Nepal Home Minister Sudan Gurung Resigns Over Financial Misconduct, Major Blow to Balen Shah’s Government

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Nepal’s Home Minister Sudan Gurung has resigned following allegations of financial misconduct, delivering a major setback to Prime Minister Balen Shah’s government. His resignation comes less than a month after taking office and reflects growing public pressure for transparency and accountability.

Sudan Gurung, appointed as Home Minister on March 27, stepped down amid mounting criticism over his alleged business links and questionable share transactions with a controversial businessman. In his resignation letter, Gurung stated that ethics and public trust outweighed his position, emphasizing that he wanted to facilitate an impartial investigation and avoid conflicts of interest. He also referenced Nepal’s ongoing Gen Z movement, which has been demanding clean governance and accountability, noting that leadership must remain ethical to honor the sacrifices of those who fought for change.

Prime Minister Balen Shah has now retained the home ministry portfolio himself, consolidating power at a time when his administration faces increasing scrutiny. Gurung’s departure follows the earlier dismissal of Labour Minister Dip Kumar Sah on April 9, after allegations of misuse of office. These back-to-back resignations highlight the challenges Shah’s government faces in maintaining credibility, especially as it rose to power on promises of breaking away from corruption-ridden legacy parties.

Gurung had previously been seen supporting Gen Z protests in September 2025, distributing water to demonstrators and helping broker political deals. His resignation, however, underscores the fragility of Shah’s administration, which came to power after the fall of the K P Sharma Oli-led coalition amid corruption scandals and restrictions on social media.

From an SEO perspective, the uniqueness of this development lies in the resignation of a key minister within weeks of appointment, the direct link to financial misconduct allegations, and the broader impact on Balen Shah’s reformist government. The incident not only reflects the volatility of Nepal’s political landscape but also signals the growing influence of youth-led movements demanding accountability.

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