February 2: The umbrella organisations of the private sector have strongly criticized the arrest of businessman Arun Chaudhary in connection with his alleged role in unlawfully acquiring 10 ropanis of government land of Bansbari Leather and Shoe Factory.

The business community organized a press conference expressing their concern after the Central Bureau of Investigation (CBI) of Nepal Police arrested Chaudhary, the chairman and managing director of CG Holdings on Thursday, for an investigation into the land-grab case.

The Federation of Nepalese Chamber of Commerce and Industry (FNCCI) issued a press statement expressing its displeasure towards the arrest of Chaudhary. Another umbrella organization, Confederation of Nepalese Industries (CNI), held a press conference on Thursday evening to protest the move.

The FNCCI said that its serious attention has been drawn to the arrest of entrepreneurs and businessmen when the country is facing economic crisis. Expressing its views on the arrest of Chaudhary, the FNCCI said, "The federation has repeatedly requested the government not to arrest businessmen until a thorough investigation of the related matter is done." The FNCCI has requested the government to find out the truth first and take legal action if necessary.

The FNCCI also mentioned that the arrest will send a negative message to domestic and foreign investors ahead of the upcoming investment conference.

Meanwhile, CNI President Rajesh Kumar Agrawal expressed serious concern over the arrest during the press conference.

"All the industrialists have been humiliated by this," he said, adding, "Arresting someone without proper evidence and sufficient reasons does not seem fair."

The CBI arrested Chaudhary and the then executive director of the factory, Ajit Narayan Singh Thapa, on Thursday to investigate the unlawful transfer of ownership of the land of the government-owned factory. The government had established the Bansbari Leather and Shoe Factory in 2022 BS. The government had privatized the factory after 2048 BS.

Four Days in Custody

Meanwhile, the Kathmandu District Court has allowed Nepal Police to remand Chaudhary and Thapa in custody for four days. The state-owned RSS, quoting the information officer of the court, Chandra Prasad Panthi, reported that the bench of District Court Judge Madhav Prasad Ghimire allowed Chaudhary and Thapa to be detained for the necessary investigation.

The CIB team arrested Chaudhary from Lainchaur in Kathmandu and Thapa from Battisputli on Thursday. According to the bureau, they were arrested in the case of 10 ropani land scam of Bansbari Leather and Shoe Factory.