52 Arrested in Nepal for Running Illegal Dating App and Crypto Trading Scheme

Kathmandu

In a major crackdown on cyber enabled financial crimes, 52 Arrested in Nepal for Running Illegal Dating App and Crypto Trading Scheme by Nepal Police. The arrests were made by the Central Investigation Bureau during coordinated raids in Kathmandu and Lalitpur.

According to police officials, the suspects had been running an illicit call center disguised as a legitimate technology business. They had registered a company under the name of a “social software development company” and rented residential houses at Damkal Chowk in Lalitpur Metropolitan City-4 and Chagal in Kathmandu Metropolitan City-13, which they used as operational hubs.

The group allegedly lured users through fake dating platforms and manipulated them into participating in fraudulent crypto transactions, often leading to financial loss. The police said this type of scam commonly referred to as a “romance scam” or “pig butchering” scam has become increasingly prevalent in South Asia, with scammers building emotional or romantic relationships to exploit victims financially.

During the raid, police seized critical evidence including 54 mobile phones, seven laptops, and Rs. 1.399 million in cash. Authorities suspect the devices were used to facilitate the online fraud operations, communicate with victims, and manage digital wallets or crypto trading platforms.

The six Chinese nationals arrested have been booked under charges related to the misuse and illegal trade of dematerialized currency referring to digital assets like cryptocurrency which are not authorized for financial transactions under Nepalese law. The remaining 46 individuals are also under investigation for various cyber and financial offenses.

Under current Nepali law, cryptocurrency trading, mining, and exchanges are considered illegal, as per a directive issued by Nepal Rastra Bank. Engaging in such transactions, especially in connection with fraudulent schemes, is a criminal offense that could lead to imprisonment, fines or both.

Police officials also noted that many of the victims of such schemes are targeted via social media or dating apps, where scammers gain trust over time before introducing investment opportunities involving digital currencies. These scams often originate from transnational criminal networks operating in multiple countries.

Authorities are expanding the investigation to determine if the group has links to larger international fraud rings and to identify potential victims both inside and outside Nepal. The Central Investigation Bureau has urged the public to remain cautious while using dating platforms or engaging in digital currency investments and encouraged anyone who suspects fraud to report it immediately.