The government has launched detailed investigations into the dubious financial affairs of controversial businessman Ajeya Raj Sumargi. He is under investigation on the charges of illegal transfer of funds into country and money laundering.

The Department of Money Laundering Investigation (DMLI) on Tuesday appointed five investigation officers for detailed investigations into Sumargi’s shady financial deals.

A Deputy Attorney of DMLI, a Deputy Superintendent of Police, a tax officer, a law officer and an administration officer have been appointed as detailed investigation officers, said Director General at DMLI Jeevan Prakash Sitaula.

The investigation officers were appointed according to Money Laundering Prevention Act Section 15 after the preliminary investigation report, prepared jointly by the Anti-money Laundering Department and the Central Bureau of Investigation, termed the money remitted by Sumargi and the additional money he is planning to bring in are illegal.

DMLI said the five investigation officers will conduct further investigation into Sumargi’s funds. According to the act, a preliminary investigation has to be conducted if any suspicious fund or transaction is seen. Earlier, the DMLI officials and the Central Investigation Bureau of Nepal Police with cooperation from the Financial Information Unit of the Nepal Rastra Bank had jointly prepared a study report on Sumargi’s transactions and submitted it to the DLMI director. 

However, Director General Sitaula declined to divulge the names of the officers and the date.

The joint report has indicated that Sumargi may have formed shell companies in tax havens; transferred ill-gotten wealth from Nepal; and remitted the money back to the country in the name of investment and loans to cleanse the dirty funds.

It says Sumargi and firms affiliated to him have brought around Rs9 billion illegally to Nepal through “suspicious companies” based in tax havens, signalling his involvement in shady business deals.