Former Investment Board CEO Sushil Bhatta Arrested Over Financial Misconduct Probe
18th October 2026, Kathmandu
In a major development, former Chief Executive Officer (CEO) of Investment Board Nepal (IBN), Sushil Bhatta, was taken into police custody late Saturday night from Lalitpur. The arrest was carried out by a specialized team from the District Police Range, Kathmandu, as part of an ongoing probe into financial irregularities.
Key Highlights
Custody & Location: Sushil Bhatta was apprehended in Lalitpur on Saturday night by police officers deployed from the District Police Range, Kathmandu.
Legal Charges: Authorities confirmed that Bhatta is being investigated for alleged offenses under the Nepal Rastra Bank Act and related financial offense laws.
Key Connections: The arrest follows key revelations linked to financial transactions and network connections involving Inam Sapkota.
Judicial Link: Statements provided by Sapkota, who has links to former Chief Justice Cholendra Shamsher Rana, prompted law enforcement to take Bhatta into custody.
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Prison Connection: Investigative sources indicate that phone communications were uncovered between Sapkota and Deepak, an inmate currently serving a sentence in Nakkhu Jail.
Investigation Under the Nepal Rastra Bank Act
Senior police officials confirmed that Bhatta’s detention centers on money laundering and violations outlined under the Nepal Rastra Bank Act. The investigation gained momentum following statements recorded during interrogations of key figures tied to high-profile financial networks.
Authorities are actively reviewing transaction logs, bank records, and communication channels connecting Bhatta, Sapkota, and other involved parties.
Background and Ongoing Probe
Sushil Bhatta previously served as the Chief Executive Officer of Investment Board Nepal, the primary government agency tasked with facilitating major foreign direct investments (FDI) and large-scale infrastructure projects across Nepalese jurisdictions.
Police officials stated that Bhatta remains in custody at the District Police Range, Kathmandu, while further interrogation and evidence gathering continue. Updates will follow as official charges are formally processed in court.
