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Rastriya Swatantra Party (RSP) President Rabi Lamichhane filed his candidacy from Chitwan-2 for the House of Representatives elections scheduled for March 5. 

He filed candidacy through the authorized representative, Sita Gyawali, on Tuesday, according to assistant election officer, Deviram Bhandari.

Leader Bikram Shrestha proposed Lamichanne's candidacy while Ramaji Thakuri seconded the proposal. Lamichhane could not attend the election office in-person due to his busy schedule. 

There are 442,082 voters registered in the voters' list in the district having three constituencies.

The Secretariat meeting of the Rastriya Swatantra Party has begun at the party’s central office in Banasthali on Sunday. 

The meeting will dwelt on issues related to the party adjustment and election process, party spokesperson Manish Jha said. 

This is the first Secretariat meeting after party President Rabi Lamichhane returned to his post.

Former Home Minister Lamichhane was released on bail on December 19 in connection with the Supreme Cooperative fraud and organized crime case.

Rastriya Swatantra Party (RSP) President Rabi Lamichhane and Kathmandu Metropolitan City Mayor Balendra Shah have reached a seven-point agreement on various issues in the lead up to the March 5 elections to the House of Representatives.

RSP President Lamichhane and Mayor Shah signed the agreement this morning. 

According to the agreement made public over the social media, the movement against corruption and bad governance waged by the youths shall be owned, and the demands of the injured and martyred families will be appropriately addressed. 

Similarly, it has been agreed that Rabi Lamichhane will remain the central president of the party while Balendra Shah will be the prime ministerial candidate for the upcoming House of Representatives elections. 

He will be the leader of the parliamentary party following the elections.

The name of the political party and its election symbol will be that of the Rastriya Swatantra Party, and the party's office in Kathmandu. 

Issues such as involving youth in the party's organizational structure have been included.

Furthermore, the updated structure of the party following the agreement shall be registered at the Election Commission, while a call shall be made to all alternative political forces to join the RSP.

Kathmandu Metropolitan City Mayor Balendra Shah, popularly known as Balen, continues to enjoy significant support among young voters, though his popularity has shown signs of decline following the GenZ protests. Critics argue that his inability to respond effectively to incidents of vandalism and arson during the Sept 8–9 protests dented his image as a mayor.

As a result, it remains uncertain whether Shah commands the same level of public support he did during the 2022 local elections. Despite this uncertainty, Shah remains a key political figure among emerging and alternative political forces, at least in perception.

Several newly-formed parties appear eager to secure his backing ahead of upcoming elections. A few weeks ago, Kulman Ghising, who recently launched the Ujyalo Nepal Party, met Shah seeking his support whereas on Dec 22, Rastriya Swatantra Party (RSP) Chair Rabi Lamichhane held discussions with Shah, fueling speculation about possible political collaboration.

Balen has given a clear signal that he supports emerging political forces challenging traditional parties, but it remains uncertain whether he will publicly endorse or align himself with any of them. So far, his message suggests support for new political parties but it is unclear whether he would engage in active politics like Rabi. 

To unite emerging political forces, Balen has initiated consultations with political leaders, Gen Z representatives, artists, media professionals, and members of civil society. Over the past few years, he has remained in continuous dialogue with people from all walks of life.

A case in point: After the GenZ protests, the Nepali Army reportedly offered him the premiership, but he declined it.

Although it is unclear whether these new political forces will unite, there is a growing sentiment among them that electoral cooperation is essential to challenge the dominance of traditional parties—namely the Nepali Congress and the CPN-UML.

This view has also come from several self-proclaimed GenZ leaders, who are pressing alternative political groups to form a united front. Among the new parties, the Rabi Lamichhane-led Rastriya Swatantra Party remains the most influential.

Emerging as the fourth-largest party in the House of Representatives in the 2022 elections, the RSP disrupted Nepal’s conventional political landscape.

Although the party faced internal setbacks after the GenZ movement, including the departure of some key leaders, it partially recovered through unification with the Bibeksheel Party.

After his recent release from jail, Lamichhane has intensified political consultations. He met Prime Minister Sushila Karki to pledge the RSP’s support to the government.

However, his meeting with Mayor Shah attracted wider attention and triggered renewed debate over the possible consolidation of new political forces ahead of the March 5 elections. Such an alliance, if it materializes, could pose a serious challenge to Nepali Congress and the CPN-UML.

