×

Sudhan Gurung Set to Reassume Role as Nepal's Home Minister Amid Controversy

Sudhan Gurung is preparing to return as Nepal's Home Minister after stepping down in April due to financial controversy. Following an investigation that reportedly found no evidence of wrongdoing, Prime Minister Balendra Shah has recommended his reinstatement. Gurung, a key figure in the Gen-Z movement, faced scrutiny over his business ties with a controversial businessman. His wealth has also raised questions, but he defends his financial success as legitimate. As he prepares to take the oath of office, the political landscape in Nepal remains watchful of his next steps.
 

Sudhan Gurung's Return to Office

File image of Nepal's HM Sudan Gurung(Photo: @deeptirana65058/X)

Kathmandu, June 9: Sudhan Gurung, who resigned from his position as Nepal's Home Minister on April 22 due to allegations regarding his financial activities, is poised to reclaim his role. He is expected to take the oath of office later today after Prime Minister Balendra Shah recommended his appointment to President Ram Chandra Poudel.


This recommendation follows a Cabinet decision to review the findings of a committee tasked with investigating the allegations against Gurung.


Although the report has not been officially released, various media sources have indicated that the committee found no evidence of wrongdoing on Gurung's part.


For the past six weeks, Prime Minister Shah has been managing the Home Ministry duties himself.


According to a senior official from the President's Office, "We have received the Prime Minister's recommendation letter for Gurung's appointment as the new Home Minister." Additionally, former Minister and Lawmaker Mahabir Pun is set to take on the role of Minister for Science, Technology, and Innovation.


President Ram Chandra Poudel will oversee the oath-taking ceremony, although the specific timing has yet to be confirmed.


Gurung is recognized as a prominent figure in the Gen-Z movement that emerged in September of the previous year.


In April, while serving as Home Minister, Gurung faced scrutiny over alleged business ties with Deepak Bhatta, a businessman currently in judicial custody for money laundering.


Gurung announced his resignation via social media on April 22, emphasizing his desire for a fair investigation into the allegations and to prevent any conflict of interest during his tenure.


He was the second minister to resign within a month after the new government, led by Prime Minister Shah, was established following the elections on March 5.


On May 11, a Cabinet meeting established an investigative committee led by former judge Achyut Prasad Bhandari, which has since submitted its findings to the Prime Minister. The report indicated that no direct links were found between Gurung and Bhatta, nor were there any banking records indicating financial transactions between them.


During his testimony, Gurung stated that he generated income from a hotel he operates in Thamel, a popular tourist area in Kathmandu, and that he invested his earnings in shares and gold. This explanation contributed to the committee's conclusions.


When Prime Minister Shah and other ministers, including Gurung, disclosed their assets on April 12, Gurung was identified as one of the wealthiest ministers, with significant cash holdings, shares in various companies, and extensive land ownership that reportedly exceeded legal limits.


In response to inquiries about his wealth, Gurung defended his financial status on social media, asserting that being born into poverty is not a fault, but dying in poverty is.


He stated on Instagram, "When you are born poor, that is not your fault; but if you die poor, that is your fault. Earning wealth without corruption before joining the government is not a sin; earning wealth through corruption after joining the government is a sin."


Following this, concerns were raised regarding the origins of his wealth, particularly after it was revealed that he had invested in a micro-insurance company associated with Bhatta, intensifying scrutiny of his business dealings.


Gurung was elected to the House of Representatives from the Gorkha-1 constituency in western Nepal.