Nawalparasi East, Feb. 2 -- Raj Kumar Thapa, the chief of the District Coordination Committee in Myagdi, has been arrested on the charge of embezzling Rs1.49 billion from the Beni-based Kumari Cooperatives.

Bharat Shrestha, chief of Myagdi police, said Thapa was arrested from his residence on Sunday morning.

Thapa's alleged involvement in the scandal was revealed in a report by the Office of the Cooperative Registrar in Pokhara, which investigated the issue over a year ago. The report accused Thapa of misusing cooperative funds, channelling the money towards private schools and real-estate acquisitions.

On February 11, 2023, chair of the cooperative Yam Bahadur Rokka submitted a formal complaint to the registrar's office, requesting a ...