Despite facing multiple charges related to cooperative fraud, Lamichhane continues to enjoy personal popularity. A strong communicator, he has a distinct ability to dominate headlines and connect directly with the public. He is skilled in the art of communication as he can share his ideas, feelings and information clearly and effectively, while also listening to and responding to his supporters.

Unlike leaders of traditional parties, Lamichhane’s appeal is largely personality-driven rather than party-based. Many supporters voted for him as an individual rather than for the RSP as a political party. Therefore, whether the RSP can sustain its growth in Lamichhane’s absence is a moot question.
In contrast, Balen does not directly communicate with the masses.

Since becoming the mayor of Kathmandu, he has rarely engaged with the public or faced the media. Instead, he often uses social media platforms to vent his anger and criticize mainstream political parties. Like Lamichhane, Balen also stokes anti–mainstream party sentiment. At the same time, he has not shown any clear ideological inclination.

But Lamichhane and Balen both are non-ideological.  Their stance on key constitutional issues—including federalism and full commitment to the 2015 Constitution—remains ambiguous. Notably, during last year’s pro-monarchy protests, the RSP maintained silence. 
Nevertheless, Lamichhane avoids conventional political jargon and focuses instead on governance failures and everyday problems facing the people—a strategy that resonates with frustrated voters. Lamichhane was widely popular until two years ago; however, allegations related to cooperative fraud have affected his public standing.

This populist appeal gives Lamichhane the potential to draw voters away from the Nepali Congress and the CPN-UML, particularly in urban constituencies. If the RSP, the Ujyalo Nepal Party, Balendra Shah and other alternative forces form an electoral alliance, it could significantly erode the traditional voter base of mainstream parties, at least in urban areas.

However, these new political forces face structural limitations. Their organizational presence in rural areas remains weak, and they lack strong networks in the Tarai region. While they managed notable urban victories in 2022 despite a limited organization base, sustaining and expanding such success will be more challenging without strong grassroots foundations.

Since the 2022 elections, the RSP has expanded its organizational reach, but its rural penetration remains limited. Still, rising anti-establishment sentiment and public frustration with traditional parties may push alternative forces toward unity.

If these parties manage to coordinate effectively, they could emerge as a serious electoral threat—if not by winning outright, then by decisively weakening the dominance of Nepal’s long-established political parties.

Leaders argue that if there is an electoral alliance among the new political forces, with open backing from figures like Balen, it could force the Nepali Congress and the CPN-UML into an electoral alliance of their own.

The two key developments—Rabi Lamichhane’s release from jail and his meeting with Shah—have alarmed mainstream political parties. At the same time, major political parties are holding regular meetings to chart their strategies.

Kathmandu Metropolitan City Mayor Balendra Shah, popularly known as Balen, continues to enjoy significant support among young voters, though his popularity has shown signs of decline following the Gen Z protests. Critics argue that his inability to respond effectively to incidents of vandalism and arson during the September 8–9 protests dented his image as a mayor.

As a result, it remains uncertain whether Shah command the same level of public support he did during the 2022 local elections. Despite this uncertainty, Shah remains a key political figure among emerging and alternative political forces, at least in perception. 

Several newly formed parties appear eager to secure his backing ahead of upcoming elections. A few weeks ago, Kul Man Ghising, who recently launched the Ujyalo Nepal Party, met Shah seeking his support. Similarly, on December 22, Rastriya Swatantra Party (RSP) Chair Rabi Lamichhane held discussions with Shah, fueling speculation about possible political collaboration.

Balen has given a clear signal that he supports emerging political forces challenging traditional parties, but it remains uncertain whether he will publicly endorse or align himself with any specific party. So far, his message suggests support for the emergence of new political parties. However, it is unclear whether he would engage in active politics like Rabi. After the Gen Z protests, the Nepal Army reportedly offered him the premiership, but he declined it.

Although it is unclear whether these new political forces will unite, there is a growing sentiment among them that electoral cooperation is essential to challenge the dominance of traditional parties—namely the Nepali Congress and the CPN-UML. This view is also echoed by several self-proclaimed Gen Z leaders, who are pressing alternative political groups to form a united front. Among the new parties, Rabi Lamichhane-led Rastriya Swatantra Party remains the most influential. Emerging as the fourth-largest party in the House of Representatives in the 2022 elections, the RSP disrupted Nepal’s conventional political landscape.

