Nepalgunj. The Tulsipur-Nepalgunj bench of the High Court has remanded three persons, including the bank’s founding chairman, to judicial custody in connection with the Karnali Development Bank scam.

The Tulsipur Nepalgunj bench of the High Court has ordered the release of bhuwan Basnet, a former employee of the Rastra Bank, on a bail bond of Rs 200,000. “He has been sent to custody immediately as he could not submit the bail, but if he submits the bail, he will be released,” said Bal Bahadur Bista, information officer at the Tulsipur Nepalgunj bench of the High Court.

According to him, the bank’s founding chairman Rajendra Bir Raya, former chairman Pashupati Dayal Mishra and head of the bank’s finance department Ved Prakash Singh Thakuri have been remanded to judicial custody.

In the case of more than 100 defendants who are absconding, the remand will be sent. The court ordered the detention of three people after assessing that the release of two former chairmen of the bank’s board of directors and an employee could affect the case.

A division bench of Justices Chandra Bahadur Saru and Punam Singh Chand passed the order on Wednesday after concluding the hearing of the money scam case against four defendants, including the former chairman of the bank.

A total of 109 people were made respondents in the rs 3.2 billion embezzlement case of the bank. Of them, 103 are still absconding. Of the four defendants, including two former chairman of the board of directors, who were arrested at different times, the CIB had submitted its investigation report to the District Government Attorney’s Office on July 12, declaring them guilty of financial irregularities.

The CIB had suggested filing a case against 109 people, including the bank’s founding chairman Rajendra Bir Rai, for demanding Rs 3.20 billion. Based on the investigation report of the CIB, the Government Attorney’s Office had filed a case at the High Court, Tulsipur, Nepalgunj.

According to Bista, information officer of the court, out of the four defendants, Rajendra Bir Rai, who is also the founder chairman of the bank, had demanded Rs 2.63 billion in damages and a fine.

Former Chairman of Karnali Development Bank Pashupati Dayal Mishra, who is also a central member of THE CPN-UML, was demanded rs 824.629 million in damages and a fine. The bank’s then finance department chief Ved Prakash Singh Thakuri had demanded Rs 246.39 million in damages and a fine. Bhuwan Basnet, a former employee of The Rastra Bank, was asked to pay Rs 108.92 million in damages and a fine.