Police on Friday released Dipesh Pun, son of former Vice President Nanda Bahadur Pun, after he posted a bail amount sought by the Rupandehi District Court.

The court on April 20 ordered the authorities to release Dipesh, who is accused of embezzling funds of the Butwal-based Supreme Savings and Credit Cooperative, on Rs400,000 bail. Pun, who was in judicial custody, was staying in prison even after the court order for failing to post the bail amount.

Dipesh was arrested on March 15 on the charge of his involvement in a cooperative fraud.

The junior Pun is on police radar for his alleged involvement in gold smuggling. On September 5 last year, the Central Investigation Bureau (CIB) interrogated Dipesh for his alleged involvement in the smuggling of 60.716 kg of gold which was seized immediately after it passed undetected from the Tribhuvan International Airport customs office in Kathmandu in July. After CIB officials recorded his statement, the junior Pun was freed on the condition that he is available as and when needed for the investigation later.

On February 5, depositors of the Pokhara-based Suryadarshan Savings and Credit Cooperatives submitted a complaint to the district police against three people, including Rastriya Swatantra Party chair Rabi Lamichhane, the incumbent home minister. They had presented details to the district police also against Dipesh, and Gyan Bahadur Bomjan, who formerly chaired the cooperative.