Probe underway into cash found after arson at Deuba, Khadka residences

KATHMANDU: The Department of Money Laundering Investigation has launched a probe into the cash reportedly found following the arson at the residences of Congress President Sher Bahadur Deuba and leader Deepak Khadka in Budhanilkantha.

A departmental team visited the sites, preparing official records and collecting burnt currency fragments and ashes.

The arson occurred on Sept 9 during the ‘Gen-Z’ protests, when demonstrators vandalized and set fire to Deuba’s and Khadka’s homes.

Following the incident, videos and photos circulated on social media purportedly showing burnt Nepali and foreign currency inside the residences. These visuals are yet to undergo forensic verification. The department began its investigation about ten days after the incident.

According to officials, the team was dispatched after an initial review of the social media content. “Some images suggested currency remained in the homes while other notes were reportedly taken by protestors. We have been carefully monitoring these developments,” an official said. “Following preliminary screening, we visited the sites to examine the evidence firsthand.”

If the collected currency fragments and ashes are verified as genuine, Deuba and Khadka could face a money laundering investigation, including scrutiny of their sources of wealth.

Meanwhile, the Revenue Investigation Department has also reportedly taken the matter seriously and is conducting its own probe.

The department also plans to inspect the residence of former Prime Minister Pushpa Kamal Dahal ‘Prachanda’ in Khumaltar, which was set on fire and is currently under police monitoring. Prachanda is residing elsewhere temporarily.

Meanwhile, Deuba’s Secretariat has denied the claims circulating on social media. In a statement issued on Sept 18, Deuba’s aide Bhanu Deuba said the visuals claiming large sums of cash and underground stashes were “fabricated, exaggerated, and misleading,” spread with malicious intent to defame the party leadership. “Even after such a heinous criminal incident, false reports claiming vast amounts of cash and secret storage at Deuba’s residence are being circulated online, drawing our serious attention,” the statement read.