Kathmandu, June 27: Chairman of Shiva Shikhar Multi-Purpose Cooperatives, Kedarnath Sharma, has been arrested for embezzling savers’ millions of rupees.
The Central Investigation Bureau (CIB) of Nepal Police arrested him from the west of Nepal and brought him to Kathmandu. Additional details would be divulged later today, according to Superintendent of Police, Nabaraj Adhikari.
It was learnt that Sharma had been hiding in different parts of India. He had also established a cooperative in Morang.
He is accused of duping depositors by investing the deposits in his personal company and firms illegally.
The depositors had lodged complaints at CIB and Cooperatives Department against Sharma and other promoters after Sharma failed to release the deposits as they demanded. The CIB has publicly requested the depositors to file case against Shiva Shikhar.
Bhaktapur-based Shiva Shikhar Cooperatives had 35 service centers across the country. According to sources, Shiva Shikhar had collected more than Rs. 8.5 billion from nearly 207,000 depositors. The Cooperative had invested it’s deposits in purchasing and lending in real estates due to which the depositors could not withdraw their savings for a long time.
Police has already arrested Sharma’s wife Gita on connection of fraud.
In recent times, many cooperatives have been facing problem to settle transactions after real estate business in heavy stress.