Although the party faced internal setbacks after the Gen Z movement, including the departure of some key leaders, it partially recovered through unification with the Bibeksheel Party. After his recent release from jail, Lamichhane has intensified political consultations. He met Prime Minister Sushila Karki to pledge the RSP’s support to the government. However, his meeting with Mayor Shah attracted wider attention and triggered renewed debate about the possible consolidation of new political forces ahead of the March 5 elections. Such an alliance, if realized, could pose a serious challenge to Nepali Congress and the CPN-UML.

Despite facing multiple charges related to cooperative fraud, Lamichhane continues to enjoy personal popularity. A strong communicator, he has a distinct ability to dominate headlines and connect directly with the public. He is skilled in the art of communication, as he can express his ideas, feelings, and information clearly and effectively, while also listening to and responding to his supporters. Unlike leaders of traditional parties, Lamichhane’s appeal is largely personality-driven rather than party-based. Many supporters vote for him as an individual rather than for the RSP as an institution. Consequently, there are concerns about whether the RSP can sustain its growth in Lamichhane’s absence.

In contrast, Balen does not directly communicate with the masses. Since becoming mayor of Kathmandu, he has rarely engaged with the public or faced the media. Instead, he often uses social media platforms to vent his anger and criticize mainstream political parties. Like Lamichhane, Balen also stokes anti–mainstream party sentiment. At the same time, he has not shown any clear ideological inclination.

But Lamichhane and Balen both are non-ideological.  Their stance on key constitutional issues—including federalism and full commitment to the 2015 Constitution—remains ambiguous. Notably, during last year’s pro-monarchy protests, the RSP maintained silence. 

Nevertheless, Lamichhane avoids conventional political jargon and instead focuses on governance failures and everyday problems faced by ordinary citizens—a strategy that resonates with frustrated voters. Lamichhane was widely popular until two years ago; however, allegations related to cooperative fraud have affected his public standing.

This populist appeal gives Lamichhane the potential to draw voters away from the Nepali Congress and the CPN-UML, particularly in urban constituencies. If the RSP, the Ujyalo Nepal Party, Balendra Shah, and other alternative forces form an electoral alliance, it could significantly erode the traditional voter base of mainstream parties, at least in urban areas.

However, these new political forces face structural limitations. Their organizational presence in rural areas remains weak, and they lack strong networks in the Tarai region. While they managed notable urban victories in 2022 despite limited organization, sustaining and expanding such success will be more challenging without strong grassroots foundations.

Since the 2022 elections, the RSP has expanded its organizational reach, but its rural penetration remains limited. Still, rising anti-establishment sentiment and public frustration with traditional parties may push alternative forces toward unity. If these parties manage to coordinate effectively, they could emerge as a serious electoral threat—if not by winning outright, then by decisively weakening the dominance of Nepal’s long-established political parties.

Leaders argue that if there is an electoral alliance among the new political forces, with open backing from figures like Balen, it could force the Nepali Congress and the CPN-UML into an electoral alliance of their own. The two key developments—Rabi Lamichhane’s release from jail and his meeting with Shah—have alarmed mainstream political parties. At the same time, major political parties are holding regular meetings to chart their strategies.

The Tulsipur High Court on Tuesday ordered the release of Rastriya Swatantra Party (RSP) President Rabi Lamichhane on bail.

A division bench of Justices Basudev Acharya and Tej Narayan Poudel issued the order, directing Lamichhane’s release. 

He will be released after posting a bail amount of Rs 27.484 crore.

Rastriya Swatantra Party President and former Managing Director of Gokha Media Group Rabi Lamichhane has been sent to jail for judicial custody on Monday.

He was arrested and sent to jail after the Tulsipur-Butwal Bench of High Court overturned the order of Rupandehi District Court to release him on bail of Rs 10 million in cooperative and organized crime.

Earlier, both the District Attorney's Office and Lamichhane had appealed to the High Court, stating that they were dissatisfied with the district court's order.

Rupandehi District Police Office SP Ranjit Singh Rathore said that Lamichhane was sent to jail in Bhairahawa after presenting him at the District Court following the order of the High Court.

Lamichhane, who was arrested in Kathmandu on Friday, was taken to Bhairahawa from Tribhuvan Airport on Saturday morning. Later, he was kept in custody at the District Police Office.

