eSewa Phishing Scam Nepal Arrest: Million Rupees Stolen from Digital Wallet Users
16th April 2025, Kathmandu
Police have arrested a 22-year-old man for allegedly stealing over Rs. 10.2 million from thousands of eSewa digital wallet users across Nepal.
eSewa Phishing Scam Nepal Arrest
The suspect, identified as Rahul Budha, hails from Kanchanpur but was living in Anamnagar, Kathmandu, at the time of his arrest. He was taken into custody from Kalimati on Baisakh 2 (April 15).
Phishing Scam Uncovered
According to the Kathmandu Valley Crime Investigation Office, Budha ran a phishing scam. He sent fake SMS alerts to eSewa users under names like “The Alert” and “AT Alert.”
These messages warned users that their accounts were about to be suspended. To avoid this, users were asked to verify their accounts by clicking on a link.
Once users clicked the link and entered their login credentials, Budha gained unauthorized access to their eSewa accounts. From there, he transferred the balances to his controlled merchant accounts.
Thousands of Victims
Investigators revealed that Budha targeted over 4,000 eSewa accounts. The stolen amount totals more than Rs. 10.2 million.
He funneled the funds into accounts under the name Pashupati Global Innovation Pvt. Ltd. Police suspect these merchant accounts were created to mask the transactions.
The scam was carefully executed. Budha used social engineering tactics to gain victims’ trust. By mimicking legitimate alerts, he managed to fool a large number of users in a short time.
Arrest and Ongoing Investigation
Following his arrest, police transferred Budha to the District Police Office, BhadraKali, for further investigation.
Authorities are now trying to recover the stolen funds. They are also checking whether other individuals or networks were involved in the operation.
Superintendent of Police Angur GC confirmed the arrest and said further technical analysis is underway. He warned the public to stay alert when receiving suspicious messages or links.
Cybersecurity Concerns Rise
This case has raised serious concerns about digital security in Nepal’s growing fintech industry. eSewa, one of Nepal’s most widely used digital wallets, handles millions of transactions daily.
While the company has not yet released an official statement, experts believe the breach exposes a gap in user awareness and system safeguards.
SP Angur GC urged users to avoid clicking on unknown links and to double-check the source of any account-related messages. He also suggested fintech companies implement more secure login systems and two-factor authentication.
A Lesson for the Digital Age
As mobile wallets become more popular, so do the risks of digital fraud. This incident serves as a wake-up call for both users and service providers.
Police continue to dig deeper into the case. Meanwhile, cybersecurity advocates are calling for stronger public awareness campaigns to help prevent future scams.
The incident shows how one individual can exploit trust and technology to cause widespread harm. It’s a stark reminder of the need for vigilance in Nepal’s digital economy.
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