Kathmandu. Four persons, including the CEO of Kamana Seva Bikas Bank, Praveen Wasnet, have been arrested on the charge of disbursing more loans with less collateral. The police arrested CEO Basnet along with employees, valuers and borrowers on the charge of disbursing more loans with less collateral in the Damak branch of the bank.

An arrest warrant was issued to him by the Damak Police Office in Jhapa last week in the case of Rs 32 crore loan embezzlement. Area Police Office Damak arrested Bank Chief Executive Officer Harendra Dahal, Chandra Bahadur Thapa and Birendra Singh Bhandari along with Basnet.

After the Nepal Rastra Bank sent a letter to the Central Investigation Bureau (CIB) of the Nepal Police to further investigate and take action, the Jhapa-based area police office Damak has issued arrest warrants to various persons including Basnet.