He was produced at the court today as there were holidays on Saturday and Sunday.

On January 19, the District Attorney's Office, Rupandehi, had filed a case in the Rupandehi District Court making President Lamichhane among others as defendants in connection with the fraud case of the Supreme Savings and Credit Cooperative Society in Butwal.

The Chitwan District Court has ordered the release of Rastriya Swatantra Party President Rabi Lamichhane on bail of Rs 5.4 million in connection with the Sahara Cooperative fraud case.

A single bench of Judge Dayaram Dhakal issued an order to release former Home Minister Lamichhane on bail of Rs 5.4 million.

Senior advocates Sushil Kumar Panta, Jagannath Paudel, Dharmaraj Acharya and Surendra Bahadur Thapa and advocates Ram Chanra Devkota and Dr Narayan Dutta Kandel argued on behalf of Lamichhane.

Similarly, District advocates Rabi Neupane, Sambhu Kumar Basnet, Dashrath Pangeni, Bholanath Niraula and assistant advocates Buddha Bahadur Thapa and Amrit Subedi argued on behalf of Nepal Government.

Likewise, senior advocates Dr Surendra Bhandari, Dinesh Tripathi and Raj Kumar Shrestha and advocates Gopi Lal Devkota, Ramesh Kafle, Ram Chandra Arasi Gautam and Sunita Adhikari argued on behalf of the complainant.

On Tuesday, a case was registered against Lamichhane accusing him of embezzling the funds of Sahara Cooperative.

Rastriya Swatantra Party (RSP) President and suspended parliamentarian, Rabi Lamichhane, held a meeting with Speaker Devraj Ghimire, over the issue of his suspension.

During the meeting held at the office of the Speaker at Singha Durbar, today, President Lamichhane submitted a petition requesting Speaker Ghimire to lift his suspension from the post of a member of the Parliament.

Deputy Speaker Indira Rana Magar, acting RSP Chair Dol Prasad Aryal, Vice-Chairperson Dr Swarnim Wagle, Chief Whip Santosh Pariyar, among others were also present along with Lamichhane in the meeting.

The Federal Parliament Secretariat had suspended the member of House of Representatives, Lamichhane, from the post on December 23.

Rastriya Swatantra Party (RSP) President Rabi Lamichhane is appearing before the Kathmandu District Court today.

He was released on Thursday after posting the bail amount of Rs 6.5 million.

Lamichhane, who is also the former Home Minister, was arrested for his alleged involvement in embezzling the funds of local Suryadarshan Cooperatives Saving and Cooperatives, Pokhara.

He is facing a similar case of misappropriation of funds in a cooperative in Kathmandu.

RSP President Lamichhane will appear before the District Court, Kathmandu today, according to acting spokesperson, Manish Jha.

Six persons, including Lamichhane, were released on bail in the same case. They were Chhabi Lal Joshi, Ram Bahadur Khanal, Krishna Bahadur Gurung, Mina Gurung and Arati Gurung, according to the record keeper at Kaski District Court, Rajan Khanal.

District Judge Nitij Rai yesterday issued an order saying that Lamichhane be released on a bail of Rs 6.5 million, Joshi on a bail of Rs 8. 8 million, Pachhai on Rs 3. 7 million, Khanal on Rs 1.5 million, Mina Gurung on Rs 500, 000, Arati Gurung on Rs 500, 000 and Krishna Bahadur Gurung on Rs 100, 000.  

However, Pachhai failed to submit the bail amount resulting in continuity of detention.

The District Attorney Office, Kaski on December 22 had filed a case against 44 persons including Lamichhane, accusing them of embezzling the cooperative’s funds.

Rastriya Swatantra Party President Rabi Lamichhane has been suspended from the post of lawmaker.

Issuing a notice on Monday, the Parliament Secretariat informed that former Home Minister Lamichhane, who was elected from Chitwan constituency-2, has been suspended from his position as a lawmaker.

The District Police Office, Kaski on December 16 had concluded its investigation into the cooperative fraud case involving Lamichhane and submitted its report to the District Attorney’s Office on Monday.

The report recommended prosecuting 51 individuals, including Lamichhane, former DIG Chhabilal Joshi, Ram Prasad Khanal, and Lila Pachhai, who are currently in police custody. Most of the other suspects remain at large.

