Nepalese Politicians Convicted in Fake Bhutanese Refugee Scam
Nepal’s Kathmandu District Court has convicted 23 individuals, including country’s former Deputy Prime Minister Top Bahadur Rayamajhi, former Home Minister Bal Krishna Khand, and former Home Secretary Tek Narayan Pandey, in the high-profile fake Bhutanese refugee scam that shocked Nepal and damaged its international reputation.
The verdict was delivered on Tuesday by Judge Tej Bahadur Khadka, who found the defendants guilty on various charges, including fraud, organized crime, forgery of official documents, and offenses against the state. The court has ordered the case to proceed to the sentencing phase, where punishments will be determined.
The case revolves around a criminal network that allegedly deceived Nepali citizens by promising to send them to the United States as resettled Bhutanese refugees. According to prosecutors, the group collected approximately NPR 288.1 million (about USD 2.1 million) from victims through the fraudulent scheme.
Among those convicted, former Deputy Prime Minister Rayamajhi was found guilty of crimes against the state, fraud, and organized crime. Former Home Minister Khand was convicted as an accomplice in those offenses, while former Home Secretary Pandey was found guilty of fraud, organized crime, and crimes against the state.
The court also convicted Bhutanese refugee leader Tek Nath Rizal for forgery of government documents and for acting as an accomplice in fraud, organized crime, and crimes against the state. Alleged masterminds Sanu Bhandari and Keshav Dulal were found guilty of forgery, fraud, organized crime, and offenses against the state.
Seven defendants were acquitted due to insufficient evidence. Those cleared by the court include Ram Sharan KC, Tank Kumar Gurung, Sanjeev Rayamajhi, Pratik Thapa, Laxmi Maharjan, Keshav Tuladhar, and Ashish Budhathoki.
The case was formally filed in May 2023 against 30 individuals. Prosecutors accused them of forging official government records related to Bhutanese refugees and using those documents to falsely classify Nepali citizens as refugees eligible for third-country resettlement.
Investigators found that a government task force report concerning unresolved Bhutanese refugee cases had been manipulated. The report originally identified 429 individuals connected to refugee registration issues. Authorities allege that additional names of Nepali citizens were inserted into the list in exchange for large sums of money, creating a pathway for fraudulent immigration promises.
The scandal emerged after dozens of victims filed complaints claiming they had paid between NPR 1.5 million and NPR 2 million each after being promised relocation to the United States. Police investigations later revealed that at least 81 victims had collectively lost more than NPR 136 million to the scheme, though prosecutors argued the overall fraud involved nearly NPR 288 million.
The fake refugee scam drew widespread public attention because of the involvement of senior political figures and former government officials. Authorities argued that the scheme not only defrauded citizens but also undermined Nepal’s sovereignty and damaged its international image.
The background of the case traces back to the long-standing Bhutanese refugee issue. More than 113,000 Bhutanese refugees of Nepali origin were resettled from Nepal to countries such as the United States, Canada, Australia, New Zealand, the United Kingdom, and several European nations. However, the remaining refugee population and unresolved registration issues created opportunities for abuse, which investigators say the criminal network exploited.
With the convictions now secured, attention will turn to sentencing. The court’s final punishment orders are expected to determine the legal consequences for one of Nepal’s most significant corruption and fraud cases in recent years.