Police have arrested the manager of a credit cooperative in Palpa district on charges of embezzling around Rs 28.7 million. 

The suspect, Bishnu Bahadur Bamrel (Bishwakarma) of ward 4 of Rambha Rural Municipality is the manager of Laligurans Savings and Credit Cooperative.

According to Inspector Kamal Pradhan of the Palpa District Police Office, Bamrel was arrested from his home on August 12 night following a complaint filed by cooperative chair Subi BK. An audit report alleged that Bamrel misappropriated Rs28,757,000 from the institution, diverting members’ savings for personal and family use.

The cooperative operates in Rambha, Purba Khola, Bagnaskali and Mathagadhi rural municipalities, serving nearly 1,000 members through its branches in various locations.

The audit also found that around Rs50 million in depositors’ savings and nearly Rs10 million owed to the National Cooperative Bank remain unpaid. Following the revelation, depositors have been pressuring the cooperative’s management to return their money.

Police said Bamrel, a founding chair and later executive manager of the credit cooperative since 2007, has been remanded for seven days for further investigation.