They were charged with cooperative fraud, organized crime, and money laundering. Kaski police had also recommended recovery of around Rs 1.51bn. The investigation revealed that Lamichhane and others were involved in irregularities concerning funds from Suryadarshan Cooperative in Kaski, which were allegedly diverted to Gorkha Media Network and misused.

Evidence gathered during the course of investigation includes checks issued by Lamichhane to repay loans taken from multiple cooperatives. Lamichhane, however, has claimed that the checks in question were left in a drawer during his tenure as the managing director of Gorkha Media Network, and someone else may have filled them out without his consent. 

The investigation, which began with Suryadarshan Cooperative, expanded to four other cooperatives: Kathmandu’s Swarnalakshmi Cooperative, Chitwan’s Sahara Chitwan Cooperative, Birgunj’s Sano Paila Cooperative, and Nepalgunj’s Samanata Cooperative. 

Police investigation had revealed that Lamichhane and his associates took out loans, including Rs 4.6m each from Swarnalakshmi Cooperative, to purchase vehicles in Lamichhane and GB Rai’s names. 

A chargesheet has been filed at the Kaski District Court against Rastriya Swatantra Party Chairperson and former Home Minister Rabi Lamichhane, along with five others, accusing them of cooperative fraud, organized crimes and money laundering. The case centers on the alleged embezzlement of funds from the Surya Darshan Cooperative in Pokhara, with claims that a portion of the funds was diverted to Gorkha Media Pvt Ltd.

Chief District Attorney Kamala Kafle stated that the case implicates 44 individuals and organizations. This follows an earlier charge against GB Rai, chairperson of Gorkha Media, and 18 others, bringing the total number of defendants to 63. The damages sought from Lamichhane and his co-defendants amount to approximately Rs 1.51bn.

The government attorney’s office alleges that Lamichhane and his associates operated as an organized group to defraud the cooperative and launder the misappropriated funds. Evidence includes checks issued under the cooperative’s name, linking the funds to Gorkha Media. Lamichhane has denied involvement, claiming that the checks were misused without his consent during his tenure as the managing director of Gorkha Media Network (GMN). However, police investigations revealed loans, including Rs 4.6m each from Swarnalakshmi Cooperative, used to purchase vehicles in the names of Lamichhane and Rai.

A parliamentary panel formed under CPN-UML MP Surya Thapa found funneling of Rs 224.6m from six cooperatives, including Surya Darshan, into GMN. The panel recommended legal action against Lamichhane and others, leading to arrests and ongoing legal proceedings. Lamichhane’s wife, Nikita Poudel, has also been implicated, with allegations of illegally amassing Rs 280m. Four others—Padma Banjade, Rojak Joshi, Radha Pachhai, and Geeta Pachhai—have been named for property confiscation.

Assistant District Attorney Shantidevi Sharma clarified that if their assets are proven to be linked to criminal activities, only the claimed amounts will be seized without additional penalties.

The investigation, based on reports from Pokhara Metropolitan City and a parliamentary committee, exposed widespread misuse of cooperative funds. The panel’s report was submitted to the government, which directed agencies to expedite action.

Lamichhane was arrested on Oct 19 after the Kaski District Court issued an arrest warrant against him. The opposition Nepali Congress had made cooperative fraud a key issue in parliament, making way for the formation of a special probe committee under Thapa. Nepal Police, following directives from Home Affairs Minister Ramesh Lekhak, has sought international assistance, after which INTERPOL issued a diffusion notice for Rai, who remains at large.

A chargesheet has been filed against Rabi Lamichhane, the President of Rastriya Swatantra Party (RSP), at the Kaski District Court. Lamichhane is presently in the police custody in Kaski for his alleged involvement in the misappropriation of cooperative funds.

District Court's information officer, Suraj Adhikari, said other accused in the misappropriation of cooperatives funds faced the chargesheet along with Lamichhane.  "Now the verification of the documents is going on and they will be registered today itself." 

Lamichhane is alleged of embezzlement of the funds of Pokhara-based Surya Darshan Savings and Cooperatives Limited and he remains in police custody since October 18. He was apprehended from Kathmandu and was escorted to Kaski.

He is being investigated for accusations of misuse of cooperative funds in other districts as well.

