Kathmandu — Nepal’s Home Minister Sudhan Gurung has been linked to a controversial micro-insurance company allegedly associated with accused middleman Dipak Bhatt and the Shankar Group, according to an investigative report.

Bhatt, who is currently in police custody in Pulchowk, Lalitpur under charges related to money laundering, is said to have played a key role in influencing the licensing of several micro-insurance companies. Authorities granted licenses to seven such firms shortly after the 2022 federal, provincial, and local elections, reportedly benefiting select business groups.

One of these companies, Star Micro Insurance Company Limited, has drawn particular attention. Records indicate that Gurung holds shares worth NPR 2.5 million in the firm. His name appears in shareholder documents alongside individuals and entities allegedly connected to Bhatt and the Shankar Group.

However, the shareholding has not been disclosed in Gurung’s official asset declaration, raising questions about transparency and compliance with legal requirements.

The company’s ownership structure reportedly includes a wide network of investors linked to influential business houses. Among them are entities associated with the Shankar Group, as well as individuals previously implicated in financial irregularities and corruption cases.

Investigations suggest that several shareholders represent interests aligned with Bhatt, including employees of affiliated companies and relatives of individuals facing corruption or financial crime charges. The report also claims that individuals connected to controversial firms and past revenue evasion cases are part of the investment group.

Additionally, media-related investments in the company have raised concerns over potential influence in public discourse. Some reports indicate that individuals linked to media organizations and business conglomerates also hold stakes in the firm.

The licensing process itself has come under scrutiny. Earlier reports alleged that the then-chairman of the Insurance Authority, Surya Prasad Silwal, issued licenses in a manner that disproportionately benefited certain groups. Silwal has since faced a corruption case filed by the Commission for the Investigation of Abuse of Authority (CIAA).

The revelation of Gurung’s alleged partnership has sparked ethical concerns, especially given his public stance against corruption and his rise to power as a representative of reform-oriented youth movements. Critics argue that the findings contradict the government’s commitment to economic transparency and good governance.

Gurung, who was elected from Gorkha Constituency No. 1 and later appointed Home Minister under a government led by Kathmandu Mayor Balen Shah, has not formally responded to the specific allegations. However, in response to broader questions about his assets, he reportedly stated, “Being born poor is not a mistake; dying poor is.”

The developments have intensified public debate over accountability and integrity within the current administration, with calls for further investigation into the matter.