In Nepal, the Kathmandu Valley Crime Investigation Office has arrested Sandesh Sharma, a fugitive from Tulsipur Sub-Metropolitan City-16, Dang. Sharma had escaped from the Central Prison at Sundhara during the recent protests and violence on August 9, 2025.
Sharma, identified as a key planner in the fake Bhutanese refugee scam, was apprehended in Bakhundol, Lalitpur, by a police team, according to a senior police officer. Prior to his arrest, he had been residing in Harisiddhi, Mahalaxmi Municipality-6, Lalitpur. Sharma, a central figure in the criminal syndicate, was among those who orchestrated the fraudulent scheme that defrauded victims of approximately $2 million.
Previously, other key defendants in the scam, including Sanu Bhandari and Keshav Dulal, were arrested and imprisoned. High-profile figures such as former Deputy Prime Minister and Energy Minister Top Bahadur Rayamajhi and former Home Secretary Tek Narayan Pandey, who also initially fled, later surrendered to authorities. The Kathmandu District Attorney’s Office has filed a case against more than 30 individuals in the Kathmandu District Court.
The fake Bhutanese refugee scam is one of Nepal’s most notorious fraud cases. It involved a syndicate that exploited vulnerable Nepali citizens by falsely promising them resettlement in the United States and other countries as Bhutanese refugees. The scam came to light in 2023, implicating politicians, government officials, and intermediaries who orchestrated the fraud by charging exorbitant fees for forged documents and fake refugee identities.
The scam exploited the historical context of genuine Bhutanese refugees in Nepal, who were displaced from Bhutan in the early 1990s due to ethnic tensions. Over 100,000 of these refugees were initially housed in camps in Jhapa and Morang in eastern Nepal.
Between 1990 and 2003, 15 rounds of talks between Nepal and Bhutan failed to resolve the issue of repatriation, leading many refugees to opt for third-country resettlement. Through programs facilitated by the United Nations High Commissioner for Refugees (UNHCR), most refugees were resettled in countries such as the United States, Canada, Australia, New Zealand, the United Kingdom, Denmark, the Netherlands, and Norway.
Currently, over 6,000 Bhutanese refugees remain in Nepal, primarily in the Beldangi and Pathari-Shanishchare camps in eastern Nepal. To address their situation, the Nepali Home Ministry formed a task force to update the refugee registry. However, this task force allegedly engaged in corrupt practices, including adding non-refugee Nepali citizens to the refugee list in exchange for bribes.
Following complaints, the police launched an investigation, leading to the arrest of several accused individuals, including Sandesh Sharma, a central figure in the scam. The scam took advantage of the aspirations of ordinary Nepalis, many of whom were lured by the promise of a better life abroad.
By exploiting the legitimate resettlement process, the perpetrators created fake identities and documents, often charging victims large sums of money. The involvement of high-profile figures, including former Deputy Prime Minister Top Bahadur Rayamajhi and former Home Secretary Tek Narayan Pandey, has fueled public outrage and raised questions about accountability among Nepal’s political elite.
Support NepYork – Your Nonprofit News Media for the Nepali Community
NepYork, a 501(c)(3) nonprofit, is the Showcase of Nepalis in New York, delivering timely local news and vital resources on immigration, housing, taxes, health, business, and more. Our mission is to safeguard community journalism, amplify the voices of Nepali immigrants in NYC, and foster understanding, solidarity, and empowerment.
By donating to NepYork, you help us enhance participation in democracy, improve access to essential resources, and share authentic stories that reflect the vibrant, diverse experiences of Nepali New Yorkers. Together, we can connect, inform, and empower our community. Every contribution ensures these voices are heard and valued.
Donate today to keep Nepali stories alive and thriving in New York!
Susan Shrestha
View More PostsSusan Shrestha is a Europe-based journalist. He covers a wide range of topics, from local matters to global affairs. Shrestha previously worked as a reporter for Khasokhas in Nepal.
