KATHMANDU: A string of recent immigration raids across Nepal has uncovered what authorities believe is an expanding network of Chinese nationals allegedly involved in cybercrime, visa abuse, online fraud, cryptocurrency offenses and suspected human trafficking, raising fresh concerns over national security and the country’s ability to monitor foreign criminal syndicates.

The latest case centers on a large exhibition hall in Chobhar, on the outskirts of Kathmandu, operating under the name Treasures Pvt. Ltd. Although the showroom displays products of the Indian Ayurvedic brand Bhaskar, investigators say it attracted mostly Chinese nationals rather than ordinary customers.

The company is legally registered under Nepali citizen Pawan Lama Thing, but officials say he appeared to have little or no knowledge of the business being conducted in his name. Immigration investigators suspect a Chinese group established and operated the company while using a Nepali nominee.

On July 2, Nepal’s Department of Immigration detained 11 Chinese nationals from the premises on suspicion of engaging in activities beyond the scope of their tourist visas.

“We found security personnel and around 15 to 20 Nepali employees working there, while only Chinese visitors regularly entered the building. We are still investigating what exactly was taking place inside,” said Tikaram Dhakal, director of the Department of Immigration.

Officials suspect the site may have been used for online criminal activities, although the investigation is ongoing.

The Chobhar operation is only the latest in a series of similar raids that security agencies say reveal an increasingly sophisticated network of Chinese-operated safe houses and businesses allegedly being used for illegal activities across Nepal.

Just days earlier, authorities arrested 26 Chinese nationals from a rented house in Dhobighat, Lalitpur. Investigators found that some of those detained were also connected to Treasures Pvt. Ltd. Officials say preliminary inquiries indicate several individuals had been brought to Nepal with promises of employment before being housed together under suspicious circumstances.

On June 17, police in Butwal arrested seven Chinese nationals staying on tourist visas after allegedly discovering their involvement in cryptocurrency-related crimes.

Another two Chinese nationals were detained from Kuleshwor after immigration officials found they were operating commercial activities while holding tourist visas. According to investigators, they promoted and sold apples, walnuts, garlic, raisins and other Himalayan products through TikTok.

In another high-profile case, police arrested two Chinese nationals from Naxal after discovering they had established a company called RR Building Intro Technology despite entering Nepal on visit visas. Investigators alleged they used the Live Hub application to befriend foreign nationals before carrying out online fraud and other criminal activities. The suspects were later handed over to immigration authorities.

Authorities also continue to investigate a so-called “Chinese Housing” complex in Sorhakhutte that came under scrutiny last year. Immigration officials found Chinese nationals allegedly luring Nepali women with job offers to create TikTok content before encouraging relationships and marriages with Chinese citizens. Investigators say some Nepali women had already been taken to China through such arrangements.

According to the Department of Immigration, recent arrests demonstrate a pattern of foreign nationals abusing Nepal’s visa system.

“Among foreign nationals involved in different types of crimes in Nepal, Chinese citizens account for a disproportionately high number,” said Immigration Director Dhakal. He said the department has intensified inspections, visa screening and enforcement operations.

At present, 17 Chinese nationals remain in immigration custody, with 13 under investigation and four awaiting deportation.

Chinese criminal involvement in Nepal is not new.

In December 2019, Nepal Police conducted one of the country’s largest coordinated raids against Chinese cybercrime networks, arresting 122 Chinese nationals from multiple locations in Kathmandu. Instead of being prosecuted in Nepal, they were flown back to China on a chartered aircraft following coordination between the two governments.

Police records show Chinese nationals have since appeared in investigations involving ATM fraud, gold smuggling, wildlife trafficking, dollar smuggling, human trafficking, cryptocurrency crimes and, more recently, illegal vape imports.

Investigators have also linked Chinese criminal groups to cases in which Nepali citizens were trafficked to Myanmar after being promised jobs before being forced into cybercrime compounds. Other investigations have uncovered alleged marriage scams involving Nepali women and Chinese nationals.

Security officials say intelligence reports have repeatedly pointed to illegal financial activities operating from Chinese-run hotels and restaurants, particularly in Kathmandu’s Thamel district, although many allegations have yet to result in comprehensive criminal investigations.

Police spokesperson Deputy Inspector General Binod Narayan Kafle acknowledged that Chinese nationals constitute one of the largest groups of foreign nationals arrested in Nepal, suggesting geographical proximity and relatively easy access may contribute to the trend.

Security agencies believe Nepal’s liberal visa policies have also been exploited.

Chinese citizens receive free visas to enter Nepal and can remain in the country for up to five months annually on tourist visas. Officials suspect hundreds of Chinese nationals may be abusing these provisions to conduct unauthorized commercial or criminal activities.

Security and immigration officials estimate that nearly 500 Chinese nationals currently residing in Nepal could be involved in suspicious activities.

Former Additional Inspector General Uttam Raj Subedi attributed the persistence of such networks to weak enforcement, inadequate monitoring and relatively lenient cybercrime laws.

“They have been arrested repeatedly over the years, yet the activities continue. That reflects weaknesses in our system,” he said.

Subedi identified four key factors: easy entry into Nepal, limited investigation of technology-based crimes that do not directly target Nepali victims, the ability of foreign groups to influence local facilitators, and weak monitoring of tourists after arrival.

“These groups are technologically sophisticated and often destroy evidence before authorities can seize it. At the same time, Nepal lacks the investigative capacity and legal framework needed to tackle such organized cybercrime effectively,” he added.

Immigration data underscores the growing concern.

In the first six months of 2026 alone, Nepal deported 31 Chinese nationals, the highest number among all foreign nationalities. Bangladesh ranked second, followed by Uganda.

Police statistics further show that over the past six fiscal years, 135 Chinese nationals have been arrested in Nepal for various offenses, consistently representing the largest share of foreign nationals detained.

Authorities have also launched a review of 1,034 Chinese citizens currently holding business visas after investigators found that some visa holders had no genuine commercial operations. In several cases, officials said visa applicants appeared unaware of the companies under whose names their permits had been issued, suggesting the involvement of intermediaries facilitating fraudulent visa applications.

Officials are now tightening scrutiny of business visa applications, particularly those claiming foreign investment, by requiring stronger evidence of legitimate financial transactions and investment commitments.

Security agencies warn that unless enforcement and oversight improve, Nepal risks becoming an increasingly attractive base for transnational criminal organizations, with implications extending beyond domestic law enforcement to money laundering, cross-border financial crime and national security.