Nepal’s government spokesperson Sasmita Pokharel stated that the recent search and property investigation at former Chief Justice Cholendra Shumsher Rana’s residence is a “regular process” carried out by government bodies. Pokharel, who is also the Minister of Education, made the statement on Wednesday, October 7, 2026, while publicizing cabinet decisions, in response to queries from journalists.
Journalists had questioned why the government, which had previously provided security to the former Chief Justice, was now conducting searches and property investigations at his home. Pokharel clarified that government bodies are operating within their regular responsibilities and jurisdiction.
Raids on Rana and associates
The Department of Money Laundering Investigation, Nepal’s anti-money laundering body, raided the residence of former Chief Justice Cholendra Shumsher Rana and several of his relatives and close associates on Wednesday, October 7, 2026. The raids targeted Rana’s brother Prabhu Shumsher Rana, son-in-law Naveen Basnet, and close associates Narayan Dahal, Dipak Timilsina, and Nabaraj Thapaliya, a former High Court judge.
During the searches, the department claimed to have recovered important documents, according to department sources. The Department of Money Laundering Investigation has initiated an investigation into Rana on charges of money laundering and is preparing to freeze his assets and bank accounts.
Background to the investigation
The investigation into Rana’s assets follows a complaint filed with the Department of Money Laundering Investigation on December 26, 2021, by civil society leaders, including Professor Dr. Govinda KC.
Rana has faced significant scrutiny over the past few years. On February 13, 2022, 98 lawmakers from the then-ruling five-party alliance filed an impeachment motion against him in the Parliament Secretariat. The motion included 21 allegations, such as seeking a share in the cabinet, forming benches arbitrarily, and involvement in corruption. The Nepal Bar Association and Supreme Court judges also staged a prolonged protest demanding Rana’s resignation.
More recently, on September 9, 2026, the Supreme Court’s Constitutional Bench ruled that the impeachment motion against Rana had lost its relevance, dismissing four related writs. Previously, on September 27, 2026, the Kathmandu Valley Crime Investigation Office arrested Rana from his Maharajgunj residence, but he was released after approximately 10-12 hours. While the government cited a “security threat” as the reason for the arrest, critics called it an “illegal” act.
What happens next
The Department of Money Laundering Investigation is preparing to proceed with further steps to freeze Rana’s assets and bank accounts as part of its ongoing money laundering investigation. The department has not yet publicly disclosed the detailed allegations against Rana. Additionally, the full text of the Supreme Court’s Constitutional Bench ruling, which determined the impeachment motion’s irrelevance, is yet to be released. This full text is expected to provide further clarity on matters such as his pension and other entitlements. The actual reason for Rana’s arrest on September 27, 2026, and subsequent release without formal charges or explanation also remains unclear.