Dec 19, Balkot, Bhaktapur

“This country will never improve, believe me,” a man declared as I entered the teashop. His voice, laden with frustration, carried across the room. “People are suffering endlessly—corruption is rampant, and those aligned with the major political parties are getting richer, while people like us continue to struggle.”

The conversation quickly shifted to Rastriya Swatantra Party (RSP) Chairperson Rabi Lamichhane, turning the teashop into a lively arena of debate. “Look,” one man said in Lamichhane’s defense, “the media allegations about his unusual bank transactions have already been proven baseless. His wife clarified they’re just repaying a home loan in installments.”

Not everyone was convinced. Another participant retorted, “The details of the ongoing police investigation are still unclear. Let’s not jump to conclusions.”

Since starting this column, I’ve noticed Kathmandu Mayor Balendra Shah rarely faces criticism, while opinions on Lamichhane remain sharply divided. In this teashop, too, some argued that Nepali Congress and CPN-UML supporters were targeting Lamichhane out of political vendetta, while others accused him of involvement in cooperative fraud.

The discussion veered towards the apparent disinterest of Nepali youth in politics. “Young people in their 20s today have no understanding of the political movements of 2006-2007, or even the contributions of Nepali Congress and CPN-UML,” commented a participant who seemed educated and politically aware.

According to him, the younger generation’s detachment stems from the lack of coverage of Nepal’s significant democratic milestones—like the movements of 1950, 1980, 1990, and 2006—in the school curriculum. “They don’t value democracy because they’ve never experienced autocracy,” he stated, as others listened in reflective silence.

He reminisced about his college days when campuses were vibrant political hubs. “Now, private colleges are politically apathetic. Government colleges still show some awareness, but it’s fading fast,” he said with concern.

Another voice in the room offered a starkly different perspective. “The root of Nepal’s problems lies in the end of the Panchayat regime in 1990 and the premature establishment of democracy,” he asserted. Democracy, he claimed, deeply politicized Nepali society and fractured its unity. “Before 1990, we were united. Our forefathers helped one another, and there was a sense of community. Now, politics has divided us.”

While some nodded in agreement, others appeared skeptical, challenging his romanticized portrayal of the past.

As expected, the conversation shifted again, this time to the escalating trend of youth migration for education and employment abroad. Most blamed political instability and job scarcity, but one person took a different stance. “It’s not just unemployment,” he said. “Today’s youth migrate for luxury. They see the affluence of wealthy countries and dream of that lifestyle, even if they can earn well here.”

He argued that migration is a global phenomenon, not limited to Nepal. “Even in countries like China and India, youth are leaving. Job creation and political stability might not solve this entirely,” he said, expressing concern over Nepal’s ageing population. “Soon, countries like Japan, South Korea, and Germany, which face their own ageing crises, will offer attractive packages to lure our workers.”

Another participant turned the focus to internal migration and its consequences. “As people flock to Kathmandu for education and jobs, fertile land in villages is being abandoned,” he lamented. “If another crisis like Covid-19 forces us back to the villages, we’ll face severe problems with no food to sustain us.”

The discussion also touched on the rampant spread of misinformation. One man claimed Prime Minister Oli had been attacked during a visit to Banepa, only to be contradicted by another participant who called the video fake. “How can it be fake when there’s a video?” another argued, illustrating the confusion sowed by unverified information.

The topic then shifted to a recent video of UML leader Surya Thapa, head of the parliamentary probe panel investigating cooperative fraud. In the video, widely shared on social media, Thapa defended Rabi Lamichhane, stating no evidence linked him to the cooperative scandal. The debate over the authenticity of such claims reflected the broader challenge of discerning truth in a digitally driven society.

The Kaski District Court has granted four days of time to the Nepal Police to keep Rabi Lamichhane, President of Rastriya Swatantra Party (RSP) and former home minister, in custody.

A single bench of district judge Himlal Belbase remanded Lamichhane for four more days, Spokesperson of District Police Office, Kaski, Basanta Kumar Sharma said.

So far, the court granted the Nepal Police to keep Lamichhane in police custody for the eighth time. Lamichhane was earlier arrested for an investigation into a case relating to the cooperatives’ funds misappropriation.

Rastriya Swatantra Party (RSP) chairman and former Deputy Prime Minister Rabi Lamichhane has spent 13 days in police custody in Kaski, sparking street protests from his party members and supporters who argue his arrest is politically motivated. They contend Lamichhane is uninvolved in the alleged misappropriation of cooperative funds and that his detention is intended to weaken RSP. Lamichhane, previously a TV show presenter and managing director of Gorkha Media, which owns Galaxy Television, was arrested based on a parliamentary probe into cooperative fund misuse nationwide.

