigation.

A division bench of judges Arjun Prasad Koirala and Tejendra Prasad Sharma Sapkota issued the order, ruling that the district court’s decision under Section 67 of the Criminal Procedure Code 2017 to remand Mahara for pretrial detention did not align with legal requirements.

Mahara, who has been implicated in a high-profile gold smuggling case, was arrested by the Central Investigation Bureau (CIB) of Nepal Police on October 12. On October 15, the Kathmandu District Court had directed that the former speaker be held in custody pending trial.

With Thursday’s ruling, the High Court has set aside the District Court’s earlier order, paving the way for Mahara’s release upon posting bail.