Former Finance Minister Bishnu Prasad Paudel Arrested Amid Nepal’s Anti-Corruption Drive

On June 23, 2026, Nepalese police detained Bishnu Prasad Paudel, 66, a former finance minister and senior leader of the Communist Party of Nepal (UML). The arrest occurred at a hotel in western Nepal. Police indicated that Paudel would be transferred to Kathmandu and handed over to the Department of Money Laundering Investigation for further processing.

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Paudel served in multiple ministerial capacities under the administration of former prime minister K.P. Sharma Oli. Oli’s government was removed after widespread anti-graft protests that resulted in at least 76 deaths, more than 2,500 injuries, and the burning of several government buildings, including the parliament. Both Oli and his home minister were subsequently arrested for failing to prevent the violence, though they remain out on bail.

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• Bishnu Prasad Paudel – Former finance minister, senior UML leader, and former member of Oli’s cabinet.

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• K.P. Sharma Oli – Former prime minister whose administration faced anti-graft protests.

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• Balendra Shah – Prime minister since March, a former rapper who campaigned on a corruption-free agenda.

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• Abi Narayan Kafle – Police spokesperson announcing Paudel’s detention and transfer.

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• UML officials – Party representatives planning an internal meeting to discuss the arrest.

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• Fatalities: at least 76 people.

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• Injuries: more than 2,500 individuals.

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• Property damage: several government structures, including the national parliament, were set ablaze.

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The detention of Paudel aligns with Prime Minister Balendra Shah’s pledge to address past abuses. Targeting a senior figure from the previous administration demonstrates the government’s focus on financial misconduct and signals a continuation of the anti-corruption drive that followed the anti-graft protests.

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Police spokesperson Abi Narayan Kafle said Paudel was being transferred to Kathmandu for handover to the Department of Money Laundering Investigation. Prime Minister Balendra Shah, whose platform emphasized anti-corruption measures, has publicly pledged action against past abuses, though the source does not provide a direct quotation of his remarks.

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• “Police spokesperson Abi Narayan Kafle said Paudel was being brought to Kathmandu and would be handed over to the Department of Money Laundering Investigation.” — Abi Narayan Kafle, Police spokesperson

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• “A UML official said senior party leaders would meet on Tuesday to discuss the development.” — UML official, Communist Party of Nepal (UML)

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A UML official reported that senior party leaders would convene on Tuesday to discuss Paudel’s arrest. The party’s response reflects internal concern over the legal challenges facing a prominent member and suggests potential strategic adjustments within the UML.

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Paudel is slated for transfer to the Department of Money Laundering Investigation, where formal charges will be examined. The UML’s scheduled meeting will likely shape the party’s public stance and possible legal defenses. Continued monitoring of the investigation will indicate the broader trajectory of Nepal’s anti-corruption campaign.

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