Some cooperative victims have filed cases against Lamichhane in Pokhara and Lumbini. While the parliamentary panel found no direct evidence linking Lamichhane to cooperative fraud, it noted substantial cooperative funds had flowed into Gorkha Media, where Lamichhane holds a minor share and acted as managing director. Police are investigating him on charges of cooperative fraud, money laundering, and organized crime. Reports indicate JB Rai, a key figure connected to the case, is in communication with state authorities, signaling his willingness to return to Nepal and assist in the investigation.

The Rupandehi court has permitted police to arrest Lamichhane for further inquiry, suggesting that the process may extend, particularly given the money laundering charges. Lamichhane’s lawyers argue that his role as managing director of Gorkha Media does not inherently imply misappropriation, emphasizing that his lack of direct involvement in cooperatives exempts him from fraud charges. Meanwhile, RSP leaders claim Lamichhane’s arrest is part of a broader political agenda to hinder RSP’s influence, which critics view as an attempt to interfere with judicial processes through public protests and pressure on the government. They are also said to be in talks with the ruling parties to make an environment for his release stating that investigation can be continued even after freeing him.

Lamichhane, who transitioned from popular television host to political leader, founded RSP in 2022. His efforts to advocate for Nepali migrant workers and expose corruption earned him substantial public support, propelling his party to become the fourth-largest in the House of Representatives with 21 seats. 

Growing public dissatisfaction against major political parties—Nepali Congress, CPN-UML and CPN (Maoist Center)—also helped the party. Initially, RSP had few prominent faces aside from Lamichhane, but figures like Swarnim Wagle have since joined, expanding the party's profile.

Lamichhane’s political career was hit by one controversy after another right from the beginning. Soon after he was elected to the House of Representatives and became Minister for Home Affairs, the legality of his citizenship came into question. He was also accused of holding dual passports. He lost his parliament seat over his citizenship controversy and had to re-contest the election from Chitwan, which he won comfortably.  The issue of his citizenship has already been resolved but the one relating to his alleged dual passport still remains.

Lamichhane’s arrest over cooperative fraud has polarized public opinion. Some view it as a necessary legal action following parliamentary recommendations, while others see it as an orchestrated attack by established parties seeking to stymie RSP’s rise. RSP leaders highlight inconsistencies in enforcement, citing the government’s reluctance to arrest figures linked to cooperative fraud within the ruling coalition, such as Dhana Raj Gurung from Nepali Congress and others associated with CPN-UML. Prime Minister KP Sharma Oli noted that 600 arrests have been made in connection with cooperative fraud, though RSP claims selective enforcement targeting Lamichhane alone is politically driven.

The 2022 general elections and subsequent by-elections indicated that RSP could pose a significant threat to the three major parties. But whether Lamichane’s arrest could benefit the party or affect its popularity remains unknown. Already, there are concerns that if Lamichhane gets convicted, the party could face a political setback. RSP is yet to build its organizational structure, particularly at the local level. The party has solely relied on its popularity as an alternative political force against the old parties to win votes. 

Now amid Lamichhane’s prolonged detention, his party is concerned by signals indicating his potential detention until the Chhath festival. RSP leaders say this extension represents systematic harassment and misuse of state resources. The Kaski District Government Attorney's Office will decide whether to formally charge Lamichhane based on the ongoing police investigation. If charged, he would face suspension from his parliamentary seat and trials in Rupandehi and Chitwan for alleged involvement in cooperative fraud.

The RSP has adopted a dual strategy of mobilizing street protests and engaging in dialogues with other political entities to secure Lamichhane’s release. They have organized a protest coordination committee led by Vice-chairman Dol Prasad Aryal, alongside a political-civic dialogue committee headed by Wagle, to build alliances with like-minded parties, civil society, and the public. Although RSP’s constitution allows its vice-chairpersons to manage operations in Lamichhane’s absence, internal confusion over shared responsibilities has prevented the appointment of an acting president.

With RSP claiming retaliatory state actions against their leader, they continue to press for his release, advocating for an investigation that respects due process while cautioning against a selective legal approach that could undermine public trust.