KATHMANDU: The Kathmandu District Court has ordered the release of stock market investor Dipendra Agrawal on bail, stating that there are insufficient grounds to keep him in custody for further investigation.
With the court’s order, the action process initiated under the leadership of Securities Board of Nepal (SEBON) Chair Santosh Narayan Shrestha has effectively been put on hold.
Agrawal was arrested 10 days ago by the Central Investigation Bureau (CIB) from the Chundevi area of Kathmandu following a recommendation from SEBON. He was accused of being involved in “insider trading” related to shares of various companies. Since his arrest, he had been under CIB custody for investigation.
On Sunday, the district court concluded that continued detention was not necessary for investigation purposes and ordered his release upon furnishing bail. Following the order, procedures to release Agrawal have begun, CIB sources confirmed.
Agrawal is known as an outspoken investor who has publicly raised concerns over alleged corruption, irregularities, and mismanagement within SEBON. Claiming that the action against him was biased and retaliatory, Agrawal had staged a hunger strike while in custody. He has demanded the suspension of SEBON Chair Shrestha and called for an end to corruption within the regulatory body.
In the days following Agrawal’s arrest, SEBON Chairman Shrestha had told some media outlets that “no one involved in insider trading would be spared.” However, SEBON sources say that no other insider trading-related cases have so far been forwarded to the police or relevant authorities, apart from Agrawal’s case.
Meanwhile, Agrawal’s family had also filed a habeas corpus petition challenging his detention. Agrawal’s legal team has consistently maintained that he is prepared to fight the case while remaining out of custody and has pledged full cooperation with the investigation.
With the court’s order, Agrawal will now remain free on bail and face the case through legal proceedings.
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