KATHMANDU, Oct 12: Former Speaker of the House of Representatives Krishna Bahadur Mahara was re-arrested on Sunday in connection with a gold smuggling case involving electronic cigarettes, popularly known as vapes.
According to police, Mahara was taken into custody in Kathmandu after investigators found evidence linking him and his son, Rahul Mahara, with two Chinese nationals—Li Hansong, who allegedly imported gold into the country concealed inside vape devices, and Daojin Wang, who operated the smuggling network from within Nepal.
The investigation into this case had previously stalled due to Mahara’s political influence, delaying legal action despite evidence linking him to the scheme.
Recently appointed Home Minister Om Prakash Aryal had instructed the Central Investigation Bureau (CIB) to reopen several stalled investigation files, including this case.
Police have concluded that hundreds of calls between Mahara, his son, Li, and other Chinese nationals serve as key evidence linking the former Speaker to the smugglers. The CIB is preparing charges, including violations of customs laws, conspiracy, and organized crime against Mahara. He has been remanded in judicial custody for further investigation.
China congratulated Speaker Mahara
Li, believed to be the mastermind behind the racket, arrived in Nepal from Hong Kong via a Fly Dubai flight on December 25, 2022, carrying two suitcases containing 730 electronic vapes that reportedly concealed around nine kilograms of gold. The vapes, meant for commercial purposes, had entered through the passenger section instead of the designated customs clearance section. Customs officials seized and sealed the goods at the airport godown.
Li left Nepal a few days later without the suitcases. When the vapes remained uncleared at customs for a prolonged period, the Chinese racketeers led by Daojin Wang allegedly first approached Mahara’s son, Rahul, seeking political intervention to release them. After Rahul’s efforts failed, the smugglers contacted Mahara directly, leveraging his political influence.
A 2024 CIB investigation found that Mahara and his son made 256 phone calls to the Chinese suspects and airport officials regarding the release of the seized vapes. After the matter became public, Mahara admitted in a public forum that he had called airport authorities, claiming it was in “good faith” to inquire about products stuck at customs.
In his statement to the CIB, Mahara said he knew Daojin as a fruit importer and denied knowledge of any illegal activities. He claimed complete ignorance of the smuggling operation.
Mahara’s son, Rahul, was jailed until the final verdict by the Kathmandu District Court on August 30, 2023, but was later released on bail after serving 14 months behind bars.
Police had previously arrested Mahara in March 2024 after the high-level probe commission formed under the chairmanship of former judge Dilliraj Acharya to investigate gold smuggling recommended action against Mahara in the gold smuggling case.
He was later released on a general date due to his deteriorating health conditions, including tuberculosis, high uric acid, and prostate issues, as mentioned in court documents.
In his political career, Mahara—who played a key role during the armed conflict—has held several senior positions, including Speaker of the Parliament and Minister for Communications after the Comprehensive Peace Accord of 2006. As a minister, he was accused of favoring private companies by providing telecom services at low costs.
In 2010, an audio recording surfaced in which he allegedly demanded Rs 50 million from a Chinese national, claiming that Members of Parliament needed to be “bought” to form a government led by his party. No formal investigation was conducted into the incident.
In 2019, Mahara was charged with attempted rape of a Federal Parliament Secretariat employee while serving as Speaker. He was elected as a lawmaker from Dang-2 in the 2017 general elections.
After these allegations, Mahara did not contest the most recent House of Representatives election, though he continues to hold significant influence within his party - the CPN (Maoist Centre).
